Business and Education Trends Influencing San Diego’s Real Estate Market
Known as “Americas Finest City” there is no doubt that San Diego truly lives up to its name. Year-round perfect weather, beautiful scenery and miles of sandy beaches. It is hard to not fall in love with San Diego.
As one of the top most desirable cities to live in, the San Diego’s real estate market is in high demand. This results in real estate investors and brokers participating in the city’s housing market. This is great news for current investors, realtors and potential investors who dream of investing in one of San Diego’s beautiful properties.
Business Trends in San Diego
Housing costs in San Diego are amongst one of the highest nationwide, office space rates are also at an all-time high. According to JLL Research, “Class A average monthly asking rental rates are now $3.25 per square foot Full Service Gross (FSG), having surpassed the previous peak at $3.23 FSG reached in 2007. Overall asking rates for Class A and B remain robust with 28 percent growth since the recession” [2 October 2017]. Downtown San Diego currently has the highest amount of executive office spaces to meet the needs of various companies. Thus, if you are looking to rent luxurious office spaces in close proximity to other executive suites, downtown is the best choice. Although it comes with a high price tag.
Education Trends in San Diego
San Diego is also a leader in the STEM field and college level degrees. STEM education brings science, technology, engineering and mathematics to the educational curriculum. Many colleges in San Diego offer a variety of Engineering and technology-based majors. For example, UCSD’s Jacobs School of Engineering, SDSU’s School of Engineering as well as many private universities offering STEM-based majors. Additionally, many elementary, junior and high schools within San Diego County have adopted the STEM approach to education.
This trend in education and colleges is driving an increase in individuals moving to pursue their educational and professional careers. According to JLL Research, “San Diego has seen 36.5 percent growth in Biotechnology and Technology company’s employment in the last 10 years” [28 August 2017]. Being that many college graduates reside in San Diego, many tech firms are expanding to this city. “According to a new study conducted by real estate outfit Cushman & Wakefield, San Diego ranks No. 9 on the first top 25 lists of tech cities in the U.S.” (San Diego Union-Tribune [ 8 June 2017]). Some of the higher ranking companies range from Qualcomm to General Atomics.
Emerging industries in San Diego
Many Bay Area tech companies are planning on migrating to San Diego in the future. According to CBRE San Diego VP Andrew Ewald “If a business owner is able to reduce their operating costs, it simply makes the business more profitable.” Andrew states, “salaries are about 28% lower here than in the Bay Area. For instance, the average salary for an app developer is $102k annually in San Diego, compared to $141k in San Jose” [17 November 2016].
With advancing technology and science, math, technology, and engineering integrations into San Diego County’s education system, the increase in tech jobs continues to grow the housing demand.
Why DiversyFund chooses the San Diego’s Real Estate Market?
As one of the top Real Estate Crowdfunding platforms in San Diego, we follow the new trends in our community. Being such desirable Real Estate market, it makes it easier for real estate investors to prefer our investment opportunities. Finally, DiversyFund’s mission is to revolutionize and simplify the real estate and investment process. Our crowdfunding platform allows our investors to meet their short and long-term investment goals. We provide them with accountable, high-quality investment opportunities.