Cities Index.
Attachment 1 - Economic Development Update

Union City City Council
May 12, 2026

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Attachment 1 - Economic Development Update
Meeting
May 12, 2026
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Union City City Council
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UNION CITY ON THE MOVE!
Economic Development Update

INTRODUCTION
This report provides the City Council with an update on economic development activities, market conditions that impact city revenues, and noteworthy accomplishments guided by the City's Strategic Plan and Economic Development Strategic Plan. The update is broken down into 5 sections for ease of review: Industrial Sector, Retail Sector, Small Business Support, Strategic Initiatives, and Outreach, Marketing and Promotions.

Each year, staff evaluate how efforts have contributed to business retention, attraction, and revenue generation for the City. This update highlights those efforts, emphasizing the City’s role as a connector between the business community and key services, resources, and partnerships at the local, regional, and federal levels.

INDUSTRIAL SECTOR
Industrial Market Overview
The industrial sector is a critical contributor to the City’s General Fund through business-to-business sales tax, property tax from reassessments, and increased property values driven by development and reinvestment. Additional benefits include secondary retail spending by employees working in Union City.

Economic Development staff actively monitor vacancies and property transactions to identify opportunities for business growth, transitions, and long-term stability. See below for a snapshot of industrial vacancies for Q12026.

FIGURE 1: INDUSTRIAL REAL ESTATE UPDATE – I-80/I-880 CORRIDOR Total
Inventory SF
Square
Footage
Vacancy Rate Under
Construction
Avg. Asking
Rate (NNN)
IND 6,510,390 0.4% 20,000 SF $1.61
WSE 8,856,552 2.3% $1.59
R&D 594,391 2.3% $1.50
TOTAL 16,086,156 1.5% $1.59
SOURCE: COLLIERS INDUSTRIAL Q12026
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Union City’s has the lowest vacancy rate of cities tracked including Richmond, Oakland, San Leandro, Hayward and Newark, whose rates range from 8.5 to 7.1%
Staff will continue to work with property owners and industrial brokers to support their leasing efforts in all categories.

Business Expansions
• OUTFORM (formerly Rapid Displays): Expanded into a second location ±155,000 square foot facility at 4100 Whipple Road.
• United Mechanical Fabricators (UMEC): Constructing a new 22,850 square foot facility at 33250 Western Avenue to support expansion.

Figure 2: Rendering of UMEC’s New Building
• Azimuth Industrial Company, Inc.: Expanded advanced manufacturing operations through a partnership with Resonac to develop next-generation semiconductor packaging. Staff coordinated with GO-Biz and PG&E to expedite infrastructure installation, avoiding delays and supporting continued investment.

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Figure 3: October 10, 2025, US-Joint Soft Opening with City Officials On October 10, 2025, Azimuth in partnership with Resonac announced the US-Joint Consortium bringing ten partners together to develop next-generation semiconductor packaging. Economic Development staff coordinated with California Governor’s Office of Business (“Go-Biz”) to fast-track installation of a PG&E transformer, which avoided significant delays, and kept the operation’s schedules on track. In addition, to increasing Union City’s visibility as a great place to do business with domestic and international investors, the enhanced manufacturing facility has generated sales taxes related to significant purchases of manufacturing equipment and technology.

On April 20, 2026, US-Joint partners, Silicon Valley tech leaders, and City representatives came together to celebrate the completion of the manufacturing facility and the collaboration that made this effort possible.

Significant Lease Renewals
• OMNI Logistics – 33300 Dowe Avenue – 19,868 SQFT – Distribution Services • Forward Air – 30108-30118 Eigenbrodt Way – 135,860 SQFT - Freight and Logistics • HL Uriman Inc. – 33201-33215 Dowe Avenue – 125,118 SQ FT - Electric car tire module assembly and supply business
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• Sigmatron West Coast Operations – 30000 Eigenbrodt Way – 116,993 SQ FT – Electronics Manufacturing Services (EMS) making circuit board and electronic products assemblies Figure 4: Sigmatron’s West Coast Operations Building here Union City Major Acquisitions
Acquisitions increase City property tax revenues due to property re-assessments at higher values. • OCM Group USA, Inc., 30280 Ahern Avenue, 65,673 SF FT – Importer of Asian Food Products • Blue Mountain Capital, LLC, 3240 Whipple Road, BLDG. E (Union City Labs), 91,124 SQ FT – Commercial Real Estate Brokerage provides capital, real estate debt and equity for commercial transactions
• Vinters Distributors, 1320 Decoto Road, 32,382 SF FT - New corporate headquarters for gas station/convenience store owners/operators (“Loop Neighborhood Market”) Figure 5: Vinters Distributers New Headquarters
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• Fortinet, over the past several years, Fortinet has acquired multiple parcels. Initial communications with Fortinet regarding their interest in combining the parcels to create a connected campus, they have since changed direction. Staff continues to reach out to Fortinet and industrial brokers to gauge their utilization of the buildings and tenancies.

Fortinet Owned Sites and Current Businesses Operating at Locations • 33372 Transit Ave
o BTC III Union City IC LP—Commercial Leasing
• 1220 Whipple Rd
o Scotts Mobile Trailer Repair
• 1570 Atlantic St
o Fortinet — Warehouse/Distribution Services
• 1550 Atlantic St
o N/A
• 1551 Atlantic St
o N/A
• 1570 Atlantic St
o Fortinet—Warehouse/Distribution Services
• 1285 Atlantic St
o Fortinet—Warehouse/Distribution Services
• 1200 Whipple Rd
o N/A
• 1150 Whipple Rd
o N/A
Figure 6: Fortinet Owned Parcel
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RETAIL SECTOR
Retail Market Overview
Union City’s retail sector is largely region-serving, drawing customers from a broad trade area. Strong rental rates and low vacancies reflect a competitive and resilient retail environment.

Union Square Marketplace Shopping Center - Ross Dress for Less, 31,000 SQ FT The addition of Ross to the Marketplace center serves as an important retail anchor for the center owned by Pacific Rim Financial Corporation. Ross is a great retail addition for the residents of Union City and will also draw regional shoppers from the region, generating increased sales tax revenues for the City.

Figure 7: City Officials and Chamber of Commerce Representatives at the Ross Opening Celebration Niles Station (Formerly Central Plaza) - 33306-33456 Alvarado Niles Road Town Centre Capital acquired the property and received approvals in 2025 to renovate the shopping center façade and add new signage. In the location of the former Chinese restaurant, Rose Garden, a new Chinese restaurant has opened called Home Eat.

Home Eat also signed a new lease at 2831 Faber Street, 22,750 SQ FT. The building is leased and owned by New Haven Unified School District. This location will serve as the Home Eat commissary serving retail locations throughout the region.

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Figure 8: Photo of Niles Station (formerly Central Plaza) Union Landing
Union City’s premier retail destination and a major sales tax generator. The center ranks among topperforming retail centers nationally and statewide.

Recent highlights include:
• Opening of Kura Sushi
• Processing of Planning Approvals for Raising Cane’s development Property Business Improvement District (PBID) Renewal
The Union Landing PBID was renewed through 2030, providing funding for enhanced services including safety, marketing, and administration. A third-party management firm has been retained to oversee operations, allowing staff to focus on broader economic development initiatives.

Union Landing Police Department Substation Relocation
Figure 9: New UCPD substation (formerly GameStop)
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Staff worked closely with Inverness Management, the Property Management Division of Pappas Investments, and Union City Police Department staff to negotiate the lease for the new location of the Union City Police Sub-Station, which occupies the former GameStop tenant space along Courthouse Drive. The new space will better serve the needs of the Police Department staff.

SMALL BUSINESS SUPPORT
The City remains committed to supporting small businesses through partnerships, education, and direct engagement. Programs are designed to help businesses grow, adapt, and build resilience.

PPRR Training (Prepare, Plan, Respond, Recover)
Training sessions were conducted with local businesses including Sterling Foods, TriCED, and Mizuho to improve emergency readiness and workplace safety. • March – Emergency Preparedness Roundtable
o Partner: Union City Office of Emergency Services
• June – Emergency Preparedness Roundtable
o Partner: Union City Office of Emergency
Response
• September - Small Business Workshop
o Partner: Office of State Senator Dr. Aisha Wahab
• September - Haywired Earthquake Response Workshop
o Partners: City of Newark Economic Development,
Earthquake County Alliance, USGS
• October - Cybersecurity for Small Business Workshop
o Partner: Union City IT team
PPRR Plan, Prepare, Respond, and Recover Trainings
• May 2025 – Sterling Foods
o Fire extinguisher training
• July & August 2025 – TriCED
o Fire extinguisher training
o Personal Emergency Preparedness
• August 2025 – Mizuho America
o Fire extinguisher training
• January 2026 – TriCED
o CPR & Abdominal Thrust
Figure 10: Small Business Workshop at
Ruggieri Center
Figure 11: Staff from TriCED learning CPR
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Business Openings & Rebranding
In partnership with the Chamber of Commerce, the City supported multiple business openings and reinvestments throughout the year, contributing to local economic vitality. • June 2025 – Da Good Vibes
• July 2025 – Panera Ribbon Cutting
• July 2025 – Walmart Grand Reopening
• July 2025 – Don Julio
• August 2025 – Noble Dental Care
• October 2025 – Crown Gold Exchange
• October 2025 – Azimuth/Resonac Soft Opening
• December 2025 – Taco Bell Reopening
• March 2026 – Ross
Figure 12: Walmart Re-Opening Celebration
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STRATEGIC INITIATIVES
Economic Development Strategic Plan
Staff worked with Strategic Economics and key stakeholders to update the City’s Economic Development Strategic Plan through extensive outreach and engagement.

Proposed Vision Statement:

Union City is a great place to do business, supported by transparent and responsive government services, strong partnerships, and a commitment to economic growth and quality of life.

Goals:

1. Retain and grow existing businesses

2. Attract new businesses

3. Foster investment in industrial and commercial areas

4. Promote Union City’s economic story
The City Council will review the draft Economic Development Strategic Plan in a future work session and approve the final plan at a special City Council meeting soon after.

City Council Special Session - July 22, 2025
Figure 13: City officials with staff from EBEDA, CALED and Strategic Economics Gurbax Sahota, President and CEO, California Association for Local Economic Developer (CALED) and Stephen Baiter, Executive Director, East Bay Economic Development Alliance (EBEDA) attended a special City Council Work Session. Their presentations provided a backdrop for future discussions and focus on updating the Economic Development Strategic Plan.

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OUTREACH , MARKETING & PROMOTIONS
Regional & Industry Engagement
Union City continues to maintain a strong presence in regional economic development efforts. • Participation in major industry conferences including ICSC, CALED, and ULI • Engagement with the Economic Development Advisory Team (EDAT) • Collaboration with regional organizations and stakeholders Publications & Promotion
Union City was featured in a special insert in the San Francisco Business Times, highlighting the City’s business climate, development opportunities, and industry partnerships.

Figure 14: Cover of the San Francisco Business Time Special Insert on Union City Contributors - Real Estate Brokers: Colliers and CBRE; Developer: Woodstock; Business Partners:

Mizuho OSI, Azimuth Industrial Company Inc., Foxsemicon, UMEC, GCM, and USK Distribution of the publication continues, with digital copies provided to contributors, brokers, business leaders and at regional meetings and more. Staff also met with the Human Relations Commission, who, after learning more about Union City’s business, distributed copies of the publication to their family and friends. Staff will continue to meet with commission and other groups to promote Union City. SFBT Paid Circulation: 15,000
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Figure 15: ED Staff Promoting Union City to Human Resource Commission – March 25, 2026 Events & Recognition
East Bay Global Forum
On September 11, 2025, local business, Amber Kinetics, was recognized for their contributions to development of clean energy solutions and fly-wheel technology. Fabrice Glorieux, Chief Operating Officer of Amber Kinetics, participated in a panel discussion with other cutting-edge companies.

Figure 16: City of Union City and Staff from Amber Kinetics at the East Bay Global Forum Union City 5.2026
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Manufacturing Day
On October 3, 2025, over 130 James Logan High School students got an inside look at modern manufacturing and an opportunity to see the wide range of careers available in the industry. The day would not have been possible without the full participation of the following partners:
• Business Partners: Mizuho, OSI; GCM; FANUC America; Outform • Community Partners: James Logan High School
• Transportation: Union City Transit
Figure 17: OUTFORM, Manufacturing Day - October 3, 2015

MORE TO COME!
For Economic Development questions or more information, please contact:

Gloria Ortega, Economic Development Manager at [email protected] Kyle Weddington, Economic Development Coordinator at [email protected].

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