Central LA to See Biggest Jump in Population

Central Los Angeles is set to see the largest population growth in the Greater L.A. area. According to a new report from JLL, Central Los Angeles is expected to see this population growth over the next five years. Downtown Los Angeles will see the biggest increase in population, with 12,000 new residents entering the market by 2024. That is a 20% increase, the largest in L.A. Koreatown and Hollywood are also expected to see a healthy increase in population.

“There is a tremendous amount of new multifamily development under way throughout the market, much of it concentrated along key transit corridors,” Amber Schiada, senior director of research and insight for California at JLL, tells GlobeSt.com. “Nearly 60% of all new multifamily units in the pipeline are walkable to a metro stop. Some of the hottest office submarkets are also in this zone. Submarkets likes Hollywood, Culver City, and Santa Monica have active housing pipelines and office demand pipelines. Companies view proximity to housing and transit as key for recruitment and retention, especially in today’s tight labor market. A significant amount of new office leasing by growing content creators is driving not just tighter office market conditions, but also putting a pinch on housing availability.”

Infrastructure improvements will help to fuel growth in Central Los Angeles. “New infrastructure developments ahead of the 2028 Olympics, and the new Sofi Stadium that’s now about 40% complete in Inglewood, are also driving more buzz in the center of the city,” says Schiada. “Inglewood is undergoing a rapid transformation, and the investment here has very much changed the nature and perception of this part of town.”

While the Central L.A. area will see the most population growth in Los Angeles, the greater market is still seeing stagnant pop. “Net migration overall for LA County has been in the red for the last few years. In 2018 it’s estimated that 34,000 more people moved out of LA County than moved in,” says Schiada. “This is not a decline in population overall, but we’re on the line given total population grew by just 17,000 people last year (thanks to births). Housing affordability is certainly a major driver; just look next door to Riverside County where home prices are more affordable than the rest of SoCal; it’s one of the fastest growing counties in the country.”

That doesn’t mean there is no inward migration. Schiada says that plenty of people are still coming to Los Angeles. “These entrants to the market are filling jobs being created by new industry growth, and more will come as new office leases take occupancy in the next three years,” she says. “New and existing housing located in or adjacent to these areas will be preferred locations. ESRI forecasts Downtown, Marina Del Rey and Playa Vista to have the strongest population growth through 2024 at 21%, 15%, and 14%, respectively.”