A Guide to The Future of Office in Downtown Los Angeles DowntownLA.com/DTLAWorks
WORKS ABOUT THE DCBID Founded in 1998, the Downtown Center Business Improvement District (DCBID) has been a catalyst in the transformation of Downtown Los Angeles (DTLA) into a vibrant 24/7 destination. A coalition of more than 2,000 property owners in the Downtown Center, the DCBID members are united in their commitment to enhance the quality of life in Downtown LA. The mission of the Economic Development team is to improve and revitalize the District and bring investment and new businesses to the area. We provide services to current and prospective residents, workers, and businesses, including: • Development Consulting • Research and Information Requests • Events and Marketing • Housing and Office Tours • Customized Tours and Reports Whether you need information on development, opening a business location, or you just want to learn more about Downtown’s market sectors and dynamics, we are the portal for information about the District and DTLA. To learn more, visit www.DowntownLA.com.
DEFINITION OF DOWNTOWN LA
The DCBID defines Downtown Los Angeles as the area bounded by the 110, 101 and 10 freeways and the LA River, plus Chinatown, City West, and Exposition Park. Because these do not precisely align with census tracts, some of the data in this report includes areas just outside these boundaries.
2
Downtown Center Business Improvement District
WORKS TABLE OF CONTENTS EXECUTIVE SUMMARY ........................................ 4 DTLA BY THE NUMBERS ...................................... 5 DTLA & THE FUTURE OF WORK .......................... 6 PROPERTY TYPES .................................................. 8
Urban Landscape ............................................ 10 Class A ............................................................. 12 Historic ............................................................ 16 Industrial ......................................................... 18
6
GEOGRAPHIC CLUSTERS ................................... 20
Bunker Hill ....................................................... 22 Financial District ............................................. 24 Historic Core/Fashion District ......................... 25 Arts District ..................................................... 26 TENANTS ............................................................ 28
Finance, Legal, Business Services ................... 30 Real Estate, Engineering, Architecture ........... 31
25
Fashion & Lifestyle .......................................... 32 Media & Entertainment .................................. 33 Marketing & Communications ....................... 33 Technology & Innovation ................................ 34 Co-Working ..................................................... 35 Knowledge Industry Jobs ................................ 36 TALENT ............................................................... 38
Embracing Live/Work .................................... 38 Commuter Access ........................................... 39
34 Downtown Center Business Improvement District
3
WORKS EXECUTIVE SUMMARY
The role of the office and our relationship to it underwent dramatic shifts as a result of the COVID-19 pandemic. This unprecedented experience – and unplanned experiment – brought new perspectives, practices, attitudes, and approaches. Companies, workers, and property owners are now reshaping the future of the office, and major urban centers like Downtown Los Angeles are at the forefront of that process. With over 350,000 jobs, DTLA is the economic heart of the City of LA and the Southern California region. As the great majority of these jobs are held by office workers – commuting from near and far, to companies in every industry, doing business all over the world – the importance of the DTLA office sector extends well beyond the buildings of the central business district. Downtown LA is the region’s largest and most diverse office market, with 37 million SF of traditional and creative space in an unparalleled collection of Class A towers, historic buildings, and industrial conversions. Equally as impressive as these commercial assets is the transformation that Downtown has undergone in recent years, with a rapidly growing residential population and an explosion of arts and culture that has made it an exciting and inspiring place to live as well as work.
The diversity of DTLA’s buildings and the vibrancy of its neighborhoods and lifestyle have attracted an increasingly diverse mix of industries and companies. Once dominated by traditional sectors, growth in recent years has come from the creative and tech industries. That has drawn a broader mix of professional talent which has continued to reshape DTLA as a place of innovation and creativity. The future of work will be shaped by a range of factors at the intersection of people, places, and spaces – how people work, where, and in what kind of environments, and how that all integrates with the rest of their lives. As we consider this evolution, we believe it is less about “back” to work than “forward” to new opportunities for work-life balance and flexibility for individuals, productivity, and collaboration for companies, and dynamic growth for city centers like DTLA. In this report we look at the future of work in the context of Downtown Los Angeles – the spaces, places, and people that define DTLA – the properties, neighborhoods, companies, and workers who make it one of the most diverse and dynamic commercial centers in the nation.
For an interactive experience click here to take the DTLA Virtual Office Tour 4
Downtown Center Business Improvement District
WORKS DTLA BY THE NUMBERS DENSITY
40 million+ SQUARE FEET OF OFFICE SPACE
500,000 WORKERS WITH BACHELOR’S OR HIGHER WITHIN 10 MILES
350,000+
48,000
JOBS
JOBS PER SQUARE MILE
MOBILITY
5 5 110,000 METROLINK LINES METRO LINES
6
DAILY COMMUTERS SERVED BY UNION STATION*
FREEWAYS
LIFESTYLE
743
RETAIL BUSINESSES PER SQUARE MILE
93
AVERAGE WALK SCORE
158
FOOD & BEVERAGE SPOTS PER SQUARE MILE
15+
MILES OF BIKE LANES
Source: DTLA 2022 Outlook & Insights Report *A Union Station Factsheet (2021)
Downtown Center Business Improvement District
5
WORKS
HED, KPMG Center
DTLA & THE FUTURE OF WORK
T
he renaissance of Downtown Los Angeles over the last two decades has restored and revitalized the foundational assets and fundamental qualities that make it both timeless and trendy. It is a place with enduring appeal that is also highly adaptable – critical attributes in this unique moment of change. The inherent value of its authentic culture, iconic buildings, vibrant social life, and abundant amenities cannot be overstated. Combined with its central location, wealth of infrastructure, transit accessibility, and public spaces, DTLA is a place where workers and companies thrive. And a future less constrained by where you have to be for work, may be more defined by where you want to be.
6
A survey by JLL in December of 2021 found that the #1 priority for the workforce (ahead of salary) is work-life balance, 73% of workers want to work from places that offer a destination for human connection, and 63% prefer a hybrid model vs. working from the office or home exclusively. (1) WORK-LIFE BALANCE & INTEGRATION The convenience of DTLA’s central location supports both work-life balance and hybrid modes of work, with 50% of DTLA workers commuting less than 7 miles, and 62% of DTLA residents traveling less than 5 miles to work, while 41% walk, bike, or take transit. The area’s social and cultural diversity,
Downtown Center Business Improvement District
exciting dining, nightlife, and entertainment, and robust health and wellness offerings, create unparalleled opportunities for the integration of lifestyle and work. The consensus “among investors, occupiers and placemakers is that location strategy is not likely to change significantly in the wake of the pandemic. Walkable submarkets – in urban and suburban settings – are going to continue to be coveted by employees. In a world where people are in the office less frequently and are looking to the office – and the surrounding neighborhood – to provide what they cannot get when working remotely, the argument could be
WORKS made that these settings are more important than ever.” (2) The evolution of DTLA has been fueled by the growing residential population. Neighborhoods like South Park and the Fashion District have blossomed, bringing 24/7 life to what was once a 9-to-5 area. With those residents have come restaurants, retail, and services that make it a more convenient and appealing place to work as well. With a walkability score of 93, DTLA is uniquely pedestrian-friendly for Los Angeles, which is a big draw for both residents and workers, as are its collection of parks and public spaces for relaxing, recharging, eating al fresco, or just getting a change of scenery. HUMAN CONNECTION & COLLABORATION “Employers increasingly view the office as a place for collaboration and meaningful employee connection. Amenities that meet the daily needs of employees, help them establish and maintain relationships, and offer experiences that represent the company’s brand and values will become more important. The shifting role of the office will likely accelerate a flight to quality, with office buildings that offer the most desirable technology, amenities, and flexible space capturing a growing share of demand.” (3) With all the digital and virtual capabilities companies and workers developed during the pandemic, one of the key insights of this period is the irreplicable value of face-to-face interaction
– for productivity, efficiency, professional development, and just plain human well-being. Social interaction, creative brainstorming, opportunities for mentoring, and organizational culture – these are the intangible but invaluable things we missed working remotely, and there is clear agreement on their critical importance. This was no surprise to forwardthinking corporate leaders and property owners, but the pandemic brought it into stark relief and increased its immediate relevance. Over the last decade, office owners in Downtown LA have made significant investments in upgrading their properties – adding common areas, outdoor spaces, amenities, and services that increase their appeal. These improvements have enabled them to adapt and accommodate differing needs across industries, companies, and individuals, which has become even more important as modes of work have shifted over the past two years. HYBRID, FLEXIBLE, EFFICIENT One overarching lesson from the unprecedented work-from-home experiment of 2020-21 – that hopefully will not be lost in the rush of return-to-office in 2022 – is that no one-size-fits-all. Challenges and solutions range across individuals, companies, and industries. “Flex arrangements foster innovation through increased employee interaction, exposure to new business concepts, and crosspollination of ideas.” (4) “With hybrid the new normal,
office properties with amenities that enhance employee collaboration, connection, and wellness will fare best.” (5) Techenabled organizations and individuals with access to the latest IT infrastructure, tools, and support have taken great leaps forward in terms of efficiency and capabilities during this period – gaining competitive advantages, and personal benefits, that might previously have been inconceivable. DTLA office properties, ranging from state-of-the-art Class A towers to one-of-a-kind historic buildings, have reinvented themselves over the past decade. Coming out of the pandemic, they have an increased focus on health and wellness, innovative work models and space designs, and lifestyle amenities, services and programming. Forward-thinking tenants in those buildings have reconceptualized their own spaces and practices, supporting the shifting needs and desires of their teams and talent. MEETING THE MOMENT Downtown Los Angeles is a place of great resilience and adaptability, the dynamic vitality of its people, places, and spaces has enabled it to overcome challenges in the past, and those qualities will serve it well in a new era in which work-life balance and integration, human connection and collaboration, and above all, flexibility, will define not so much where we have to work, but where we want to be. Sources: (1) JLL, The Future of Flex, 2021; (2) Cushman & Wakefield, Workplace Ecosystems of the Future, 2020; (3) CBRE 2022 U.S. Real Estate Market Outlook; (4) JLL, Flexible Space Report, 2021; (5) CBRE 2022 U.S. Real Estate Market Outlook
Downtown Center Business Improvement District
7
WORKS PROPERTY TYPES The Downtown renaissance has radically transformed the DTLA office market with new ownership, tenants, and workspaces – bringing Class A properties into the 21st century, restoring historic buildings to their former glory, and converting industrial spaces for a new generation of tech and creative companies.
CLASS A Modern glass and steel towers, long-desired for their high-quality spaces and amenities, large floorplates, and prestige locations.
City National Plaza
Wells Fargo Center
Pershing Square Building
The Bradbury
City National Plaza
ROW DTLA
HISTORIC Classic buildings from the early 20th century updated for today’s creative firms in architecture, design, fashion, and technology.
INDUSTRIAL Traditional warehouse and manufacturing properties retrofitted and repositioned as flexible open space. 8
Downtown Center Business Improvement District
WORKS
AON Center
Wilshire Grand Center
FourFortyFour South Flower
The CalEdison
Fine Arts Building
PacMutual
The Switchyard
fourth & traction
7MAIN
Downtown Center Business Improvement District
9
WORKS URBAN LANDSCAPE
1
15
26
25
10
3
2
Downtown Center Business Improvement District
16
17
18
19
4
5
20
6
21
27
7
8
WORKS Take the DTLA Virtual Office Tour
CLASS A 1 2 3 4
9
10
11
12
13
14
5 6 7 8 9 10 11 12 13 14
USC Tower 777 Tower EY Plaza Wilshire Grand Center Aon Center City National Plaza FourFortyFour South Flower US Bank Tower The Gas Company Tower 400 South Hope Bank of America Plaza Wells Fargo Plaza City National 2Cal 1 Cal Plaza
HISTORIC 15
22
23
16
24
17 18 19 20 21 22 23
28
29
30
31
24
The Western Pacific The Garland Building Fabric 7MAIN St. Vincent Jewelry Center 818 Plaza PacMutual The CalEdison The Trust Building The Bradbury
INDUSTRIAL 25 26 27 28 29 30 31
ROW DTLA California Market Center Warner Music Produce LA AT MATEO Maxwell Building The Switchyard
Downtown Center Business Improvement District
11
WORKS CASE STUDIES: CLASS A DTLA’s Class A Towers have made substantial, strategic investments in upgrading their infrastructure, amenities, and programming to appeal to new industries, companies, and talent.
WELLS FARGO CENTER: HALO This $80M overhaul of the food and beverage offerings at Wells Fargo Center features an open seating plan, enhanced outdoor spaces, and first-rate food options such as Shake Shack, Trejo’s, and Danny Boy’s. On the second floor, The Peak at Halo is a tenant amenity center featuring a fitness & wellness studio, an al fresco terrace, and flexible space for work and meetings.
THE BLOC: URBAN CAMPUS The creation of THE BLOC was one of the most dramatic property transformations in DTLA’s recent history, with much of the attention placed on the open-air retail plaza. Less obvious from the outside were critical investments in the office tower, including a rooftop patio and common areas, high-speed programmed elevators, and a new entrance lobby integrated with the public-facing plaza.
12
Downtown Center Business Improvement District
WORKS FOUR FORTY FOUR SOUTH FLOWER: INNOVATION & WELLNESS Property-wide improvements have greatly enhanced the experience for workers, providing easy access to amenities, common areas, and outdoor spaces featuring the building’s world-class public art collection. On the inside, property owner CoreTrust Capital Partners has demonstrated their commitment to innovation and wellness by becoming the world’s first building to achieve UL’s Healthy Building Verification for Indoor Air & Water Quality, and by creating the Workplace Innovation Lab, featuring oneof-a-kind open-air terraces that invite the outside into the tower.
US BANK TOWER: TRANSFORMATION New owner Silverstein’s $60M repositioning plans will transform all aspects of the tower and surrounding campus - The Gardens - to meet the evolving needs of the modern workforce. Highlighted by a redesigned lobby with indoor & outdoor collaboration areas, juice/cocktail bar, Grab & Go market, and Vista - a new 20,000 SF amenity destination on the 54th floor with flexible event/conferencing/work spaces - this comprehensive placemaking effort is aimed at improving not only the building, but the surrounding neighborhood as well.
Downtown Center Business Improvement District
13
WORKS CASE STUDIES: CLASS A CITY NATIONAL PLAZA: INDOOR-OUTDOOR SPACES The redesign and reorientation of City National’s central plaza demonstrated the value of such investments, transforming what was once an empty, underutilized space into one of the area’s most popular gathering spots. To make the space even more accessible and inviting, ownership added giant sliding doors that bring the outside in and the inside out, along with a private indoor-outdoor tenant lounge for meetings and events.
FIGUEROA AT WILSHIRE: THE THIRD PLACE Across their portfolio in DTLA, Brookfield Properties has made strategic investments to expand their hospitality offerings. The Third Place at Figueroa At Wilshire not only includes meeting space for 2 to 200, but also offers a fitness center, lounge, and a nourish snack bar, reinforcing the company’s commitment to promoting wellness in the workplace.
14
Downtown Center Business Improvement District
WORKS A PROPERTY TO FIT EVERY NEED The previous studies are a small sampling of DTLA’s inventory of contemporary office properties, which offer a wide range of options in terms of size, on-site amenities, and cost. Owners of these properties have similarly made substantial improvements to modernize their buildings and offer services that meet the needs of any tenant.
VISITORS UNION BANK PLAZA
KPMG CENTER
USC CENTER
WEDBUSH CENTER
801 TOWER
626 WILSHIRE
606 OLIVE
FIGUEROA TOWER
800 WILSHIRE
818 PLAZA
AON CENTER
WILSHIRE GRAND CENTER Downtown Center Business Improvement District
15
WORKS CASE STUDIES: HISTORIC DTLA possesses some of the finest examples of early 20th century commercial architecture in the world – many of which have been lovingly restored and modernized with the latest technology and amenities.
PACMUTUAL A City of Los Angeles Historic-Cultural Monument, PacMutual is an iconic 450,000 SF complex of three interconnected buildings that has been at the forefront of DTLA’s rise as a destination for creative companies. Strategic investments to upgrade and reposition the property have attracted a new wave of tenants in fashion, design, technology, and communications.
THE CALEDISON One of the first all-electrically heated and cooled buildings in the United States, The CalEdison is a fourteen-story, steel-framed 1931 treasure that follows a classically inspired Art Deco design. As part of its repositioning for creative offices, the property now features a campus-wide fiber backbone that allows tenants to work across the property’s amenities on their own private network, including at the hip espresso bar in the building’s spectacular Deco lobby.
16
Downtown Center Business Improvement District
WORKS 7MAIN The flagship of department store chain Dearden’s for over a century, the property has been reimagined by Urban Offerings as a 90,000 SF contemporary creative office campus. The fully renovated interiors feature original brick walls and old growth timber framing, with ceiling heights ranging from 12 feet to 17 feet. A private garden tucked behind the alley is for the exclusive use of tenants and guests, while ground floor retail, restaurants, and bars activate the neighborhood and make it a destination for all Angelenos.
THE TRUST BUILDING Built in 1928 as the headquarters of the Title Insurance & Trust Company, and known as the “Queen of Spring Street” when Spring Street was known as the Wall Street of the West, The Trust Building is the most recent and ambitious revitalization project by Rising Realty Partners, who envision it as a “modern community of thinkers & makers.” The property features over 300,000 SF of thoughtfully restored office space, amenities, and chef-driven destination restaurants in the lobby and on the rooftop.
Downtown Center Business Improvement District
17
WORKS CASE STUDIES: INDUSTRIAL Former industrial properties have become a go-to choice for tech and creative companies, and DTLA’s Arts District is home to over 30 million SF of such space, fueling its rise as one of the top destinations for innovative companies in growth industries.
ROW DTLA In terms of scope and ambition, no other industrial conversion comes close to the vision that Atlas Capital has been making a reality for ROW DTLA. More than a campus, at 32 acres and almost 3 million SF of rentable space, it is a “city within a city” that features a curated mix of contemporary offices, bespoke boutiques, and artisanal eateries, all served by a 4,000-stall parking structure that affords tenants 4 spaces per 1,000 SF.
WARNER MUSIC Originally built in 1914 to manufacture Ford Model T automobiles, this property at 7th and Santa Fe was purchased by Shorenstein in 2014, just as the Arts District was taking off, and restored it back to its former glory. In 2019 it became the new home of Warner Music Group, whose relocation from Burbank firmly established DTLA as a premier location for media and creative companies.
18
Downtown Center Business Improvement District
WORKS CALIFORNIA MARKET CENTER Built in 1962 as a showroom and merchandising complex, it quickly became the heart of the world-renowned LA fashion industry. Comprising three towers and over 1.8 million SF, it was acquired by Brookfield Properties in 2017 - who has undertaken a $170M redevelopment and creative office repositioning featuring state-ofthe-art facilities, infrastructure, and amenities, including an open-air shopping plaza, rooftop terraces, and an Urbanspace food hall. The effort has already landed its first new signature tenant in Adidas, who will occupy 107,000 SF.
THE SWITCHYARD Completed in 2019, this is one of several new Arts District properties built in an “industrial style” to complement the neighborhood character. Properties like this offer the same look and feel as their 100-yearold counterparts but are designed with modern tenant needs in mind. New owners SteelWave, who bought the property at the height of the pandemic, plan to add improved outdoor seating and upgraded lobbies to the already Class A property.
Downtown Center Business Improvement District
19
WORKS GEOGRAPHIC CLUSTERS BUNKER HILL A mix of soaring skyscrapers, internationally-known cultural institutions, and world-class architecture, Bunker Hill is also home to an increasing concentration of desirable residential properties. While bustling with office workers on weekdays, the success of The Broad, Disney Concert Hall, and adjacent culinary destinations has ushered in a new population, altering perceptions and activating the area on evenings and weekends.
FINANCIAL DISTRICT Dense, diverse, and dynamic, the Financial District is the heart of DTLA. Sitting at the center of the region’s Metro rail system, and possessing an unparalleled selection of restaurants, it is the epitome of convenience. The area is home to major retailers like Target, Macy’s, and Whole Foods, great hotels like The Sheraton and InterContinental, and authentic attractions like Pershing Square and the Jewelry District. Rental and condo properties add a residential community that keeps the neighborhood buzzing through the day and into the evening.
HISTORIC CORE / FASHION DISTRICT With its collection of classic buildings adapted for both office and residential use, this area boasts many of the things that originally put Los Angeles on the world stage – ornate movie palaces, showcase architecture, and the bustling Broadway corridor. It’s also where visitors can experience DTLA’s contemporary reputation as a one-of-a-kind food, arts, and shopping destination, with monthly community events like Downtown Art Walk, Shop Walk, and a popular weekly farmers market drawing crowds to the district through the week and weekend.
ARTS DISTRICT Situated on the eastside of DTLA, adjacent to the LA River and railyards, the Arts District is famously home to galleries and cultural spaces, live/work lofts, and unique restaurants and retail in converted warehouses and former factories. It’s also become a haven of innovative space for technology, media, and other creative companies. The neighborhood’s buzz can be felt day and night and has made it one of the hottest real estate markets in the country. 20
Downtown Center Business Improvement District
WORKS Take the DTLA Virtual Office Tour
FINANCIAL DISTRICT
BUNKER HILL
ARTS DISTRICT
HISTORIC CORE / FASHION DISTRICT
n CLASS A n HISTORIC n INDUSTRIAL
The following pages include highlights from each of these areas. A comprehensive list of retail, restaurants, services, and other offerings in DTLA can be found at DowntownLA.com/Explore
AMENITIES Arts & Entertainment Dining & Drinks
Get Outside
Transportation
Coffee Shopping
Health & Wellness
Downtown Center Business Improvement District
21
WORKS BUNKER HILL
FEATURED PROPERTIES 1
FourFortyFour South Flower
2
US Bank Tower
3
The CalEdison
4
The Gas Company Tower
5
400 South Hope
6
Bank of America Plaza
7
Wells Fargo Center
8
1 Cal Plaza
9
City National 2Cal
AMENITIES HIGHLIGHTS
Grand Park
Pez Cantina
22
Downtown Center Business Improvement District
Angels Flight Railway
WORKS
Ketchum Downtown YMCA
B of A Plaza Farmers Market
The Broad
Equinox
Otium
The Yard
Grand Central Market
Downtown Center Business Improvement District
23
WORKS FINANCIAL DISTRICT FEATURED PROPERTIES
AMENITIES HIGHLIGHTS
LA Fitness
Perch
24
Downtown Center Business Improvement District
FIGat7th
1
865 Figueroa
2
777 Tower
3
EY Plaza
4
Wilshire Grand Center
5
Figueroa at Wilshire
6
818 Plaza
7
THE BLOC
8
City National Plaza
9
Aon Center
10
KPMG Center
11
PacMutual
WORKS
Grand Hope Park
Bottega Louie
The BLOC
Spire73
Broken Shaker
Nice Coffee
JoeyDTLA
LAAC
Downtown Center Business Improvement District
25
WORKS HISTORIC CORE / FASHION DISTRICT
FEATURED PROPERTIES
AMENITIES HIGHLIGHTS
Apple Tower Theatre
Pershing Square
26
Downtown Center Business Improvement District
Spring Arcade
Jewelry District
1
The Western Pacific
2
California Market Center
3
The Garland Building
4
St. Vincent Jewelry Center
5
7MAIN
6
FABRIC
7
The Bradbury Building
8
The Trust Building
WORKS ARTS DISTRICT
FEATURED PROPERTIES 1
ROW DTLA
2
AT MATEO
3
The Maxwell
4
The Switchyard
5
Produce LA
6
Warner Music
7
2130 Violet
AMENITIES HIGHLIGHTS
Girl & the Goat
ArtShare L.A.
Verve Roastery
ROW DTLA
Downtown Center Business Improvement District
27
WORKS TENANTS: OVERVIEW
n CLASS A n HISTORIC n INDUSTRIAL
28
Downtown Center Business Improvement District
WORKS
Downtown Center Business Improvement District
29
WORKS TENANTS FINANCE Financial services firms have long been drawn to Downtown for its Class A office spaces, prestige locations and amenities, easy freeway access, and even skyline signage opportunities. Renewals and expansions by some of the sector’s largest tenants underscore its continuing appeal.
Highlights:
• • • •
Bank of America City National Bank Ernst & Young (EY) > Wells Fargo
LEGAL With one of the largest concentrations of courts and government agencies in the country, Downtown is a prime location for legal services, with globally-recognized firms like Fragomen (immigration) and Wilson Sonsini (tech) setting up shop in DTLA over the past few years.
Highlights:
• • • •
Skadden White & Case > Gibson Dunn Sheppard Mullin
BUSINESS SERVICES As the center of a global gateway city – one of the world’s largest regional economies – DTLA is ideal for B2B services firms. The concentration of businesses, range of industries, and access to the region, give these companies a competitive advantage.
Highlights:
• • • •
Bambee HR Boston Consulting Group > Shopify Willis Towers Watson
We’ve been very intentional about the culture we’re trying to create, the space where our people work, the benefits we provide, and our efforts...to be our employees’ most authentic working experience.” – Bambee HR 30
Downtown Center Business Improvement District
WORKS
It’s the fastest and hottest next chapter of real estate development, arguably, in LA. And that’s a place that we want to be.” – HOK
REAL ESTATE Downtown is the primary hub of the real estate industry in Los Angeles, and its most dynamic market. Leading firms like CBRE, Brookfield, and Rising Realty are pushing boundaries, embracing DTLA’s innovative spirit, and fueling its dynamic growth.
Highlights:
• • • •
Brookfield CBRE > Onni Group Rising Realty
ENGINEERING Downtown is a natural fit for engineering with its concentration of related industries and government entities for LA City and County like LA Metro and Public Works departments. Talent is another big draw with three of the country’s best engineering schools – USC, UCLA, and CalTech.
Highlights:
• • • •
AECOM > ARUP Buro Happold Psomas
ARCHITECTURE Gensler’s relocation from Santa Monica sparked a wave that has made DTLA the center of the region’s architecture industry and attracted other creative industries. For these firms, being in Downtown, with the scale and scope of its development pipeline, is a major competitive advantage.
Highlights:
• • • • •
CallisonRTKL Gensler > HOK Architecture JERDE Omgivning
Downtown Center Business Improvement District
31
WORKS TENANTS FASHION & LIFESTYLE Downtown has long been the “back room” of the fashion industry, with the largest collection of wholesale businesses outside of NYC. Today, that supports a new generation of globally recognized designers and a new wave of fashion-tech companies making DTLA home. Highlights:
• • • • • • • • • •
Adidas Johnny Was Burlington HauteLook K-Swiss Lucky Brand Jeans FARFETCH > Splendid / Ella Moss Califa Farms Soylent
The company was attracted to the property in part because of its proximity to the new hotels, apartments, bars, restarurants and cultural attractions that have mushroomed nearby.” – Adidas
We feel there will be an intrinsic benefit to immersing in the progressive culture of Downtown Los Angeles ... identify market trends where they happen, access a vibrant retail culture, identify synergies with other brands in the space and lay the best possible foundation for our future.” – K-Swiss
32
Downtown Center Business Improvement District
WORKS MEDIA & ENTERTAINMENT The growth of media and entertainment in DTLA is tied to its emergence as a cultural center and hub of creative talent. From pioneers like Spotify to industry icons like Warner Music Group, Downtown is rapidly becoming the place to be.
Highlights:
• • • •
BUCK Spotify > Warner Music Group Zocalo Public Square
We take pride in being part of a thriving creative community. Big brands, small start-ups, independent shops, cafés, and restaurants – we’re all here.” – Spotify
Downtown’s L.A.’s budding art, fashion, and food scene is a natural fit for WMG, as it is a magnet for businesses, entrepreneurs, and creatives.” – Warner Music Group
MARKETING & COMMUNICATIONS It’s no surprise that companies at the intersection of creative and commercial would be drawn to DTLA. Perhaps no other industry benefits more directly from close proximity to business clients and creative talent, and being immersed in the cultural energy that defines today’s Downtown.
Highlights:
• • • •
Golin > SRAX TubeScience WC+A
Downtown Center Business Improvement District
33
WORKS TENANTS TECHNOLOGY & INNOVATION Emerging organically from the creative energy and diversity of industries and talent in DTLA, the rapidly growing tech scene is one of Downtown’s most dynamic sectors. With critical mass in key areas such as educational institutions, research funding, industry infrastructure, talent base, entrepreneurial ventures, and funding sources, DTLA’s innovation ecosystem is increasingly able to attract and nurture new firms, creative talent, and business investment. The same qualities that make DTLA a great place to live, work and play – community, culture, and convenience – also make it a compelling base for innovative companies.
Highlights:
• • • • • • • • • •
Evite Ghost Management GMV Honey > HopSkipDrive LACI Magnopus NationBuilder > Netmarble US Oblong Industries
We want to be in the center of the action because Western expansion is a key driver of us expanding our business. It makes a lot more sense to be downtown than stay in Orange County.” – Netmarble US
34
Downtown Center Business Improvement District
WORKS CO-WORKING DTLA is home to a robust selection of co-working spaces, including a diverse mix of global brands, national players, and local ventures. No matter what kind of space you are looking for, you will find it in DTLA.
Highlights:
• • • • • • • • • • • • • • • • • • • •
As We Dwell BLANKSPACES Bond Collective CARR Workplaces > CENTRL Office Convene Cross Campus Green Street Industrious Maker City LA NeueHouse > PeopleSpace Premier Workspaces Regus Serendipity Labs Sew FYI Union Cowork Wilshire 1001 SPACES > WeWork
Downtown Center Business Improvement District
35
WORKS TALENT The convenience of its location at the center of both the freeway and transit system combined with the depth and breadth of its amenities for workers, and its uniquely dynamic energy, gives Downtown a competitive advantage for employers seeking to attract and retain top talent.
350,000
93%
JOBS
EXPECT TO RETURN TO OFFICE
$86,200
21%
AVERAGE HOUSEHOLD INCOME
JOB GROWTH IN “KNOWLEDGE INDUSTRIES”
59%
55%
30 - 54 YEARS OLD
POSTSECONDARY EDUCATION
KNOWLEDGE INDUSTRY JOBS The most highly sought after talent are in the so-called "knowledge industries" which are well represented in DTLA, at 28% of the total workforce. These sectors are also adding jobs in Downtown, having grown by 21% since 2010. Professional, Scientific, and Technical Services
34,769
Health Care and Social Assistance
21,579
Finance and Insurance
17,973
Information
7,586
Management of Companies and Enterprises
5,796
Real Estate and Rental and Leasing
4,828
Total Knowledge Industry Jobs in DTLA Percent of Total Jobs in DTLA Source: DTLA 2022 Outlook & Insights Report
36
Downtown Center Business Improvement District
92,531 28%
WORKS
When looking for new offices, we took many factors into consideration, including square footage, location, and commutes... But above all, we wanted an exciting space that enables us to preserve our unique company cultures, while promoting greater collaboration across divisions. – Warner Music Group
This strategic move will allow us to expand our operations and continue to attract the best talent in this dynamic market...As our company embarks on a new phase of rapid growth, all of us at Evite remain focused on our mission of bringing people together face-to-face. – Evite
DTLA is one of the key financial epicenters of Southern California, which is very desirable to employees and other businesses... The synergies of this location are important to our human capital and the future growth of our firm both nationally and internationally. – American Realty Advisors
Downtown Center Business Improvement District
37
WORKS EMBRACING LIVE/WORK The population of Downtown LA has grown to over 80,000 and shows no sign of slowing. For many who are drawn to the urban lifestyle, reducing or eliminating the commute is often one of the key benefits. Nowhere else in the LA region will you find more opportunity for such an experience.
41%
WALK, BIKE, OR TAKE TRANSIT TO WORK
62%
WORK WITHIN 5 MILES OF DTLA
32%
DO NOT OWN A CAR Source: DTLA 2022 Outlook & Insights Report
COST OF HOUSING & TRANSPORTATION % of income DTLA Residents
37%
City of LA
54%
LA Region
59%
Source: Center for Neighborhood Technology (2017)
DTLA VS. CITY OF LA DTLA
All LA
Walk Score
93
68
Transit Score
98
53
Bike Score
78
59
Source: Walk Score (2021)
38
Downtown Center Business Improvement District
Union Station
WORKS COMMUTER ACCESS The maps below demonstrate how being at the center of LA’s freeway and rail systems provides multiple commuting options, making it an appealing work location for talent from across the region. With the growth of hybrid and flexible work, having a location that is accessible from so many different areas is more valuable than ever.
DTLA FREEWAY & RAIL ACCESS San Fernando Valley
Burbank
Glendale Pasadena
Eagle Rock
Hollywood
Caltech
Silverlake West Hollywood
UCLA
San Gabriel Valley
Echo Park
Cal State LA
Union Station Century City
Mid-Wilshire
East Los Angeles
Koreatown USC
Santa Monica
Culver City
Playa Vista
LAX
Inglewood
South Bay
South Los Angeles
n TRANSPORTATION n UNIVERSITIES n NEIGHBORHOODS
Long Beach
DTLA WORKERS HOME LOCATION
# of Visits High
Low Source: Placer.ai
Downtown Center Business Improvement District
39
For a more interactive experience, take the DTLA Virtual Office Tour. DOWNTOWNLA.COM/ VIRTUAL
SEE DOWNTOWN LA IN A NEW PERSPECTIVE
SCAN
CONTACT US Nick Griffin, Executive Director (213) 416-7522 I ngriffin@downtownla.com Elan Shore, Director of Research & Special Projects (213) 416-7518 I eshore@downtownla.com Cole Judge, Program Manager (213) 416-7516 I cjudge@downtownla.com
