From a “stinky city” to a hub for tech billionaires—SpaceX has transformed the city in spectacular fashion

Hemmed in by an oil refinery, Los Angeles International Airport, and miles of factories and warehouses, El Segundo was once a predominantly blue-collar community—a place better known for the foul odors in the air than for its quality of life. Today, driven by SpaceX and other high-tech, high-growth enterprises, the city has transformed into an upscale enclave; leveraging its prime location, it has become a sought-after hub for some of the region’s hottest companies.

Located in Los Angeles’ South Bay, the city is reinventing its identity. It is repurposing the warehouses, office buildings, industrial sites, and homes that once housed the aerospace, oil, and defense industries, now riding a new wave of innovation spanning space technology, finance, sports, and even the toy industry.

SpaceX Sparks a Wave of Startups

Founded in El Segundo, SpaceX has spawned over 100 startups, many of which have also set up shop locally. Although SpaceX has since relocated its headquarters to Texas, the company maintains a significant operational presence in nearby Hawthorne. Former SpaceX employees sometimes even playfully refer to one another as “Gundo bros,” a nickname derived from their shared history at the site.

An ever-expanding ecosystem for toy design and manufacturing has taken shape around Mattel, which is headquartered in El Segundo. At the same time, the area has become a major hub for professional sports, with top-tier basketball and ice hockey teams building large, state-of-the-art training centers there.

Krystal Robbins, a resident of El Segundo for 21 years, notes that the city has come a long way since the days when some dubbed it “Smell Segundo.” Air quality has improved, and the overall quality of life has risen along with it.

Her family enjoys a small-town community atmosphere while living alongside executives from major corporations; SpaceX employees and Mattel executives alike participate in local school PTAs. The Los Angeles Chargers even sponsored a charity fundraiser for the El Segundo Education Foundation. “There has always been a blend of blue-collar and Midwestern vibes here,” she says. “But without a doubt, it’s much trendier and more upscale now than it used to be.”

A Coastal City with a Midwestern Vibe

The city takes its name from a seaside oil refinery. In 1911, Standard Oil named its second California refinery “El Segundo” (Spanish for “The Second”). Despite its West Coast location, the city has long possessed a distinctive Midwestern feel, making it a popular choice for film and commercial shoots whenever production teams need a backdrop that doesn’t look like typical Los Angeles. For instance, the city’s traditional red-brick high school recently appeared in a Kohl’s commercial and the TV series All American, and also served as a filming location for the movie Superbad.

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