Development / Office / Retail / Tech & Innovation
DTLA Works - For Businesses Ready To Thrive
Friday August 16, 2019
Downtown Los Angeles has long been home to traditional industries like finance, real estate and legal services. Now it is attracting a new generation of companies in growth sectors such as architecture, technology, fashion, and media.
In 2018, 42% of the office space leased in Downtown was taken by non-traditional tenants that included Spotify (music streaming), Arup (architecture), TubeScience (media), Netmarble (mobile gaming), Honey (e-commerce), and UBTech (robotics).
New DTLA companies are transforming the office market into a unique, creative ecosystem. Unlike many business clusters that emerge from one dominant industry, Downtown is developing as a dynamic, innovative community with a wide range of sectors. This industry diversification is supported by a similar diversity in office space. With the largest concentration of Class A towers and Historic office buildings in the region and a huge inventory of industrial properties ready for conversion, companies have a wide range of options to choose from and plenty of room for future growth.
Looking to the future, the rapidly expanding Downtown community will become an even more pronounced asset, with its current population of over 75,000 expected to double in the next 10 years. This competitive advantage is further enhanced by the close proximity of hip neighborhoods like Silverlake, Echo Park, Eagle Rock and others – that are some of the most appealing for creative professionals and also in easy commuting distance to DTLA.
While the presence of complementary firms and the availability of space are significant considerations in location decisions, access to talent is increasingly the most important factor for business success. Los Angeles is famously sprawling, which has always posed a challenge, with traffic congestion and housing affordability pushing talented people further away from desirable employers. As the geographic center of Los Angeles and the hub of its rapidly expanding transit system, Downtown's reach extends further than any other commercial center, putting a labor pool of over 3 million workers within commuting distance.
Talent is as much about quality as quantity, and DTLA competes strongly on that front, as well, with major educational institutions, including USC, Cal State LA, FIDM, and Sci-Arc, generating a constant flow of graduates, thought-leaders, and industry experts. In addition to all the emerging creative talent, Downtown has a robust base of established professionals in fields like finance, law, engineering, and consulting that serve a range of industries and help spur new opportunities through cross-pollination.
Downtown's growing live/work population – and geographic accessibility to an even larger talent pool – is one of the major factors behind its increasing appeal to a broad range of companies. With employers facing a tight labor market and employees striving for greater balance between home and work, DTLA provides a compelling solution for both. Combine that with an unparalleled variety of office space options, a dynamic mix of innovative industries, and a vibrant creative community, and you see why, no matter what kind of company you are, DTLA Works.