California and the Central Valley
California boasts the largest population and economy of any state in the U.S. with an estimated GSP of $2.3 trillion. The state generates over 13% of total U.S. GDP. Not only is the economy large, but it is also diverse, with leading industries including financial services, professional and business services, and manufacturing.
Since its inception, CVF has been an active investor throughout the state of California. Given the size and diversity of its economy, California attracts many capital providers, but CVF has successfully focused on smaller transactions that tend to attract less attention from larger and national providers. Outside of the Central Valley, CVF has been most active in the San Francisco Bay Area and greater Los Angeles. CVF’s investment activity throughout the state has raised its profile as a leading provider of mezzanine capital to lower-middle-market businesses across all of California.
California’s Central Valley comprises 19 inland counties that are home to approximately 18% of the state’s population. The region is expected to have the fastest growth of any region in California through 2040. Although it is best known for its agribusiness, the Central Valley features a well-diversified economy, with substantial activity in industrials, business services, consumer discretionary, materials, and information technology. The Central Valley’s favorable location, climate, cost of living, and quality of life make it an attractive home to many types of businesses.