Torrance, CA Economic Overview
Torrence is one of 15 cities located in southwestern Los Angeles County, a region also known as “the South Bay." Out of Southern California’s popular “Five Beach Cities," which lie west and south of Downtown Los Angeles, Torrance is 1.5 miles of Pacific Ocean beach and is home to about 150,000 residents. The city is home to prospering industries such as aerospace, oil refining, and automotive, all of which ensure that Torrance commercial real estate is always in demand.
Torrance’s economy is primarily automotive, aerospace, and oil refining, with American Honda Motor Company Inc. as the city’s top employer. Also in the automotive manufacturing sector, Honeywell makes its Garrett turbochargers, used in car engines worldwide, in Torrance. Robinsons Helicopters designs and builds its helicopters here, and ExxonMobil supplies Southern California’s gasoline needs from a north side oil refinery. King’s Hawaiian, a world-famous Hawaiian bread manufacturer, also has its main bakery in Torrance. Small businesses can also thrive in Torrance – in fact, it has been ranked 3rd-best city in California for small businesses.
Torrance, CA Commercial Real Estate Market
Torrance covers a land area of approximately 20 square miles. It is consists of several neighborhoods, including West Torrance, North Torrance, South East Torrance, Old Town Torrance, Hollywood Riviera, and Walteria.
As prestigious and glamorous as its name, the Hollywood Riviera office market is one of the most desirable places to be. The premiere neighborhood features high-end boutique shops, art galleries, cafes, and bistros. There are also several bed and breakfast inns in this 600-acre stretch that take advantage of beachfront scene. Residences also make up a large part of the area.
Old Town Torrance is the original 3,522 acres that city founder, Jared Sidney Torrance, a real estate developer, purchased with plans to create a mixed-use industrial-residential community that eventually expanded to present-day Torrance. Old Town Torrance office space includes historical buildings over 100 years old, which are now home to unique retail establishments (such as antiques and historical costumes), art gallery cafes, bars, and restaurants.
The Torrance Central Business District is largely office space and office buildings for various businesses from healthcare facilities to administrative support. Developed business centers charge premium rentals, but smaller businesses and startups can find reasonably-priced office space, even at “high-end" facilities.
Del Amo Fashion Center is part of a 2.5 million-square-foot commercial development that located on the eastern side of the city. It is one of the five largest malls in the country. It has a central food court, movie theaters, a fitness center, several shops and restaurants, exclusive fashion wing, and even an open air “lifestyle" center. Its shopping anchors include: H&M, Nordstrom, JC Penny’s, and two Macy’s department stores.
Torrance, CA Office Rental Rates ($/SF/year)
Data provided by Yardi Matrix, for properties larger than 50K SF.
Torrance, CA Office Sales
Data provided by Yardi Matrix, for properties larger than 50K SF, which sold at over $5M.
Torrance, CA Commercial Inventory Breakdown
Total: 9,107,151 SF
By square footage range:
- 50k to 100k SF: 3,102,387 SF / 34.07% of total office
- 100k to 500k SF: 4,381,526 SF / 48.11% of total office
- 500k to 1M SF: 1,623,238 SF / 17.82% of total office
- Class A: 1,737,337 SF / 19.08% of total office
- Class B: 7,275,702 SF / 79.89% of total office
- Class C: 94,112 SF / 1.03% of total office
Total: 13,375,989 SF
By square footage range:
- 50k to 100k SF: 476,258 SF / 3.56% of total industrial
- 100k to 500k SF: 8,229,456 SF / 61.52% of total industrial
- 500k to 1M SF: 3,164,160 SF / 23.66% of total industrial
- > 1M SF: 1,506,115 SF / 11.26% of total industrial
- Class A: 6,945,661 SF / 51.93% of total industrial
- Class B: 6,160,714 SF / 46.06% of total industrial
- Class C: 269,614 SF / 2.02% of total industrial
Employment in Torrance, CA
The average household income in Torrance, CA is almost $100,000/year, above average for the Los Angeles County area. The most common jobs in Torrance are in administration, management, and sales. There is also a high number of architects, engineers, and computers and mathematics professionals who reside in the city.
Education in Torrance, CA
Torrance primary and secondary schools are run by the Torrance Unified School District, which includes 17 elementary schools, eight middle schools, five high schools, three adult education centers, and even a child development center. Among the high schools, Torrance High School is the oldest high school in the state.
Especially beneficial to Torrance and the surrounding community is the Southern California Regional Occupation Center, which offers technical classes to both students and adults in the area. Meanwhile, located just outside the Torrance city limits, is El Camino Community College, a 126-acre campus that serves more than 25,000 students every semester.
Commuting Time in Torrance, CA
Like in most Southern California cities, the commute in Torrance gets busy especially along its three major streets. Drivers in the city will travel via Hawthorne Avenue, the busiest street that gets packed during rush hour; Artesia Avenue, which commuters use as a shortcut in between the congested 91 and 405 freeways, and Sepulveda on the city’s south end.
The LA Metro Rapid Line does conveniently have a stop at South Bay Galleria and connects to Harbor UCLA Medical Center and ends up in downtown Long Beach. The LA Metro local line has three routes running through the city. Moreover, Torrance has its own Torrance Transit and Gardena Bus Line municipal bus lines.
- Total Population147,190
- Male Population(49.0 %) 72,110
- Female Population(51.0 %) 75,080
- Median Age41.70
- Average Household Income$107,980
- Median Household Income$85,070
- Median Income Under 25$41,104
- Median Income 25-44$93,621
- Median Income 45-64$104,084
- Median Income Over 65$51,680
Residential Rents in Torrance, CA
There are close to 60,000 housing units in Torrance. More than half are owner-occupied. While homeowner vacancy is almost 0, rental vacancy is at least 5%.
A studio apartment in Torrance is $1,380/month, while a one-bedroom apartment runs $1,712 monthly and a two-bedroom apartment is almost $2,000/month. All in all, considering Torrance’s high household median income, rental rates in the city are fair and manageable.
Torrance, CA Average Rental Price, September 2019
- $ 1,883/mo
- Studio: $ 1,410
- 1 Bedroom: $ 1,746
- 2 Bedrooms: $ 2,101
Torrance, CA Rent Trends
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