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National Brands, Creative/Tech Companies Continue to Flow into DTLA
Downtown Los Angeles’ increasing drawing power is reflected in the growing influx of leading brands and corporations from around the city now making their home in DTLA. Los Angeles Downtown Center Business Improvement District’s (DCBID) 2017 Q3 Market Report revealed the strength and acceleration of market activity.
DCBID’s Nick Griffin says companies that have selected to relocate into DTLA include architecture firm, Jerde Partnership, Bullitt Studios and advertising tech firm Gimbal. Joining them are Adidas and Vans, which announced new office and retail locations respectively, while Nordstrom Rack, H&M’s fashion brand COS, and Sweetgreen restaurant all celebrated Q3 openings.
A big draw is DTLA’s explosive and growing residential population, now at roughly 65,000. In Q3, DTLA experienced delivery of 1,380 apartments bringing the 2017 total to more than 2,700, setting a new annual record. Yet, despite the deliveries, rental rates continue to hold steady, even increasing a couple of percentage points.
DCBID Q3 Market Report Highlights:
Office: 17.6% vacancy; 4.8% decrease YOY
Retail: 4.6% vacancy; 15% increase YOY
Hospitality: 81.1% YTD occupancy rate; .4% increase YOY
Residential: 87.5% occupancy rate for apartments; 4.4% decrease YOY
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