21 Jan 8 Trends in San Diego to Watch in 2019
8 Trends in San Diego to Watch in 2019
Although San Diego, California did not make the top twenty picks for Amazon HQ2, the area continued to see a positive growth with both new companies and people throughout last year. And the city is expected to continue on that track however there are different property types to watch. Here are the eight trends that are projected to dominate the local commercial real estate in the San Diego area.
- Despite difficult development, there are still opportunities: at the recent San Diego Construction and Development event, speakers shared that while costs are high and limited space, there are still areas to develop, including the downtown areas, such as East Village and for nonurban core opportunities, South Bay is a good option.
- Last-Mile Logistics Fuel the Industrial Market: due to a need to deliver goods to consumers quicker, there is a growing need for last-mile distribution centers, especially from retailers and logistics firms. Investors are on the prowl in San Diego for these types of facilities.
- Cannabis will Drive Industrial Demand: if the Denver market is any kind of guide, the legalization of cannabis in California will drive demand for San Diego County warehouses.
- Tijuana is San Diego’s Twin City: Tijuana-San Diego is a microcosm of the relationship between Mexico and the U.S., and depending the current circumstances, this region could become even stronger for border growth.
- Life Sciences Growth is Expected to Continue: about a year ago, the life sciences employment industry jumped to number three in San Diego County. Capital is pouring into the market as the trend is driving demand for specialized space.
- Demand for Retail is Strong: unlike other markets where retail properties are suffering from stores closing, San Diego is not experiencing that. Demand for retail among tenants and investors is strong, due to population increases and the number of well-paying jobs.
- Its Not All About the Urban Core: growth in San Diego is spreading outside the urban core, which is creating a rise in demand for office and residential properties.
- Housing Crisis Solutions: there isn’t enough affordable housing in San Diego, which is forcing law makers and developers to find a solution. Last year, San Diego took a small step towards a solution by letting up on regulations concerning the development of granny flats.
For more than forty years, Knipp Contracting has been helping homeowners and investors like you maximize their property values, while creating a beautiful space that you can enjoy for years to come.
Are you ready to make an investment in 2019? Our experienced team members are standing by, ready to assist you today. We look forward to hearing from you soon!