Stockton, CA Economic Overview
Stockton is the county seat of San Joaquin County, in the Central Valley region of California. Home to nearly 306,000 residents, the city is located on the San Joaquin River and is an inland deep water port connecting to the San Francisco Bay and Sacramento areas. The commercial real estate market in Stockton is driven by its strategic location in the Central Valley's agricultural zone, which allows for the quick and affordable manufacturing and distribution of goods to all of the major West Coast markets.
In addition to the city's diverse access to transportation, the economy in Stockton is driven by its large, diversified skilled and semi-skilled workforce that can be employed at very affordable wages. The existing infrastructure in Stockton is strong, and there is an abundance of cultural, educational, and recreational opportunities for its residents.
With a median household income of nearly $47,000/year, and an unemployment rate of just 8.1%, the economy of Stockton is growing quickly. Last year alone, the median household income increased by over 14%, and the employment base increased by over 1% for nearly 117,000 people employed in Stockton.
Stockton, CA Commercial Real Estate Market
The City's business-friendly attitude is one of the keys to success of the Stockton commercial real estate market. Still the sixth-largest agricultural county in the U.S. - and California's #1 producer of pumpkins, cherries, asparagus, apples, corn, blueberries and watermelon - Stockton has successfully diversified its commercial market from being solely agriculture-based to being a home to businesses in all industry sectors.
As the 13th-largest city in California, Stockton is rapidly becoming an integral part of the San Francisco East Bay Area economy. Stockton's transportation network includes a 35-foot deep inland seaport for intermodal shipping, freight and commuter rail access, and an established interstate freeway system. The Stockton Metropolitan Airport serves current and future commercial and corporate needs of the business community and also features world-class cargo capabilities used by Amazon.
Business relocation, expansion, and new development in Stockton is easy and affordable. The City has nearly 6,200 acres of industrially zoned land, over one-third of which is ready for development. There are 14 fully-improved industrial and business parks in Stockton, nine with freight rail access. All of the industrial parks in Stockton offer easy freeway access and are located within 15 minutes or less of an airport or a seaport.
The Port of Stockton also makes a significant contribution to the industrial real estate market in Stockton. Its diversified transportation center sits on over 3 square miles and contains berthing space for 15 vessels including Panamax ships, has 1.1 million square feet of dockside transit sheds, 7.7 million square feet of warehousing served by freight rail, and 500 acres of land still available for development and expansion.
Numerous manufacturing companies in Stockton have chosen the city for their operations, including Valley Snack Foods, Spears Manufacturing, Best Express Foods, Aisin, Crown Bolt, Feralloy Steel, Simpson Strong Tie, and Golden State Lumber.
Large office and distribution businesses in Stockton include Le Tote, Dollar Tree, Dorfman Pacific, Shepard Brothers, Allen Distribution, Farmington Fresh, Duraflame, and Cost Plus. High technology firms located in Stockton include Applied Aerospace Structures Corporation.
There is also plentiful space for new office and retail development in Stockton. As the population of Stockton continues to grow so does the demand for retail and office space in Stockton.
Weberstown Mall and Sherwood Mall have undergone recent renovations to attract national tenants to the property. Park West Place is a 1 million-square-foot retail power center located in Spanos Park at the intersection of I-5 and Eight Mile Road and is also home to the 40,000-square-foot Mercedes-Benz of Stockton. Stonecreek Village is a mixed-use commercial development and home to a variety of upscale tenants, and Miracle Mile in Stockton's Midtown Area is a pedestrian-friendly shopping district that is quickly becoming a destination location for dining and live entertainment.
Downtown Stockton is currently in the midst of a renaissance, with millions of dollars already invested in the area. The Downtown Marina is a world-class marina with full-service slips, day docks and all of the amenities that an affluent boating and yacht community requires. Office development in Stockton includes the mixed-use, education dominated University Park, located in the Midtown District of Stockton.
Stockton, CA Office Sales Volume
Data provided by Yardi Matrix, for properties larger than 50K SF, which sold at over $5M.
Stockton, CA Office Transactions
Data provided by Yardi Matrix, for properties larger than 50K SF, which sold at over $5M.
Employment in Stockton, CA
Job growth in Stockton has increased by over 1% this past year, with a current labor force in the city of nearly 117,000. Over 36% of the workforce is employed in the areas of sales, material moving, production, transportation, and construction & extraction.
Top employers in Stockton include:
- St. Joseph's Medical Center with 4,600 employees;
- Dameron Hospital with 1,200 workers;
- Pacific Gas & Electric with 1,100 employees;
- Kaiser Permanente with over 1,000 employees;
- University of The Pacific with 900 people;
- O'Reilly Auto Parts Distribution with 600 workers;
- Diamond Foods with 500 employees;
- Food 4 Less corporate headquarters with 550 people;
- Panella Trucking with 500 workers.
Education in Stockton, CA
The public school system in Stockton is operated by four public school districts: Stockton Unified School District, Lincoln Unified School District, Lodi Unified School District, and Manteca Unified School District. There are also over 40 private schools in Stockton, including Saint Mary's High School.
There are numerous colleges and universities in Stockton including University of The Pacific, National University, San Joaquin Delta College, California State University - Stockton, Humphreys College, and Kaplan College of Stockton.
Commuting Time in Stockton, CA
The average commuting time in Stockton is nearly 28 minutes. Due to Stockton's closeness to the job markets of San Francisco, Sacramento, and San Jose, over 6% of the workforce has a super commute of 90 minutes or more each day. In addition, over 15% of the work week commuters carpool and almost 3% have the ability to work from home.
Many residents and businesses in Stockton believe that whether by land, sea or air, the city's transportation system is second to none:
- Interstates 5, 205 and 580 connect Stockton to the rest of California, the U.S., Mexico and Canada, while State Route 99 provides access to the California Central Valley.;
- Bus service is provided by the San Joaquin Regional Transit District through its new Downtown terminal.;
- Passenger rail service in Stockton is provided by ACE Train and Amtrak.;
- Freight rail service in Stockton is available from the Union Pacific and Burlington Northern Santa Fe Railways.;
- The Port of Stockton is an inland deep water seaport with access to the San Francisco Bay Area and Sacramento.;
- Stockton Metropolitan Airport is a Foreign Trade Zone, is used by Amazon Fulfillment Services, and provides affordable passenger service to destinations throughout California and the Southwestern U.S.
- Total Population304,358
- Male Population(48.9 %) 148,825
- Female Population(51.1 %) 155,533
- Median Age32.30
- Average Household Income$67,393
- Median Household Income$48,396
- Median Income Under 25$25,322
- Median Income 25-44$48,019
- Median Income 45-64$55,477
- Median Income Over 65$40,796
Residential Rents in Stockton, CA
More than 50% of the residents in Stockton rent where they live, a percentage that has recently been declining. Despite this, over the past year residential rental rates in Stockton have increased by an average of 12%. Although rental rates have increased, rents in Stockton are still low, compared to many other parts of California.
The average rent for a one-bedroom unit in Stockton is $859/month, while a three-bedroom rental averages at $1,143/month. The most expensive areas for renting in Stockton are Brookside, Lincoln Village West, and Wright Tract, while the most affordable neighborhoods in Stockton for residential rentals are Stonewood, Seaport, and Stockton Civic Center.
Stockton, CA Average Rental Price, April 2019
- $ 1,071/mo
- Studio: $ 897
- 1 Bedroom: $ 957
- 2 Bedrooms: $ 1,171
Stockton, CA Rent Trends
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