Discover What’s New and Interesting in Our Backyard
California is the third largest state in the United States and is home to more than 39 million residents. Its most populous cities include Los Angeles, San Diego, San Jose and San Francisco. California boasts one of the most dynamic economies in the world, with growth sectors in technology, entertainment, tourism and manufacturing. California has recently leapfrogged France and Brazil to become the world’s sixth-largest economy, behind only the rest of the U.S., China, Japan, Germany and the United Kingdom.
Renowned as the entertainment capital of the world, the creative economy in the Los Angeles region – including movie/TV production, fashion, visual and performing arts, communication arts, and other creative sectors – generates $38.8 billion in total labor income. Los Angeles is also a manufacturing hub; approximately 350,000 people work in L.A. County’s manufacturing sector, spread across 12,500 establishments, according to the Los Angeles County Economic Development Corporation.
San Diego, the second most populous city in California, has one of the most diverse and dynamic economies in the country. It is home to the largest military concentration in the world and boasts a strong tourism industry. It is also one of the leading technology hubs in the U.S.; the region’s technology cluster is home to a number of innovative and evolving sectors, including telecommunications, cybersecurity, connected devices, data analytics, health IT, bioinformatics, gaming and software as a service (SaaS), according to the San Diego Regional Economic Development Corporation. Other key sectors include life sciences, aerospace, maritime and manufacturing, among others.
San Francisco, the fourth most populous city in California, is home to six Fortune 500 companies, more than any other region except for the Tri-State New York City region. It has a long history of established companies in the business and professional services sectors, 1900+ technology companies, 120+ biotech companies and 200+ clean technology companies. An annual analysis released from real estate and investment firm CBRE ranked San Francisco among the top cities for tech talent, based on factors including available workers and cost of living.
The commercial real estate market in Southern California is expected to remain positive. A growth in online sales and increasing imports from Asia are generating an ever-increasing demand for warehouse space, according to the Summer/Fall 2017 Allen Matkins/UCLA Anderson Forecast California Commercial Real Estate Survey. The industrial space market is expected to continue to be tight during the next three years. The entertainment and tech industries in the Los Angeles region are also growing in response to increasing demand for gaming, streamed content, and television content. The commercial space in the pipelines will most likely not be sufficient to meet the demand, according to the survey.
Commercial space in San Diego County started off with negative demand in the first half of 2017, but turned around by year’s end, according to real estate services firm Colliers International. San Francisco has more CBD space under construction than any other city in North America with nearly 5.2 million square of office development under construction, according to Colliers International. The city has another 12.3 million square feet of approved and proposed projects in the development pipeline. Colliers International reports that San Francisco is currently experiencing an unprecedented construction boom, with more commercial space under construction than any other city in North America.
About Fidelity National Financial
Fidelity National Financial, Inc. (FNF) is currently ranked #375 on the 2020 FORTUNE 500®*, and is among numerous defense, energy, media, hospitality and financial FORTUNE 500®* companies based in the region. Our California-based team of CRE professionals works in all facets of the industry, including power and energy projects, office buildings, industrial parks, multifamily housing, retail properties, government contracts, corporate transactions and more.
Discover what's new and interesting in our backyard in the latest real estate news, provided courtesy of the FNF Newsdesk.
*FORTUNE®” and “FORTUNE 500®” are registered trademarks of Time Inc. Time Inc. is not affiliated with, and does not endorse products or services of, Fidelity National Financial, its subsidiaries, or affiliates.