August 17, 2016
Current occupants, technology, creative and co-working tenants could drive as much as 44 million square feet of new creative office space demand in the Los Angeles region in the next few years, according to the latest research by CBRE Group, Inc.
Growth in start-ups over the next five years alone could total 4.8 million square feet in creative space needs. L.A.’s roughly 1,900 new start-ups – primarily media, entertainment and software companies – commanded 48% of the $7.6-billion in funding since mid-2013 in Los Angeles and Orange County.
CBRE’s Petra Durnin says, “In the next five years, creative space will be synonymous with office space.” She noted that 30 million square feet of office leases will expire in the next five years, which is likely to translate into “some form of creative space.”
Photo credit RMA Photography Inc.
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