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1,800 Companies Left California in a Year, Texas Remains Top Destination

A new study shows that 1,800 companies left California in 2016, the most recent year figures were available. The main destination for those relocations to more business-friendly states was Texas, according to research by Spectrum Location Solutions LLC.

Spectrum Location Solutions’ Joseph Vranich, the study author, says, “Departures are understandable when year after year CEOs nationwide surveyed by Chief Executive Magazine have declared California the worst state in which to do business.”

Vranich added, “The top reason to leave the state no longer is high taxes. The legal climate has become so difficult that companies should consider locating in jurisdictions where they will be treated fairly.”

The top 10 states starting in the order of those that gained the most from California business relocations were (1) Texas, which has held the first-place distinction for at least a decade, (2) Nevada, (3) Arizona, (4) Colorado, (5) Oregon, (6) Washington, (7) North Carolina, (8) Florida, (9) Georgia and (10) Virginia.

The top 10 municipalities gaining company migrations from California were (1) Austin, (2) Reno, (3) Las Vegas, (4) Phoenix, (5) Seattle, (6) Dallas, (7) Portland, OR, (8) Denver, (9) San Antonio and (10) Scottsdale.

During the study period, $76.7 billion in capital funds were diverted out of California, along with 275,000 jobs. Companies acquired at least 133 million square feet elsewhere, a figure that may not reflect the total, since not all relocation facility footage was reported, notes Vranich.

For comments, questions or concerns, please contact Dennis Kaiser

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Inside The Story

Read more at Spectrum ReportConnect With Spectrum Location Solutions’ Vranich

About Dennis Kaiser

Dennis Kaiser is Vice President of Public Relations and Communications for Connect Creative. Dennis is a communications leader with more than 40 years of experience including as a journalist and in corporate and agency marketing communications roles. He is responsible for Connect Creative’s agency client services and is involved in a range of initiatives ranging from public relations and content strategy, communications and message development, copywriting, media relations, social media and content marketing services. Prior to joining Connect Media in 2015, his most recent corporate communications roles involved leading a regional public relations effort across Southern California for CBRE, playing a key marketing role on JLL’s national retail team, and directing the global public relations effort at ValleyCrest (BrightView), the nation’s largest commercial landscape services company. He has worked on marketing communications assignments for such CRE companies as Blackstone/Equity Office, Carlyle, Caruso, Disney Resorts, GE Capital, Irvine Company, Hines, Howard Hughes Corp., Jeffries, Lennar, MGM, Marcus & Millichap, Prologis, Raleigh Studios, Simon, Starwood, Trammell Crow Company, Transamerica, UBS and Wynn Resorts. Dennis has also worked on communications and launch strategies for a number of consumer electronic, media and tech brands including SlingMedia, Channel Master, Deluxe Media Entertainment, BeIn Sports, EchoStar and Sprint. Dennis’s agency background included firms such as Off Madison Ave., Idea Hall and Macy + Associates. He has earned an outstanding reputation with organization leaders as a trusted advisor, strategic program implementer, consensus builder and exceptional collaborator. Dennis has developed and managed national communications programs for Fortune 500 companies to start-ups, both public and private. He’s successfully worked with journalists across the globe representing clients involved in major-breaking news stories, product launches, media tours, and company news announcements. Dennis has been involved in a host of charitable and community organizations including the American Cancer Society, Easter Seals, Boy Scouts, Chrysalis Foundation, Freedom For Life, HOLA, L.A.’s BEST, Reach Out and Read, Super Bowl Host Committee, and the Thunderbirds Charities.

  • ◦Economy
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