The Pepperdine School of Public Policy (SPP) has received a $100,000 grant from the
Arthur N. Rupe Foundation to support its expansion of a partnership with Beacon Economics,
strengthening collaborative research efforts focused on California’s economy, public
policy, and regional economic development.

The grant will support several initiatives within the partnership, including continued
publication of the Alternative Viewpoints on California Policy research series, expanded
student research opportunities through a summer fellowship program, and the development
of a major economic and budget forecasting event scheduled for fall 2026.

“This commitment from the Rupe Foundation makes possible something unique in California
higher education: a research-focused center challenging the conventional wisdom of
the state’s and region’s economic policies,” said Pete Peterson, Braun Family Dean’s
Chair and Dean of the Pepperdine School of Public Policy.

The Arthur N. Rupe Foundation supports initiatives that strengthen education, encourage
informed public debate, and advance research that contributes to public policy discussions.
Through its grantmaking, the foundation supports scholarly work designed to reach
broad audiences and inform decision-making on important societal issues.

Released this June, the partnership’s latest research project, The Industrial Ecosystem’s Economic Contributions to Southern California, examines the critical role of industrial real estate in Southern California’s economy.
Findings revealed that industrial real estate is a cornerstone of Southern California’s
economic engine, leading to a downstream effect of stable employment, economic output,
resilient supply-chain infrastructure, and regional competitiveness across Los Angeles,
Orange, Riverside, and San Bernardino counties. 

Industrial-zoned land in the aforementioned counties function as part of an interconnected
regional system, the study noted, which links a myriad of ports, transportation networks,
manufacturing, distribution centers, retailers, and consumer markets. Findings further
signal that decisions to replace, reduce, or convert industrial uses can cause great
harm as a whole to regional economies, jobs, and the supply chain. 

Furthermore, the study found that industrial and flex properties support approximately
1.45 million jobs and contribute roughly $196 billion to regional GDP. Considering
that land-use decisions made today will shape Southern California’s economic capacity
for decades to come, Pepperdine and Beacon researchers point to these findings as
a clear warning to policymakers that legislation reducing industrial land capacity
threatens long-term economic growth.  

“The overall cost of converting industrial land rarely shows up in any single transaction
or its taxes,” said Christopher Thornberg, Beacon Economics founding partner. “It
accrues to the regional economy as a whole, impacting supplier networks and labor
pools that can’t be reassembled once they’re gone. The economy-wide value of industrial
real estate goes far beyond what any parcel-level valuation ever captures.”

Beacon Economics is one of California’s leading independent economic research and
consulting firms, providing analysis on economic trends, labor markets, housing, public
finance, and regional development. This research paper is one of a three-part series
led by Beacon Economics and Pepperdine SPP to examine critical policy issues affecting
communities throughout the state.

In sum, the current industrial space report represents the latest milestone in the
growing relationship between the Pepperdine SPP and Beacon Economics as both organizations
continue to advance research that informs and promotes constructive public policy
discussions across California.