X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LOS ANGELES-The US Air Force is asking elected officials here for up to $40 million in subsidies to build a research-and-development park at its El Segundo operations in the South Bay, triggering fears that the base may be closed if the money can’t be raised.

Analysts say there’s no way that the City of El Segundo, with a population of 16,200 and an annual operating budget of $36 million, can provide such massive subsidies by itself. Though El Segundo officials have indicated they’re willing to put up part of the cash, additional monies would have to come from surrounding cities, LA County, the state government—or a combination of the three.

The El Segundo base is just a few miles south of Los Angeles International Airport. Nearly 5,000 people work at the base, including almost 3,500 civilians. Thousands more are employed by the hundreds of companies that provide everything from aircraft parts to the food served at the base’s commissary.

Companies that do business with the base have also played a key role in the South Bay’s plunging office vacancy rate and growing demand for industrial space. El Segundo officials have scheduled a hearing on Sept. 5 to discuss the Air Force’s request.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. NET LEASE Fall 2021Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.