Local CRE Trends

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.

The commercial real estate market in California is expected to remain positive. 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.

There is opportunity for the area’s growing life sciences, biotech and healthcare industries to create new opportunities for commercial space. The commercial real estate market is also expected to benefit from industrial demand from the growing e-commerce industry in California.

About Fidelity National Financial

Fidelity National Financial, Inc. (FNF) is currently ranked #238 on the 2022 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. From FORTUNE Magazine, May 2022 ©2022 Time Inc. FORTUNE and Time Inc. are not affiliated with, and do not endorse products or services of Fidelity National Financial. Chicago Title is a member of the Fidelity National Financial family of companies and the nation’s largest group of title companies and title insurance underwriters that collectively issue more title insurance policies than any other title company in the United States.

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