Analysis.Answers. 1

TheStateofOaklandBusiness

January26,2017

Analysis.Answers.

EastBayLaborMarket

2

-0.50

0.51

1.52

2.53

3.54

Jan-11

Jul-1

1

Jan-12

Jul-1

2

Jan-13

Jul-1

3

Jan-14

Jul-1

4

Jan-15

Jul-1

5

Jan-16

Jul-1

6

YoYNonfarmEmploymentGrowth Industry Nov-16(000s)

Change(000s)

YoYGrowth(%)

EducaIon/Health 188.1 7.9 4.4LeisureandHospitality 114.8 7.4 6.9ConstrucIon 68.5 4.4 6.8ProfSciandTech 96.0 1.5 1.6WholesaleTrade 49.6 1.3 2.7Transport,Warehouse,UIl. 40.5 1.1 2.8RealEstate 17.6 1.0 5.9OtherServices 38.9 0.6 1.6InformaIon 23.1 0.5 2.3RetailTrade 114.6 0.5 0.4FinanceandInsurance 32.3 0.1 0.3Management 28.8 -0.1 -0.2NR/Mining 0.8 -0.1 -11.6AdminSupport 59.8 -0.3 -0.4Manufacturing 85.9 -1.6 -1.9TotalPrivate 959.4 24.1 2.6TotalGovernment 170.0 1.3 0.8TotalNonfarm 1,129.4 25.4 2.3

Analysis.Answers. 3

Unemployment

3

5

7

9

11

13

Jan-02

Apr-03

Jul-0

4

Oct-05

Jan-07

Apr-08

Jul-0

9

Oct-10

Jan-12

Apr-13

Jul-1

4

Oct-15

UnemploymentRate(%)Jan-02toNov-16

California EastBay

3

5

7

9

11

13

2007 2008 2009 2010 2011 2012 2013 2014 2015

UnemploymentRate(%)2007to2015

CityofOakland California

Oakland EastBay CaliforniaParIcipaIonRate(%) 68.3 65.6 63.0

Analysis.Answers.

SpendingActivity

4

90

100

110

120

130

140

150

Q1-10

Q3-10

Q1-11

Q3-11

Q1-12

Q3-12

Q1-13

Q3-13

Q1-14

Q3-14

Q1-15

Q3-15

Q1-16

Inde

x=100inQ1-10(SA)

TaxableSalesIndexQ1-10toQ2-16

Oakland BalanceofEastBay

HotelAcIvity,YTDthroughOctober2016

LocaIonAvg.DailyRate($)

Growth(%)

OccupancyRate

Change(p.p.)

Oakland/EastBay 151.39 9.9 81.5 -1.9

Monterey/Carmel 323.64 2.3 77.1 -0.6SanFrancisco 285.76 3.1 80.1 1.0NapaCounty 270.56 3.0 78.3 -1.7

SanJose/Peninsula 209.85 7.1 81.8 -2.4SonomaCounty 175.00 7.2 80.5 -2.1MarinCounty 168.32 6.1 84.5 2.0Sacramento 118.92 6.6 76.4 -1.4CentralValley 89.42 5.6 74.1 1.0

Analysis.Answers.

Tourism/Travel

5

HotelStaIsIcs,YTDthroughOctober

Region

AverageDailyRate OccupancyRate

2016YTD($)

YTDGrowth(%)

2016YTD(%)

YTDChg(p.p.)

SanFrancisco 286 3.1 89.1 1.0NapaCounty 271 3.0 78.3 -1.7SouthBay 210 7.1 81.8 -2.4SonomaCounty 175 7.2 80.5 -2.1MarinCounty 168 6.1 84.5 2.0EastBay 151 9.9 81.5 -1.9OtherNorCal 97 6.2 72.5 1.8

RegionalAverage 204 5.3 82.0 -0.4

700

800

900

1,000

1,100

1,200

1,300

Jan-07

Nov-07

Sep-08

Jul-0

9May-10

Mar-11

Jan-12

Nov-12

Sep-13

Jul-1

4May-15

Mar-16

Passen

gers(0

00s,SA)

OaklandAirportTrafficJan-07toAug-16

Analysis.Answers. 6

SeaportActivity

05

101520253035

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015(Y

TD)

2016(Y

TD)

Value($Billions)

PortofOaklandYTDthroughNov-16

Exports Imports

8

10

12

14

16

18

20

22

IndustrialVacancyRates

Flex/R&D Warehouse/DistribuIon

Analysis.Answers. 7

Non-ResidentialRealEstate

Property

CostofRent YoYRentGrowth(%)Oakland

Submarkets EastBayOakland

SubmarketsEastBay

Office 31.1 29.8 11.1 7.4Retail 30.8 29.6 4.4 1.6Flex/R&D 9.3 9.5 1.7 2.9Warehouse 4.9 5.5 3.2 2.6

Property

VacancyRateYoYVacancyChange

(p.p.)Oakland

Submarkets EastBayOakland

SubmarketsEastBay

Office 11.4 14.1 -1.8 -1.6Retail 5.4 6.8 0.6 0.4Flex/R&D 3.6 12.1 -0.8 -1.4Warehouse 7.5 8.8 -1.4 -0.7

0

50000

100000

150000

200000

250000

300000

350000

400000

Q1-07

Q4-07

Q3-08

Q2-09

Q1-10

Q4-10

Q3-11

Q2-12

Q1-13

Q4-13

Q3-14

Q2-15

Q1-16

NRPermits

Alameda ContraCosta

Analysis.Answers.

Homes

8

CaliforniaHomePrices,Q3-16

County MedianPriceYoY

Growth(%)

Monterey 517,400 13.7

SanLuisObispo 537,200 8.1

InlandEmpire 306,400 8.0

SanDiego 536,400 6.0

SanFrancisco 1,221,500 5.8

OrangeCounty 696,200 3.7

SouthBay 919,000 2.3

SantaBarbara 461,600 -4.1

LosAngeles 542,600 6.9

150,000200,000250,000300,000350,000400,000450,000500,000550,000

Q1-05

Q1-06

Q1-07

Q1-08

Q1-09

Q1-10

Q1-11

Q1-12

Q1-13

Q1-14

Q1-15

Q1-16

ExisIngSFRMedianPrices,

Q1-05toQ3-16

California

0

10000

20000

30000

40000

50000

60000

70000

Q1-95

Q2-97

Q3-99

Q4-01

Q1-04

Q2-06

Q3-08

Q4-10

Q1-13

Q2-15

ResidenIalUnits

SF MF

Analysis.Answers.

EastBayHousing

9

0

100000

200000

300000

400000

500000

600000

700000

800000

Q1-02

Q1-03

Q1-04

Q1-05

Q1-06

Q1-07

Q1-08

Q1-09

Q1-10

Q1-11

Q1-12

Q1-13

Q1-14

Q1-15

Q1-16

HomePrices

Alameda ContraCosta

0

200

400

600

800

1000

1200

1400

1600

1800

Q1-02

Q1-03

Q1-04

Q1-05

Q1-06

Q1-07

Q1-08

Q1-09

Q1-10

Q1-11

Q1-12

Q1-13

Q1-14

Q1-15

Q1-16

SFPermits

Alameda ContraCosta

Analysis.Answers. 10

RentalMarketTrends

0

1

2

3

4

5

6

7

9001,0001,1001,2001,3001,4001,5001,6001,7001,800

Q1-08

Q4-08

Q3-09

Q2-10

Q1-11

Q4-11

Q3-12

Q2-13

Q1-14

Q4-14

Q3-15

Q2-16

VacancyRa

te(%

)

CostofR

ent($/mo}

EastBayApartmentMarket

CostofRent VacancyRate

Submarket

CostofRent VacancyRate

Q3-16($/mo.)

YoYGrowth(%)

Q3-16(%)

YoYChange(p.p.)

SanLeandro/Hayward 1,644 8.3 1.6 0.0SanRamon/WalnutCreek 1,774 6.1 3.3 0.4EastContraCosta 1,541 5.8 2.3 0.0Fremont/Newark/UnionCity 1,845 5.4 2.6 0.7WestContraCosta 1,906 4.6 2.9 0.6NorthAlameda 1,939 4.0 5.6 0.8EastAlameda 1,889 2.6 3.3 1.2Concord/MarInez 1,525 2.1 2.0 0.1

Analysis.Answers.

Rentvs.Income

11

MedianMonthlyRent($)

2015 2014 15-14Chg%

California 1,311 1,268 3.4%

EastBay 1,525 1,409 8.2%

SanJose 1,894 1,779 6.5%

Sacramento 1,109 1,057 4.9%

SanFrancisco 1,741 1,664 4.6%

SanDiego 1,427 1,373 3.9%

OrangeCounty 1,624 1,572 3.3%

LACounty 1,279 1,239 3.2%

InlandEmpire 1,166 1,159 0.6%

RenterMedianIncome($)

2015 2014 15-14Chg%

California 44,642 42,305 5.5%

SanFrancisco 72,428 66,528 8.9%

EastBay 55,440 51,435 7.8%

SanJose 75,436 70,269 7.4%

SanDiego 49,741 46,750 6.4%

LACounty 41,666 39,678 5.0%

Sacramento 38,746 37,704 2.8%

InlandEmpire 37,484 37,136 0.9%

OrangeCounty 53,440 52,973 0.9%

Analysis.Answers.

Rentvs.Income

12

RentasShareofIncome

2015 2014 2013

California 35.2% 36.0% 36.2%

InlandEmpire 37.3% 37.5% 37.1%

LACounty 36.8% 37.5% 38.1%

OrangeCounty 36.5% 35.6% 36.0%

SanDiego 34.4% 35.2% 35.6%

Sacramento 34.3% 33.6% 35.1%

EastBay 33.0% 32.9% 34.9%

SanJose 30.1% 30.4% 32.0%

SanFrancisco 28.8% 30.0% 30.5%

RentBurden(%)

2015 2014 Change

California 55.7 56.8 -1.1

SanDiego 56.7 56.7 0.0

OrangeCounty 57.7 58.0 -0.3

Sacramento 54.2 55.1 -0.9

LACounty 58.8 60.1 -1.3

EastBay 51.2 52.6 -1.5

SanJose 47.4 49.3 -1.9

InlandEmpire 58.7 60.6 -1.9

SanFrancisco 39.4 42.5 -3.1

Analysis.Answers.

CityofOaklandLaborMarket

13

145,000

150,000

155,000

160,000

165,000

170,000

175,000

180,000

2008

2009

2010

2011

2012

2013

2014

2015

TotalEmployment2008to2015

Industry Employment(000s) Oakland

HealthCare 37.3 1.9Prof,Sci,Tech 19.9 6.1Hospitality 17.2 5.8Transport 11.9 4.1RetailTrade 11.1 2.2AdminSupport 10.6 3.9OtherSvcs. 8.7 4.7Fin.SvcsRealEstate 7.4 2.1NR/ConstrucIon 6.9 7.6Manufacturing 6.7 -3.9WholesaleTrade 6.1 2.6EducaIon 5.8 -0.7InformaIon 3.2 18.1Government 26.1 1.6Total 178.8 3.3

Analysis.Answers.

CityofOaklandAvg.AnnualWage

14

50,00052,00054,00056,00058,00060,00062,00064,00066,00068,000

2008

2009

2010

2011

2012

2013

2014

2015

TotalAvg.Wage2008to2015

IndustryAvg.Wage($000s) Oakland

InformaIon 114.3 2.3Prof,Sci,Tech,andMgmt 109.0 4.3Fin.Svcs.andRealEstate 90.1 11.8WholesaleTrade 84.3 11.1Manufacturing 77.8 8.3NR/ConstrucIon 76.6 7.7Transport/Warehouse/UIl 65.2 4.1HealthCare 60.6 4.6EducaIon 46.3 8.7OtherSvcs. 43.2 6.9AdminSupport 38.7 4.9RetailTrade 38.6 7.3LeisureandHospitality 35.6 9.2Government 73.2 5.5Total 66.0 6.3

Analysis.Answers.

EmploymentbyEstablishmentType

15

PrivateEmploymentbyEstablishmentTypeintheCityofOakland,2015

EstablishmentType

TotalEmployment

(000s)

GrowthSince2011 ShareofEmployment

(%)(000s) (%)EstablishmentSize

Lessthan15Employees 39.7 7.9 25.0 26.015to24Employees 13.3 1.8 15.4 8.725to49Employees 18.6 2.6 16.6 12.250to150Employees 31.5 2.7 9.5 20.6Morethan150Employees 49.5 4.6 10.3 32.5

EstablishmentAverageWageLessthan$25,000 38.7 8.8 29.3 25.4$25,000to$50,000 43.5 3.9 10.0 28.5Morethan$50,000 70.5 7.0 11.0 46.1

Analysis.Answers.

TechinOakland–OntheRise

16

2021222324252627

175

195

215

235

255

Q1-08

Q3-08

Q1-09

Q3-09

Q1-10

Q3-10

Q1-11

Q3-11

Q1-12

Q3-12

Q1-13

Q3-13

Q1-14

Q3-14

Q1-15

Q3-15

OaklandTechEstablishmentsQ1-08toQ3-15

OaklandTechEstablishments

Avg.EmployeesperEstablishment

-15

-10

-5

0

5

10

15

4,000

4,500

5,000

5,500

6,000

6,500

7,000

Q1-08

Q4-08

Q3-09

Q2-10

Q1-11

Q4-11

Q3-12

Q2-13

Q1-14

Q4-14

Q3-15

YoYGrowth(%

)

Employmen

t(SA

,Smoo

thed

)

OaklandTechEmploymentQ1-08toQ4-15

TechEmployment YoYGrowth

Analysis.Answers. 17

LocalResidents

40,00042,00044,00046,00048,00050,00052,00054,00056,00058,00060,000

2007

2008

2009

2010

2011

2012

2013

2014

2015

CityofOaklandMedianIncome($)2007to2015 HouseholdChangebyIncomeCategory,2015

CategoryHouseholds

2015AnnualChange

Total 161,104 4,380

Lessthan$25,000 38,203 303

$25,000to$50,000 32,955 422

$50,000to$100,000 42,640 1,748

Morethan$100,000 47,306 1,866

Analysis.Answers. 18

LocalResidents

14.0

15.0

16.0

17.0

18.0

19.0

20.0

21.0

22.0

23.0

2007

2008

2009

2010

2011

2012

2013

2014

2015

CityofOaklandPovertyRate(%) HouseholdChangebyIncomeCategory,2015

Category Households2015AnnualChange

Total 419,278 5,496

19YearsandYounger 94,289 -1,489

20to34YearsOld 108,996 7,016

35to54YearsOld 120,510 2,338

55to64YearsOld 46,353 -2,448

65YearsandOlder 49,130 79

Analysis.Answers. 19

OaklandResidentialRealEstate

0100200300400500600700800

2008

2009

2010

2011

2012

2013

2014

2015

2016

$Millions

ResidenIalBuildingPermitValues2008to2016

New AlteraIons/AddiIons

ValueofRes.Permits2016($Millions)

CouncilDistrict AlteraIons New

District1 31.5 84.1

District2 17.6 2.5

District3 32.0 527.8

District4 20.6 36.5

District5 6.5 5.2

District6 8.2 36.6

District7 6.0 3.0

CityTotal 122.4 695.8

Analysis.Answers. 20

OaklandNon-ResidentialConstruction

0

50

100

150

200

2008

2009

2010

2011

2012

2013

2014

2015

2016

$Millions

Non-ResidenIalBuildingPermitValues

2008to2016

New AlteraIons/AddiIons

ValueofNon-Res.Permits2016($Millions)

CouncilDistrict AlteraIons New

District1 9.7 9.4

District2 10.4 16.0

District3 141.8 4.0

District4 14.6 0.0

District5 2.9 15.5

District6 1.3 0.0

District7 5.9 0.6

CityTotal 186.6 45.5