LONG BEACH, CA—The demographics are changing in Downtown Long Beach, and the shift is helping to fuel much of the increased investment and development we have seen in the market. According to Greg Gill and Jeff Coburn of Lee & Associates Long Beach, the 20s and 30s young professional segment is moving into the market, largely because of the value and quality, and retailers and employers are following.

"We have seen that the 30-something group loves the vibrancy of the Downtown. People take a look around we are getting a great value," Gill, the president of Lee & Associates Long Beach office, tells GlobeSt.com. "We interview kids that say they have been priced out of Santa Monica; they have been priced out of Venice; they have been priced out of Culver City. They can get a great living in Downtown Long Beach, and they can walk to great restaurants and retail."

The Downtown Long Beach market has been undergoing a renaissance that could rival Downtown Los Angeles, with an abundance of investor interest and development. Some of this activity was fueled by the city's rezoning plan, which eliminated the need for parking and increased density in the Downtown area. Now, Gill and Coburn note that the promenade is becoming a hot bed for retail, entertainment and creative office. "This is going to be the coolest stretch of retail, and the demographic is one we haven't seen before," he says. "It is young, upper mobile people that want to be in creative office."