Los Angeles Leads the Nation in the Creative Economy

According to the 2017 Otis Report on the Creative Economy of the Los Angeles Region:

  • With 747,600 salaried jobs in the creative industries, California far surpasses New York State, which has 478,100 jobs, followed by Texas at 230,600 jobs.
  • In a postindustrial society, activities based on creativity are an essential feature of a flourishing economy.
  • What unifies this dissimilar set of industries is the fact that they all trade creative assets in the form of intellectual property – the medium through which creativity is transformed into something of economic value. Within these industries, we find the intersection of art, culture, business, and technology.

California Tops List of Cold Storage Warehouse States

As shown above, California leads the nation in industrial cold storage cubic feet, that is warehouses with coolers and freezers. What drives this inventory of frigid distribution space? Metro areas have large populations along with food production facilities and food logistic hubs. California has major port activity along its coast to drive much of the logical demand.

Wilshire & Hoover Development Site

A development is planned on a parcel of land Hankey Investment Co purchased in 2009 for $7 million. They purchased the property via public auction. Hankey plans to build a 31-story residential and mixed-use tower with Jamison Properties, a prominent developer in Koreatown. One of Hankey’s companies, Midway car rental, operated on the site for many years.

Matthew Artukovich of Lee & Associates sold 2.5 acres of land here in 2005 for $11,330,000.00. He represented the seller, Right Hero Industries USA. The site is located across from Lafayette Park and is near Southwestern Law School (former Bullocks Wilshire building), and the Vermont/Wilshire metro subway station.

 

Boyle Heights Land Use Plan Update

The City of Los Angeles is in the process of updating its land use plans. These plans are the way the City plans for the future. The Draft Boyle Heights Community Plan Update is the blueprint for guiding this change. For a PDF of the plan see Boyle Heights Zoning Plan Update. Note the industrial section known as The Flats, on the left side of the image, is being rezoned from Industrial to an Innovative zone. This may be a riff from the CASP multi-zoned ordinance passed for the area north of DTLA near LA State Park, the cornfield.

 

Three paths for U.S. Economy?

No real estate agent can predict what the economy will bring forth in the next 12-24 months. We can look at leading and lagging indicators but no person knows what will trigger the next downturn. James Mackintosh of the WSJ provides an interesting set of options though to consider.

https://www.wsj.com/articles/pick-your-portfolios-story-late-cycle-sugar-rush-or-new-boom-1532971902?tesla=y

In Los Angeles Commercial Real Estate