Location:   Known as the “Gateway to the Peninsula”, Daly City is central to major growth areas of San Francisco and San Mateo counties and features excellent transportation infrastructure linking San Francisco’s financial district (eight miles north), the San Francisco International Airport (nine miles southeast & 15 minutes via BART) and Silicon Valley further south. Daly City is also directly linked to the East and South Bay Area.  The Oakland International Airport is located 20 miles to the east.   Because of its central location, excellent transportation links and growing young & productive labor force, Daly City has become a regional hub for retail, healthcare and business development.

Population:   Daly City  a significant increase in population over the last four decades and, according to the California Dept. of Finance, has realized an increase of 1.2% growth in population over the past six years, slightly higher than the county.  Population estimates as of 1/01/06 are 724,104 for San Mateo County and 104,820 for Daly City (next update 5/07). Daly City is the largest city in San Mateo County and, according to the Association of Bay Area Governments (ABAG), is expected to retain this position through at least 2030.  During this time, ABAG estimates that Daly City will be in the upper 50% of the largest growth cities in the county.  Source: ABAG, Projections 2007.(more)

Back to top

---

Economic Growth & Trends:  

Five-year history of taxable sales and labor force for Daly City and San Mateo County.

Taxable Sales (in thousands of dollars) – Source: State Board of Equalization
	2001		2002	2003	2004	2005 (most current)	Average % Change/Yr.
County Sales:	$12,859,589		$11,614,809	$11,358,43	$11,808,074	$12,451,350	- 0.8%
Daly City Sales:	$688,875		$718,448	$733,154	$751,322	$785,226	3.3%
Labor Force- Annual Average Reporting – Source: CA EDD –Labor Market Information Division
		2002	2003	2004	2005	2006	Average % Change/Yr.
County Labor Force		379,500	369,900	364,500	363,400	364,200	- 0.1%
Daly City Labor Force		53,900	52,600	51,700	51,600	51,580	- 1.1%

 

Employment Preliminary numbers for 2006 show a continuing downtrend in Daly City’s unemployment rate. This is an improvement from the three previous years. Daly City’s current unemployment is 4.3% compared to 3.7% for San Mateo County and 4.8% for the state (annual averages).  Source: CA EDD

Back to top

Major Employers in San Mateo County and in Daly City

Company	Type of Business	Employees
San Mateo Country (private sector) [change in 12 months]
United Airlines [down 893 employees] Oracle [up 300 employees] Genentech [up 1,980 employees]	Airline Service Database Computer Software Biotechnology	10,100 7,300 7,100
Daly City (private sector)
Seton Medical Center U.S. Postal Service (quasi-private) Genesys Telecommunications Lab. Target Serramonte	Hospital Services Telecommunications International Mail Facility Retail Center	1,711 584 350 330

Back to top

Real Estate Market (spring 2007):

The San Mateo County commercial real estate market has improved significantly, and Daly City’s office market has remained strong with a year-end vacancy rate of 5.6%, compared to nearly 14.7% countywide. Daly City’s full-service, Class A asking rents decreased modestly from $2.23 to $2.47 in the last year, compared to countywide, which saw a slight increase, from $2.10 to $2.45. Annual net absorption for the county continued a positive trend (more occupied space now than previously). In 2007, Daly City’s retail market became tight with an all-time-low vacancy rate of approximately 1.8% (lower than several cities in the County). Countywide retail supply increased with the upgrading of Westlake, the reopening of Tanforan and numerous mixed-use infill projects. In Daly City, little space is available and expansion space at Westlake and Serramonte has essentially been pre-leased. Major vacancies along Mission Street, former Linen Outlet and Western Christian Book Store, were leased to different "Dollar Store"-style operators.

Office Vacancy*	Ending 2006	Ending 2005	Ending 2004	Ending 2003	Ending 2002
North San Mateo County	14.7%	18.0%	21.9%	25.7%	24.0%
Daly City	5.6%	7.3%	13.3%	16.2%	12.9%
Retail Vacancy*
San Mateo County	3.2%	3.0-5.0%	3.4-6.0%	4.1%±	N/A
Daly City	1.8%	1.82%	5.4%±	6.4%±	6.2%±

*A major commercial brokerage firm provided office vacancy data. Retail vacancy rates are loosely approximated from different sources.

New Projects

·      Pacific Plaza -  The City is currently negotiating for development of third phase office building as well as development of a full service Crowne Plaza Hotel (about 150 rooms) on the north end of this project.

·      Landmark Plaza -  The first phase of this mixed-use development has broken ground with completion in 2007. This phase will consist of retail space, 95 condos and ample parking. Phase II office is planned later.

·      Westlake Shopping Center -  A Trader Joe’s, Cost Plus Imports and Home Depot Design Center as well as new restaurants Strings, Jamba Juice, and BurgerMeister have recently opened. New buildings to accommodate Linens Plus and others are in process as part of a multiphase development of 500,000± s.f. .

·     Serramonte Center - The Elephant Bar, Against All Odds (youth clothing), Cinnabon, Betty Boop's Diner, and Rubio's Fresh Mexican Grill have opened their doors as the center continues its upgrade.  New retail tenant Daiso Japanese housewares opened in former Good Guys! space.

·      City Toyota - The old Albertson’s store at Junipero Serra and San Pedro Road was demolished and City Toyota will occupy a new state-of-the-art dealership facility when completed in spring 2007.

Back to top

City Finance & Taxes:

Retail Sales Tax:  State: 6%     County: 0.25%     County Transit: 1%  City: 1%   TOTAL: 8.25%

Bond Rating:       Moody's Investors Services Inc.: Aaa
                           Standard & Poor's Corporation: AAA
                           (Daly City has no significant outstanding public assessment bonds)

Check out kosmont.com for a cost comparison of doing business in Daly City.