Local Fashion Wholesale Profile: Champagne Italy
Champagne Italy is a South Los Angeles company that sells women's dress clothing for wholesale. They utilize the South LA environment for its cheap rent and the company sells a lot of clothes to other South LA retail companies.
South L.A.: Local Shops | While companies in South LA distribute clothing, manufacturers typically set up in Vernon, CA to make the wholesale clothing. And, many high-end retailers utilize South LA's manufacturing neighbor because the city's cheap rent a permitting processes.
By Layne Kaplan
Vernon, California knows the fashion industry very well.
According to the city's website, Vernon fashion companies contribute around 10 percent of the fashion-related jobs in Los Angeles County. "More than 265 companies in Vernon are involved in the fashion industry, accounting for 20 percent of the businesses located in the city," the City of Vernon website says.
And while you might not see high-end retail stores on the streets of Vernon, Calif., you will see blocks of warehouses and distribution centers that are distributing these expensive goods.
But what makes Vernon so desirable to locate a fashion headquarters, manufacturing facility or distribution center? According to California Fashion Association President and Vernon Chamber Board Member Ilse Metchek, the fashion industry flocks to the small industrial city because it is not incorporated within the city of Los Angeles.
Metchek says that Vernon is a hot spot for fashion manufacturing companies because the city is expedient in approving permits.
Ilse Metchek (Photo courtesy of California Fashion Association) |
“If a warehouse distribution center wanted to expand onto their own parking lot or wanted to add in another elevator, the company can just call up the fire department and the construction and electrical inspectors and get approval to make these changes within 24 hours,” Metchek said. “If you were to try and do the same process in the city of Los Angeles, it could take up to a month just to get the permit. What a waste of a month!”
Metchek explains that this process goes quicker in Vernon compared to Los Angeles because Vernon is not a residential community. The 5.2 square mile city does not have city departments such as a department of education or a parks and recreation committee to oversee and regulate. Therefore, these municipal services are “business-friendly” because local businesses are the majority of what they oversee.
In addition to quick responsiveness, the city of Vernon is appealing to manufacturing companies because of low electricity costs. The city has its own electric rig that provides power to consumers. Although the prices used to be a lot lower than it is today, the cost of electricity within Vernon is cheaper than the city of Los Angeles. A huge textile, manufacturing or distribution company needs lots of power to ensure success. Therefore, according to Metchek, that is another reason why fashion companies come to this area.
For these reasons and more, many high-end retail companies locate their main West Coast headquarters and distribution centers in Vernon. Some of the companies include:
- True Religion Apparel Inc. Headquarters
- BCGB Max Azria Group, Inc. Headquarters
- Whole Foods Market Kitchen Distribution Center
- Seven For All Mankind International Distribution Center
- Forever 21 Headquarters
- Citizens of Humanity, LLC
- Lucky Brand Dungarees, Inc.
(Find the full list of retail businesses in Vernon here.)
Because it is so cheap to manufacture and distribute goods in this part of Los Angeles County, companies are able to turn a profit easily compared to working in the city boundaries of Los Angeles.
Lastly, Metchek said she couldn’t deny that location plays a major role in why businesses settle in Vernon.
“Being so close to downtown LA is always a plus,” she said. "Most of these distributors don’t need to travel far to deliver their goods."
Vernon fashion manufacturing, textile and distribution companies are just as close to the fashion district as many Los Angeles manufacturing companies, and they pay less in rent.