Every quarter San Diego Regional EDC analyzes key economic indicators that are important to understanding the regional economy and the region’s standing relative to the 25 most populous metropolitan areas in the U.S.
Data are now updated through Q2 2020, reflecting the early impacts of COVID-19 on our regional economy. Scroll through the interactive maps and graphs below to see trends in employment, housing, and investment.
VC Funding Expands
$875M in Healthcare
CRE Vacancy Rates Jump
Office vacancy increased to 11.7%
Home Prices Rise
Median Home price of $670K
Key findings from q2 2020:
- San Diego saw nearly $1.2 billion in venture capital investment come into the region in Q2 2020. Three-quarters, or $875 million, went into healthcare as the industry pivots to combat the pandemic. Investors continue to see San Diego as a leader in life sciences, and many local companies have risen to meet the demand for PPE and rapid diagnostics.
- Both office and industrial vacancy rates jumped in Q2 2020. Office vacancy rates increased by nearly one percentage point from the previous quarter to 11.7 percent with 1.8 million square feet under construction and as a result of most office jobs turning to remote work to stop the spread of COVID-19. According to CBRE, most of the ongoing construction activity is in Downtown, UTC, and Del Mar Heights. Industrial vacancy rate increased to 5.4 percent in Q2 and rent growth continued to slow.
- Home sales growth has been slowing since December 2019 and began declining in March 2020. In May, home sales were down 42 percent compared to a year ago but then bounced back slightly in June. Despite declining home sales and record unemployment, home prices continue to rise. The median-priced single-family home is $670,000, up about two percent in Q2. This will further exacerbate the region’s ongoing affordability challenges.