Economy of Salt Lake City

Salt Lake City is also the largest industrial banking center in the United States.[1] The city is known as the "Crossroads of the West" for its central geography in the Census defined western United States. Salt Lake is about an equal distance from Los Angeles, Denver, San Francisco, Portland, Phoenix, and Seattle. As a result, Interstate 15 is a major corridor for freight traffic and the area is host to many regional centers such as Dannon Yogurt and Sysco.

World War II brought many military and industrial jobs to the Salt Lake Valley. Hill Air Force Base was activated on November 7, 1940.

Local, state, and federal governments have their largest presence in Salt Lake City, accounting for 21% of employment. Trade, transportation, and utilities account for another 18% of employment, with the major employers being the regional Delta Air Lines hub at Salt Lake City International Airport. Equally significant are the professional and business services, which account for another 18% of employment. Health services and health educational services comprise an additional 10% of employment. Other major employers include the University of Utah, Sinclair Oil Corporation, and The Church of Jesus Christ of Latter-day Saints.

The Census estimates that the city's daytime population increases to 313,000 – the second largest increase for cities with at least 100,000 residents. This reflects the fact that a relatively small proportion of metropolitan area residents (18%) live within the city limits.

Major factors that have affected economic activity within the city in the early 21st century have been the 2002 Winter Olympics, poverty, and urban sprawl. The 2002 Winter Olympics drove a need for many hotels and restaurants that have now led to market saturation. Urban sprawl has created fierce suburban economic competition resulting in inner-city economic decay. However, studies have shown that increased suburban growth has caused increased construction in the downtown area.[5] By 2006, availability of Class A office space had fallen below 2% for the downtown area, which led to the construction of an eight story, 230,000 sq. ft. unit for Fidelity Investments, located in The Gateway, and an additional 750,000 sq. ft. of custom office space for companies such as Myriad Genetics, Southern Nevada University and Spillman Technologies.[6] A decade later, a Class A office tower of over 440,000 sq. ft. at 111 Main Street was planned for completion in late 2016, with an accompanying 2,500 seat theater and mixed use retail and boutique hotel on Regent Street.[7]^:1

Economic indicators in 2005 found that the city, particularly the downtown area, was experiencing increased population growth. The number of residential units in the central business district have increased by 80% since 1995, and is forecast to nearly double in the next decade. Recent sales of high-rise condominiums have been brisk. One 12-story building, The Parc condos at Gateway, had its ground-breaking in 2002 and was sold-out in mid-2005; many new towers are planned within the next decade. One notably large development of over 1,000 units is being built by the LDS Church. This marks a turn in a half century's trend of stagnant population growth in the city contrasted with an average yearly growth rate of 6% in the surrounding suburban area.

Employment by industry in Salt Lake City [8]

Salt Lake City Proposed General Fund for the fiscal year 2012–2013 [9]