California Exodus Watch: Dunmor
Another Los Angeles company is packing up its headquarters.
Dunmor, a technology-enabled private real estate lender founded in Los Angeles, is relocating its corporate headquarters to Tempe, Arizona.
The company has signed a 9,365-square-foot lease at Horizon Bay in the Novus Innovation Corridor. The new headquarters is scheduled for delivery in the first quarter of 2027.
CEO Franck Ruimy says the Tempe location will allow the company to bring its teams together, attract talent and support its national expansion. Of course for a company moving its headquarters and employees from California to Arizona, the tax difference can be substantial.
No relocation subsidy or tax-incentive package has been disclosed. And Arizona doesn’t need to. Dunmor is moving from a state with an 8.84 percent corporate tax rate to one charging 4.9 percent. And employees who relocate get a tax break too — Arizona’s individual income-tax rate is roughly 2.5 percent, compared with California rates that can climb to 13.3 percent, plus California’s 1.3 percent disability payroll tax. That’s more money potentially staying with both the company and its workers.
Dunmor will continue doing business with California borrowers after its headquarters leaves Los Angeles.
So California isn’t losing Dunmor’s customers.
It’s losing the headquarters.
