Orange County’s 34 cities added people and revenue in the past year with fast-growing Irvine overtaking Huntington Beach as the third largest city, according to this week’s Business Journal list.
The list ranks cities by current population and includes yearly revenue, city workers and large employers.
In all, the cities have 2.99 million residents,virtually all of the county’s 3 million people, except for those who live in unincorporated areas.
Residents in the cities were up 1%, or 30,555 people, from a year earlier.
The five biggest cities,Santa Ana, Anaheim, Irvine, Huntington Beach and Garden Grove,have 1.28 million people, more than 40% of the county’s total.
The cities grew workers and revenue, too. They employ 15,355 people, up 10% from a year earlier. Their revenue grew 2.3% to $2.05 billion for 12 months through June.
City officials credit their growth to the housing boom of the past few years, commercial development and tourism.
Next year stands to be a different story.
The housing downturn has stopped projects in several cities and could slow population growth this year and next. The larger economic slowdown is crimping sales tax revenue. And cities are in for cuts in state spending, once Sacramento settles on a budget that addresses California’s $15 billion deficit.
Irvine was the only city on the list to change its ranking from a year earlier, moving up a spot from No. 4 and displacing Huntington Beach, the county’s longtime No. 3 city.
Residents in Irvine grew 4.3% to 209,806 people, the most growth of any city on the list. Huntington Beach, which largely is developed, grew at a more conservative 0.3% to 201,993 people.
Irvine’s revenue grew 5.6% to $140.7 million for the 12 months through June.
The development of homes, condominiums and apartments fueled Irvine’s population and budget. Housing development has slowed this year, but Irvine is expected to see long-term growth with redevelopment of the former El Toro Marine base and development in the northern part of the city.
Irvine’s “shopping centers and well-placed commercial business centers provide the high quality of life that people and businesses need to thrive,” City Manager Sean Joyce said.
The city’s big employers include the University of California, Irvine, Irvine Unified School District, The Irvine Company, Broadcom Corp. and Allergan Inc.
Irvine still has a way to go before it can become OC’s biggest city.
No. 1 Santa Ana saw its population grow 0.4% to 353,184 people. The city ranks No. 9 in the state by population.
Hispanics make up about 75% of Santa Ana’s residents. Some contend the densely populated city is closer to 400,000 or more people, arguing government figures undercount Hispanics and undocumented residents.
Santa Ana has 1,753 city workers and more than $216 million in revenue for the 12 months through June, up 3% from a year earlier.
Big employers include First American Corp., Freedom Communications Inc.’s Orange County Register and Western Medical Center-Santa Ana.
Santa Ana is largely developed and has seen part of its downtown redeveloped with condominiums in recent years.
The county’s most urban city plans to work on reducing crime, boosting transportation, fixing up parks and growing businesses, according to Catherine Standiford, Santa Ana’s assistant city manager.
The city is considering expansions of the Santa Ana Auto Mall and possibly Westfield MainPlace mall, she said.
Anaheim, Huntington Beach
No. 2 Anaheim is a close second to Santa Ana with 346,823 residents. Its population grew 0.8% from 2007.
Anaheim is California’s 10th largest city and has the biggest budget in OC, thanks to tourism.
The city has 2,836 workers and revenue of $249 million for the 12 months through June. Anaheim’s revenue was up 4.6% from a year earlier, helped by tourism, property and sales taxes and development fees for the area around Angel Stadium of Anaheim.
The recent opening of Anaheim GardenWalk, a mix of shops, restaurants and entertainment venues across from Disneyland, is expected to help the city generate more revenue.
Anaheim also plans to expand its convention center.
Housing development has stalled at the Platinum Triangle near the stadium. But Anaheim still is seeing historic growth, City Manager David Morgan said.
“We’re very busy in spite of a down economy,” he said.
Huntington Beach is counting on retail and hotel developments to boost revenue, according to spokeswoman Laurie Payne.
The city’s revenue grew 2.9% to $185 million for the 12 months through June, mostly fueled by property and sales taxes from Bella Terra mall, Payne said.
The soon to be unveiled Strand development, which includes the Shore Break Hotel and office and retail space, is expected to be a boon.
The economic slowdown is putting a strain on Huntington Beach and other cities as consumers spend less at shops and restaurants, Payne said.
“With the receding economy we’re all facing lower sales taxes since people aren’t apt to shop for expendable items,” she said.
Huntington Beach marks its 100-year anniversary in February. The city plans to have a year of events.
No. 5 Garden Grove’s population grew 0.6% to 173,067 people. The city’s revenue saw a 4% decline to $76 million. The city is looking to tourism and retail development along the city line with Anaheim to generate money.
All cities on the list added people. A few grew faster than others.
They include No. 14 Tustin, up 2.6% to 74,218 people. The city’s revenue grew 17% to more than $54 million.
The redevelopment of the former Tustin Marine base helped drive revenue and stands to spur the city’s population in coming years.
No. 6 Orange was up 2% to 140,849 people. The city’s revenue grew 4.8% to $93 million.
Apartment and home developments spurred the growth, said Jim Reichert, Orange’s economic development director. New businesses helped grow Orange’s revenue, he said.
“We have a very pro business City Council,” Reichert said. “We’re very open to new businesses.”
The city is looking to develop medical centers to form a corridor that will link its three central hospitals: Children’s Hospital of Orange County, UCI Medical Center and St. Joseph Hospital-Orange.
