Artifical Intelligence Creditworthiness

Generative artificial intelligence (AI) is dominating the headlines, and for good reason. The technology is very exciting and impresses the notion that as a society, we are approaching a pivot point that could be truly transformational. With that in mind, we at TRA have reviewed numerous Generative AI companies for direct and sublease in the Bay Area, and while their capabilities are impressive, their credit is speculative. Landlords can take steps to mitigate these credit risks when leasing to these tenants with a few simple considerations.