SCVEDC Blog

Last Thursday night, the Los Angeles Economic Development Corporation (LAEDC) recognized the City of Santa Clarita as the Most Business Friendly City  in LA County with a population greater than 60,000, tying with the City of Gardena. El Segundo was named the winner for cities with a population under 60,000. Tom Cole and Monica Fawcett from the city's Economic Development department accepted the award on the city's behalf at the LAEDC’s 27th Eddy Awards in SoFi Stadium.

The Eddy Awards® is one of the most prestigious awards programs to recognize leadership in economic development in business and government throughout Los Angeles County. It celebrates exceptional public and private leadership in LA County economic development, with the Most Business Friendly City Award and recognition of honorees that demonstrate outstanding contributions to economic development in the region.

Honoring Santa Clarita Valley's Largest Employers

The Santa Clarita Valley is a growing region with significant opportunities for businesses including available, state-of-the-art industrial and commercial buildings in master planned developments. Despite the challenges of the last two years, 2022 was a successful year for many companies, and there were several attractions and expansions across our target industry clusters. Through our research for the Economic Outlook Forecast, we compiled the Santa Clarita Valley Largest Employer’s List illustrating some remarkable growth this past year.

The 2022 Economic Outlook Forecast 

Designed to provide attendees with an economic analysis and outlook for the coming year, the 2022 Economic Outlook Conference included global, national, and state perspectives, while focusing primarily on the trends and issues associated with the Santa Clarita Valley and the surrounding business community. Alongside the conference the SCVEDC also releases it's Outlook Book, containing more in-depth data and economic forecast information.

Summary Overview:

• Our population continues to grow steadily and we built almost 2000 new homes in the last 3 years alone. It's expected to average 0.8% per year through 2027, increasing by approximately 12,000 residents.
• Meanwhile, our jobs base has also grown as we've built millions of square feet of new industrial, commercial, and retail space.
• We have nearly recovered all the jobs lost during the pandemic and our job creation rate is still up, having added approximately 5,200 jobs in 2022 alone. Many of these jobs were in the hardest hit industries in the Santa Clarita Valley by the Coronavirus Recession.
• The rate of job growth exceeded the rate of population growth.
• Industrial vacancy is at zero, but commercial office space is expected to steadily recover. There are millions of square feet of mixed-use space under current construction, already approved, or awaiting approval.
• Inflation has likely peaked and should normalize by the end of 2023. While overall growth predicted for this year has been downgraded, and stagflation is a continued concern, a bona fide recession is not likely at this time according to Schniepp.

New extension of Film & TV Tax Credit will support continued growth already seen in SCV film industry.

When people think filming television and movies, of course Hollywood and Los Angeles are the first to come to mind. Santa Clarita Valley however is one of the most filmed locations in the State, and that includes LA. Santa Clarita is consistently one of the most filmed places in California because it’s located within the industry’s well-known 30-Mile Zone and offers thousands of film-friendly locations that can double for almost anywhere in the world. Throw in a  City Film Incentive Program, Movie Ranch Overlay Zone, low-cost permit fees and expedited permit processing, and it's easy to see how we recently broke our own record this year by generating over $40 million in economic impact!

California has long been known as the entertainment capital of the world, and one of the ways the state has been working to keep filming here is through the Film & Television Tax Credit Program. The program has been shown to generate $24 in economic activity for every $1 invested – spurring tens of billions of dollars in economic output, helping create over 110,000 jobs, and bringing shows and films to California. In July of last year, Governor Gavin Newsom expanded The legislation expands the current film credit program with a $180 million increase over two years and an additional one-time $150 million incentive to be used over multiple years for the construction of certified motion picture soundstages – building out studio infrastructure to keep pace with the growth in production.

The Honor Ranch Site (Honor Ranch) is a potential development located in a County-owned vacant lot in the Santa Clarita Valley. This 206-acre plot along the eastern edge of the I-5 (north of the Castaic Junction) offers an excellent opportunity for a new jobs-creating development. It consists of a large contiguous land area with high visibility and freeway access.

The location has been identified as a potential development site for years. A motion was introduced by 5th District Supervisor Kathryn Barger on June 14, 2022 that enters LA County into an exclusive negotiation phase for the project. The "Honor Ranch Development Project" has now moved further in the process than ever before towards making this project a reality.

Trammell Crow Company (TCC) was chosen as the preferred developer for a 1.8 million SF project consisting primarily of new industrial facilities. TCC will work closely with LA County Public Works on the pre-development phase, as well as negotiating a final agreement. Honor Ranch has great potential to bring more high quality jobs to our valley, allowing more residents in our expanding population to live and work right here in SCV!

Congratulations to the Top Power Brokers!

The Santa Clarita Valley Economic Development Corporation (SCVEDC) invests not just in growing our local businesses, but attracting great companies to the region with a focus on industries that provide our residents with high quality, high paying jobs.

Bringing these businesses to our community takes a combined effort from the SCVEDC and our partners in economic development, and of

course, from the tireless commercial real estate brokers who work hard to get these businesses set up at the right location that works for them. Each year we recognize the top commercial real estate brokers active in the Santa Clarita Valley, who will be honored this week at a private breakfast event.

Adept Fasteners expands to their new home in Valencia Commerce Center

SCVEDC's recent case study about Adept Fasteners provides a look at the company's objectives and space needs. The case study illustrates their reasoning behind the decision to expand their operations in the Santa Clarita Valley by designing a custom layout facility. Adept Fasteners provides engineering fastener solutions for the global aerospace and defense industry. The company offers customized inventory solutions supported by technology to meet customers' production needs and delivery times. Adept is an approved supplier for top names in the industry, including Lockheed Martin, Boeing, Northrup Grumman, Raytheon Technologies, and more.

The Santa Clarita Valley continues to grow its footprint of local production facilities, with Newmark Knight Frank (“NKF”) announcing Monday that LA North Studios signed a pre-lease for the final available building at the IAC Commerce Center. Expected to be ready in Q1 of 2022, Building 8 will add an additional 113,400 square feet to LA North's already substantial amount of production space. Film industry companies have been busier than ever during the spike in production the last few years, giving credit to SCV's moniker of "Hollywood North". There is no doubt that SCV is a happening location for filming, and with soundstage space at a premium, our region has added several more over the past years to accommodate the demand.

The Santa Clarita Valley has long been known as an ideal location to live, work and play. From theme parks and historic house tours to outdoor recreation and sporting events, you can fill your days with plenty of fantastic experiences for all ages. As the third largest (and still growing) city in the county, it’s no wonder Santa Clarita has been dubbed the “Gateway to L.A.”. Here you’ll find everything you value in one outstanding Southern California destination that's central to everything. Santa Clarita is the hub for family entertainment and a short drive to beaches, snow and other nearby attractions. Not to mention home to the thrill capital of the world: Six Flags Magic Mountain!

City of Santa Clarita among 10 finalists for this year's "Most Business Friendly City" Award

It's been another banner year for Santa Clarita in terms of achievements and growth. Through a lot of hard work and collaboration, the citizens and businesses of SCV have really risen to meet the challenges of the last 18 months. As we heard from economist Dr. Mark Schniepp at our Economic Outlook Forecast, Santa Clarita is well on its way in terms of recovery. One of the biggest factors in growth and economic recovery is for your businesses to thrive. The City of Santa Clarita has once again been named as a finalist in the Los Angeles Economic Development Corporation's (LAEDC) award for "Most Business Friendly City" in LA County. As Los Angeles County's third largest city, Santa Clarita continues its commitment to maintain a healthy business environment for current and future companies, proactively promoting business-friendly programs and services--a critical factor in job creation. With award criteria including prioritizing and supporting business recovery, reinvention, growth and hiring throughout the COVID-19 pandemic, it's no surprise that we made the short list.

 The economic shutdown due to the COVID-19  pandemic coincided almost perfectly with the  Santa Clarita Valley Economic Development  Corporation’s previously scheduled, and ultimately  canceled, Economic Outlook on March 12, 2020.  With rapidly changing mandates and an uncertain  economic climate, we transitioned to hosting a September 2020 virtual event, with an additional virtual update in March of this year. Last Friday marked the highly anticipated return of the SCVEDC's Outlook to a hybrid in-person and virtual event, hosted at the Santa Clarita Performing Arts Center at College of the Canyons.

The SCVEDC would like to acknowledge seven local employers AMS Fulfillment, CSI Services, Inc., Lief Labs, LIFT innovate, Medical Breakthrough®, Medical Technology Solutions, LLC, and TLK Fusion Inc. on making it onto this year's list for the fastest-growing companies in the US!

In a smart move to keep California’s signature industry thriving in-state, legislators earlier this month voted to increase both film and television tax incentives by another $330 million. The new bill was signed into law on July 22 by Governor Newsom, and has two primary features. The currently available  $330 million is being bolstered with an additional $180 million, bringing the annual film tax incentive program total to $410 million. The entirely new component now adds $150 million, allocated towards the construction of soundstages in an effort to meet the ever-growing demand for these studio facilities. These changes could prove vital to meet California's film and television needs, stop production jobs from leaving the state, and potentially coax studios to return that had jumped ship for more enticing offers in other states.