Hyundai Motor Group has opened its first U.S. design studio in El Segundo, California, for its Genesis luxury division as the automaker seeks to create new cars and other products amid growing competition.
The company has opened an 80,000-square-foot design studio at 2221 Park Place in the Continental Park complex in Los Angeles. The facility, called Genesis Design California, houses 45 designers, modelers and digital artists focused on everything from production vehicles to air mobility and virtual storytelling. Hyundai bought the vacant building for $70 million in 2021.
The studio opening comes as a growing number of high-tech firms — from aerospace startups to robotics companies — are expanding in Los Angeles' South Bay, drawn by the region’s talent pool, real estate networks and proximity to commercial and defense partners.
Genesis’ new studio aims to become a creative outpost, where the company can explore new designs and technologies for cars and perhaps expand beyond traditional automobiles. The firm specializes in traditional sedans and electric vehicles, with prices ranging from $50,000 to $90,000.
The expansion comes as overall demand for EVs has cooled, with registrations declining from year-earlier periods. Some automakers like Ford and GM are pulling back on their EV plans due to high costs and shaky consumer interest.
“This studio will play a central role in shaping generations of new products” and will collaborate with existing design studios in Seoul and Frankfurt, José Muñoz, president and CEO of Genesis, said in a statement.
The El Segundo facility is part of a broader U.S. expansion by Hyundai Motor Group, which has committed $26 billion in domestic investment through 2028, including a $2.7 billion upgrade to its Georgia EV plant. The company’s North American headquarters is located in nearby Fountain Valley, California.
Innovation corridor
Los Angeles has long been a hub for automotive innovation, evolving from early 20th-century assembly lines to today’s electric vehicle revolution. Now, as investment grows in electric vertical take-off and landing, or eVTOL, aircraft, the region is well-positioned to play a key role in shaping the future of urban mobility.
Genesis' new focus on air mobility may seek to tap into that growing demand.
Genesis, launched in 2015, now operates more than 90 standalone retail facilities across North America, with dozens more in development. Its 46,000-square-foot flagship consumer-facing space, Genesis House, is in New York City.
The U.S. remains Hyundai’s most important growth market, and Genesis’ investment signals a long-term commitment to competing in the luxury segment, Muñoz said.
Genesis’ decision to embed its design team in Southern California reflects a larger trend: as international automakers face steep U.S. tariffs and regulatory hurdles, some brands are doubling down on American soil.
Companies like Toyota, Ford, Hyundai, GM, Stellantis, and Volkswagen-backed Scout Motors have announced plans for new EV battery plants, expanded assembly lines, and other major real estate developments across states like North Carolina, Kentucky, Georgia and Indiana.
Genesis says its El Segundo studio will focus on air mobility, robotics, and design for its newest cars. Designers will also create virtual imagery and films to market the products. The space itself is designed to inspire creativity, the company says, with natural lighting, flexible workspaces, and outdoor gardens that reflect both Korean aesthetics and the Southern California lifestyle.
Deep tech
Los Angeles County's aerospace and defense industries added 11,000 jobs between 2022 and 2024, with an average wage of $141,110 — more than twice the county average, according to the Los Angeles Economic Development Corp.
Genesis is one of several tech-focused companies planting roots in the region. In January, Airship Industries, a maker of autonomous, cargo-hauling blimps, established its global engineering headquarters in downtown Los Angeles, citing the region’s aerospace talent and logistics infrastructure as key drivers.
Varda Space Industries, a space manufacturing startup backed by $329 million in venture capital, recently expanded its footprint by subleasing 54,749 square feet in El Segundo to support its growing R&D and testing operations.
“In El Segundo, startups advancing dual-use technologies don’t operate in isolation,” said Mayor Chris Pimentel in a statement. “They’re steps away from primes, investors, a highly skilled talent pool and the broader supply chain that accelerates commercialization and supports their growth.”
From El Segundo to Long Beach, the region’s aerospace sector is experiencing a renaissance. Once quieted by the end of the Cold War, it’s now home to startups developing 3D-printed satellites, commercial space stations, and nuclear propulsion systems.
In Torrance, Heart Aerospace leased a 30,000-square-foot facility to build its X2 prototype — a hybrid-electric, 30-seat regional airliner — with a grand opening planned for early 2026. The site will also support broader flight systems development.
In Long Beach, startup Vast is building what it hopes will be the first commercial space station at its 189,000-square-foot headquarters.
Other deep tech firms like Radiant Nuclear, Castelion, Picogrid, and Cambium USA are also scaling across the region, reinforcing Southern California’s role as a launchpad for next-generation innovation.