Commercial real estate along Redmond’s tech corridor has hit an all-time high, with lease activity in the first quarter of 2026 surpassing pre-pandemic levels by 18%, according to Eastside Commercial Advisors.

The surge is driven largely by AI startups and cloud computing firms seeking proximity to Microsoft’s headquarters. Average asking rents along 148th Avenue NE have risen to $52 per square foot.

“Redmond is no longer just Microsoft’s town — it’s becoming a diverse tech ecosystem,” said commercial broker Jennifer Huang.

The city’s economic development office reports that 47 new businesses have registered in Redmond since January, creating an estimated 1,200 jobs.