More than 90 percent of San Diego-area businesses believe the region’s housing has become too expensive, and most think more residences should be built, according to survey results released Wednesday.
The San Diego Regional Chamber of Commerce’s monthly Business Forecast, sponsored by locally based Silvergate Bank, is the latest study to suggest high housing costs have the potential to limit the area’s economic growth as businesses work to attract and retain employees facing relatively high mortgage and rental costs.
While 93 percent of the 200 businesses surveyed agreed housing in the area is expensive, 44 percent indicated it was “much too expensive,” the forecast reported.
Fully 63 percent of respondents rated building more housing at least somewhat important. Among those with 50 or more employees, 26 percent deemed it “very important,” and an additional 9 percent saw it as “extremely important.”
Chamber President and CEO Jerry Sanders said in a news release ensuring employees have affordable housing is a “key component” in making San Diego a place where businesses can succeed and grow.
“Housing is expensive because there’s not enough of it,” he said. “With this forecast, we see the business community agrees: We need to build more homes.”
The monthly forecast also reported the chamber’s Business Outlook Index rose in July by about five points to 20.9. The index remains below the area’s historical average of 25, however, and the report noted the 52-week trend has been downward.