Tech Corridor Experts Bullish Despite Slowdown

LOS ANGELES-Although there are signs of a slowdown in the 101 Technology Corridor, many real estate experts remain optimistic about activity in the area, citing the region’s diverse economy as a key buffer against dot-com fallout.

“There is a diversity of industries that make up the backbone of the corridor and they’re not going anywhere,” says Mark Schniepp, director of the California Economic Forecast Project and senior economist for the California Controller’s office. The biotechnology company Amgen currently occupies four million sf in the Tech Corridor and other firms, such as the pharmaceutical company Baxter Industries, are looking to acquire property in the region, says Jack Hileman, president of the LA-based real estate development firm The Hileman Co. LLC.

The Hileman Co. is currently constructing a new addition to its Arbors of Thousands Oak complex along the Ventura Freeway near Wendy Drive. With completion of the 72,000-sf facility slated for September, Hileman remains optimistic about leasing activity at the project. “Although I see hesitancy in technology companies as far as commitments, I haven’t seen a collapse in the market. Let’s hope that by the third or fourth quarter, we are out of our nervousness about the economy and people are ready to make the commitment.”