March 15, 2014 on 12:10 am | In Fascinating Information, Investment Opportunities, Lease Rates, Market Snapshot, Office Fodder, Statistics, Trends, Uncategorized | 4 Comments

edited by Jodi Summers

Bravo to us! The Los Angeles County economy will continue to advance on many fronts through 2014. Things we can look forward to this year include:

Population should cross the 10 million threshold this year.

  • Nonfarm jobs in Los Angeles County, which grew by 1.7% in 2013, should grow by 1.3% 2014.
  • Total personal income is also growing; from a 2.1% gain in 2013 to a projected 4.9% increase is projected for 2014.

Experts say it may be 2015 or 2016 before nonfarm employment exceeds the pre-recession peak of 4.12 million reached in 2007…but we’re making fine process.

Here’s how the Los Angeles Times breaks down employment by neighborhood:

South Bay/LAX: In 2012, total core employment in the region grew by 1.7% or 6,900 jobs. In 2013, significant hiring took place in professional and business services (2,700 jobs), leisure and hospitality (1,500 jobs) and construction (1,200 jobs). However, the region’s information sector saw payrolls contract by 1,300 jobs.

LAX passenger traffic increased slightly during the first five months of 2013, rising by 3.7% from the same period a year ago. Domestic passenger travel increased by 5.0%, while international passenger travel increased by 0.3%. Hotel occupancy rates near the airport increased to 88.3% in April 2013 from 83.1% a year ago.

South Los Angeles: Total core employment in South Los Angeles grew by 4.7% or 3,200 jobs in 2012. The recession hit the region hard although core employment is seeing a gradual return to pre-recession levels, gaining 4.7% or 3,200 jobs. Professional and business services grew by 27.9% or 1,500 jobs through 2013. Education and health services contributed 1,300 jobs (9.5%) to core employment.

Westside: Total core employment in the region rose by 3.4% or 11,300 jobs in 2012. The professional and business service sector led employment growth with a gain of 2,800 jobs, followed by leisure and hospitality (2,700 jobs) and information (2,400 jobs). As for travel and tourism, Santa Monica hotel occupancy rates edged up to 86.5% in April 2013 from 85.3% a year ago. Daily room rates continued to grow, increasing 6.0% over the same period.

West Los Angeles office vacancy rates declined during the first quarter of this year compared with 95,000 square feet of new office space is currently under construction.

Yet, office space will fare better than its reputation would lead one to believe. One factor working to the advantage of the sector is that it did not build into oversupply.











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    Comment by SMDP — March 20, 2014 #

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