One of the few remaining large aerospace companies headquartered in Los Angeles Northrop Grumman Corp. has agreed to be acquired by Lockheed Martin Corp. It is expected to mean the loss of jobs at the company’s Century City headquarters and at plants in El Segundo and Hawthorne. The Business Journal Forum asks:

Will Northrop’s departure hurt Los Angeles?

Kathi Littmann

Director of Program Management

Gensler

Anytime we lose a major influence on our economy it has an impact on Los Angeles. I think the economy overall is strong enough that it’s not a horrible thing, but sure, anytime you lose a major firm, it’s not good for the city.

Debby Pachal

MobileCom

Corporate Account Executive

Of course. It will cause unemployment and deplete housing prices, as many people will no doubt be foreclosed on their homes if they lose their jobs. It doesn’t bode well for Southern California, as thousands will be displaced. And there aren’t that many aerospace companies out there where they would be able to apply for new jobs.

Julia Thomas

President

Bobrow/Thomas and Associates

I think this highlights that the economy is in transition in this state. It creates a set of opportunities and highlights the need to focus on those kinds of industries and technologies that will be setting the standard for the next century. Obviously, it will be problematic in the short term, but it will accelerate Los Angeles to a more diversified economy.

Martin Kristal

Partner

Harrington, Foxx, Dubrow & Canter

In the short term, it will severely impact unemployment. But in the long run, the jobs will be taken up in other areas. I think it’s unfortunate that the aerospace industry has almost completely abandoned Southern California, but there are substantial major tenants that have replaced the aerospace industry.

Scott L. Chalmers

Director of Marketing & Leasing

J.H. Snyder Co.

From an office space standpoint, it always hurts when a major tenant leaves a particular submarket. However, the West Los Angeles and Century City markets are so strong right now that they can absorb that space relatively quickly. Also, that building has small floor plates, so it would lease quickly to smaller or larger tenants. It’s definitely not a positive, but the market is strong enough right now to absorb it.