Daily Business Report-Feb. 27, 2020

Photo courtesy of San Diego County Airport Authority.

San Diego International Airport breaks passenger

traffic record for sixth consecutive year

San Diego International Airport served 25 million passengers in 2019, a record-high total and a four percent increase over the previous year. Of the 25 million passengers, more than 1 million were international passengers — also a record for the airport.

Several factors contributed to the increase in 2019, including:

• Alaska Airlines began service to Everett, Wash. and increased frequencies to several markets including Sacramento, Calif. and San Francisco.
• Southwest Airlines began service to Omaha, Neb. and increased frequencies to several markets including Reno/Lake Tahoe, Nev., Sacramento, and San Jose/Mineta, Calif.
• Delta Air Lines added frequencies and replaced regional jets with larger mainline aircraft on flights to Seattle.

Overall, six new routes were added in 2019, with 13 of the 17 passenger airlines serving the airport experiencing an increase in passenger traffic. Alaska Airlines added the most passengers, carrying 403,868 more in 2019 than in 2018, followed by Southwest Airlines with 367,150 and Delta Air Lines with 341,138. The airport expects to continue increasing passenger growth in 2020.

The Airport Authority Board of Directors recently certified the Final Environmental Impact Report for the Airport Development Program, which envisions the replacement of the 53-year-old Terminal 1. The new Terminal 1 would feature 30 gates (up from 19 in the current terminal) and represent a significant upgrade for passengers. It would offer more gate-area seating, restaurants and shops, as well as additional security checkpoints with more lanes and a host of energy-efficiency upgrades. The goal is to break ground on the new terminal in 2021 and open the first phase (19 gates) in 2024.

Detailed reports of air traffic statistics are available here...

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The Pac Lofts building in East Village

sold for $7.4 million to JCKL Partners

JCKL Partners LLC has acquired The Pac Lofts building at 701 Island Ave. in East Village for $7.4 million. JCKL will occupy the second and third floor of the building and seek a tenant for the ground floor. Law firm Noonan Lance has occupied the fourth floor since 2016.

The seller was JSW Pack Loft LP.

Built in 1925, the 20,000-square-foot, four-story building was extensively renovated in 2017 by the seller.

Damian McKinney, Andrew Meyers and Julie Dunlap of Avison Young represented the buyer in the transaction. The seller was represented by Nick Totah, Ross Sanchez and Ricky Partida of Marcus & Millichap’s Totah Group.

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California’s per capita income tax

rate is among the nation’s highest

Californians pay $2,137 in per capita income taxes, placing it fifth highest behind New York’s $2,877, followed by the District of Columbia, Maryland, Connecticut and Massachusetts, the Tax Foundation reports.

The nation’s average for state and local income tax:

$1,198 per capita.

Our neighbors:

•  Oregon’s $2,021 ranks No. 6, but it has no sales tax.

•  Nevada has no income tax.

•  Arizona’s per capita income tax is $489, or 40th from the top.

California’s income tax is progressive; people who earn the most pay the most.

— Dan Morain/CALmatters

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 Satellite voting locations to open Saturday

The Registrar of Voters will open four satellite voting locations this weekend to add to options for early voting and to help those who haven’t registered to vote but still want to take part in the March 3 Presidential Primary Election.

During the last election, voters could conditionally register and vote on Election Day but only at the Registrar’s office. Long lines wrapped around the building and those registering endured hours-long waits.

This election, voters can register and vote at the Registrar’s office and every polling place. That may result in long waits at polling places.

To offset an expected rush of late registrants this year, Registrar of Voters Michael Vu announced the availability of four satellite voting locations Tuesday.

“The satellite voting locations will give voters the opportunity to register and vote before Election Day,” said Vu. “The earlier you register and vote, the less likely you will run into long delays. Waiting until Election Day almost guarantees you’ll run into long lines.”

For satellite voting location addresses and more information, click here.

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Rose Schindler to Speak at Women’s Week 2020

There is an instinct that survivors and leaders share, it comes naturally to some and for others, it must be learned and put to practice. Leadership takes perseverance, a visionary and dedicated sense of direction in spite of what some may tell or even direct you.

Rose Schindler, a Holocaust survivor, learned the importance of moving forward even if that means changing course when necessary. She also learned the virtue and strength of mutual respect and communication. This country has given us so many blessings, as a nation, we progress on our Individual rights and abilities, and we build upon the memories and lessons learned from where we came.

San Diego Women’s Week events are March 16-20. Everyone is invited, and tickets can be purchased at www.sdwomensweek.com.

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Second bridge over San Diego River

opens to rail traffic

A second bridge over the San Diego River opened to rail traffic on Monday. The Coaster 630, heading south from Oceanside, was the first passenger train to travel over the newly completed bridge at 5:56 a.m.

The San Diego River Double Track project began construction in fall 2016. The first bridge over the San Diego River was completed in February 2018.

The $93.9 million project is a critical part of ongoing efforts by SANDAG to double track the Los Angeles-San Diego-San Luis Obispo corridor, the second busiest passenger rail line in the nation and a vital link in connecting the San Diego region with the rest of the country.

The bridges over the San Diego River were constructed concurrently with the Mid-Coast Trolley project. When complete, the Mid-Coast Trolley project will extend UC San Diego Blue Line Trolley service from Downtown San Diego to the University community. To learn more, visit KeepSanDiegoMoving.com/MidCoast.

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County selects contractor for

Southeastern Live Well Center

The county of San Diego has selected PCL Construction and Steinberg Hart/RJC Architects to begin negotiations and contract finalization for the design and construction of the new Southeastern Live Well Center.

The 80,000-square-foot facility will be built at the intersection of Market Street and Euclid Avenue. The approximately $76 million project will be the county’s sixth regional community service hub providing a variety of health and community services to residents.

The county and PCL will begin negotiations and upon contract signature, will schedule presentations in the community as the design is finalized and work begins. The contract will require significant local subcontracting, local workforce outreach and a hiring commitment by the contractor.

Information about the design and the presentation schedule will be available on the Live Well San Diego website.

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Red Door Interactive purchases Sherman

Heights property to build new headquarters

Red Door Interactive, a national marketing firm based in San Diego, has purchased three buildings in the Sherman Heights neighborhood, a designated Opportunity Zone, and plans to build a new headquarters building on the site.

The new headquarters will be designed by the locally-owned AVRP Skyport. The company currently occupies a ground floor space in the DiamondView Tower at Petco Park.

Red Door Interactive opened its doors in East Village 18 years ago and has been there ever since, moving to a larger office four times as the company steadily grew.

“We have been witness to the incredible growth of San Diego’s East Village, and now we’re excited to bring our diverse team of talented, creative minds to a new neighborhood,” said Reid Carr, CEO and co-founder of Red Door Interactive. “Sherman Heights is more than a vibrant, historic place with fantastic views of Downtown, Coronado, and the Bay — it also gives us easy access to everything that our employees love about the larger San Diego region.”

Red Door Interactive, which also has offices in Denver, and remote employees worldwide, plans to break ground in 2020 with a move-in date of 2021.