Meeting Date: Feb. 5, 2026
To: Economic Development Subcommittee
From: Matt Sanford, Economic Development Director
Staff Contact: Matt Sanford, Economic Development Director [email protected], 442-339-5987
Subject: North County Economic Trends
Rec
ommended Action
Receive an informational report from the San Diego North Economic Development Council regarding economic trends for North County in 2026, discuss and provide feedback.
E
xecutive Summary
The San Diego North Economic Development Council will provide an update on economic trends that the organization thinks will impact North County in 2026.
E
xplanation and Analysis
Understanding and anticipating economic trends is crucial for effective economic development planning and policy formulation. By staying ahead of these trends, staff can proactively address potential challenges and seize emerging opportunities, ensuring the sustained economic vitality of our community. Preparing for oncoming trends ahead of time allows staff to allocate resources efficiently, support workforce development, and attract investments that align with future market demands.
T
he San Diego North Economic Development Council’s presentation will focus on the North County region, factoring in its integrated economic landscape and recognizing that Carlsbad’s economy does not operate in isolation. North County is home to a diverse set of industries—including life sciences, clean technology, manufacturing, and tourism—each of which has a presence in our local Carlsbad economy. By expanding the focus to analyze regional trends, we gain insight into opportunities for collaboration, investment, and planning that benefit not only Carlsbad businesses but also the broader North County workforce and industry clusters. This regional perspective also ensures that we remain aligned with broader economic forces that shape business competitiveness and innovation.
T
he item will provide an overview of the latest economic indicators impacting North County, including key opportunities and challenges expected in 2026. The insights shared today will help inform our approach to economic development programming, workforce initiatives, and strategic
ECONOMIC DEVELOPMENT SUBCOMMITTEE
Feb. 5, 2026
Item #2 Page 1 of 2
partnerships in the coming year. By staying informed and engaged, we can ensure that Carlsbad continues to be a leader in fostering economic vitality and a place where businesses and residents thrive.
Fiscal Analysis
This action has no financial impact.
Next Steps
Staff will continue to engage with the San Diego North Economic Development Council to prepare for and respond to trends that have an impact on Carlsbad and the surrounding region.
Exhibits
None
Feb. 5, 2026
Item #2 Page 2 of 2
Economic updates that keep you informed – and ahead.
January 2026
www. sdnedc. org Fo r Mo re d e t a ile d in fo rm a t io n c a ll (76 0 ) 20 3-5 8 4 1 e x t . 1
www. sdnedc. org Fo r Mo re d e t a ile d in fo rm a t io n c a ll (76 0 ) 20 3-5 8 4 1 e x t . 1 Cluster Employment Change YoY
Biotech and Biomedical Device 20,822 -821
Information Technology and
Communications 20,662 -1,406
Craft Beverages 3,938 -51
Tourism 72,106 570
Software 12,062 -806
Defense and Transportation 11,167 -598
Healthcare Services 60,277 3,081
North County Cluster Employment
Q2 2025
www. sdnedc. org Fo r Mo re d e t a ile d in fo rm a t io n c a ll (76 0 ) 20 3-5 8 4 1 e x t . 1 Cluster (see slide 8) Employment Change YoY
Biotech and Biomedical Device 8,893 -474
Information Technology and
Communications 4,752 -1,406
Craft Beverages 388 -7
Tourism 13,322 -32
Software 2,051 -131
Defense and Transportation 1,822 178
Healthcare Services 6,802 312
Carlsbad Cluster Employment Q2
2025
JOB GROWTH IN KEY SECTORS HAS SLOWED
Proactive Steps
AI SQUEZING OUT TRADITIONAL SD STRENGTHS
Proactive Steps
City of Carlsbad Support and Hosting of
San Diego Startup Week
Proactive marketing of Economic
Development services and connections to
North County Co-working and incubators
Engagement with San Diego Trade
Associations
“Sticker shock for San Diegans
and the rest of the country
continues to worsen. The cost of
food, housing, medical and child
care has soared over the last year.
In fact, San Diego has seen the
highest price jumps in the
country. Local businesses are also
under pressure with tariffs.”
SMALL BUSINESS CHALLENGES:
Proactive Steps
City of Carlsbad Small business office hours
Carlsbad Jobs Housing Balance
2013 2023
Jobs Per House
(Overall inventory)
1.58 1.68
Jobs added over the decade vs.
Net homes added over the 10-
year period
2003 to 2013
TBD
2013 -2023
(3.03 jobs added for every 1 net
new home added)
Zillow Home Value
(Nominal Dollars)
$631,995 $1,197,798
Zillow Home Value
(Real Value – Inflation Adjusted
for San Diego CPI) in 2013
dollars.
$631,995 $804,741
(27.3% increase ABOVE inflation)
www. sdnedc. org Fo r Mo re d e t a ile d in fo rm a t io n c a ll (76 0 ) 20 3-5 8 4 1 e x t . 1 Zillow Home Values North
County Cities & YoY change
Oceanside $ 848,557 (-2.0%)
Escondido $ 821,181 (-3.0%)
Carlsbad $ 1,326,040 (5.0%)
Vista $ 851,267 (-2.0%)
San Marcos $ 926,945 (-2.0%)
Encinitas $ 1,815,398 (no Change)
Poway $ 1,184,258 (-4.0%)
Solana Beach $ 2,069,831 (1.0%)
Del Mar $ 3,514,322 (-2.0%)
Residential Real Estate
San Diego County (12/25)
0 500
1000
1500
2000
2500
3000
11/1/2023
12/1/2023
1/1/2024
2/1/2024
3/1/2024
4/1/2024
5/1/2024
6/1/2024
7/1/2024
8/1/2024
9/1/2024
10/1/2024
11/1/2024
12/1/2024
1/1/2025
2/1/2025
3/1/2025
4/1/2025
5/1/2025
6/1/2025
7/1/2025
8/1/2025
9/1/2025
10/1/2025
11/1/2025
12/1/2025
All Home Sales San Diego County (11/30/2023 to 11/30/2025) Addressing the Housing Challenge: Proactive Steps
Project Name Units Status
Hope Apartments 156 City Council approved (Sept.
2023) (The Coast News Group)
Hotel Conversion to Apartments 98 Approved (hotel to apartments) (Reddit)
Pacific Wind 89 Completed affordable housing
(The Coast News Group)
Vista Azul 70 Opened affordable housing
(Nov. 2024) (BRIDGE Housing)
The Roosevelt 23 Mixed-use infill approved (2025)
(The Coast News Group)
To have maintained 2013 ratio the City would have needed to added 6,035 Homes.
Instead, just 52% of that amount (2,950 units short).
SAN DIEGO NORTH
ECONOMI C DEVELOP MENT COUNCI L
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