Southern California Commercial Real Estate: Vacancies Shrink In East Valley

Southern California Commercial Real Estate:
Vacancies Shrink In East Valley

Southern California commercial Real Estate - Brion Costa

Lack Of New Construction Bolsters Southern California Commercial Real Estate Occupancy Numbers

The "East Valley", or the "Inland Empire" as it's also known, is seeing a rise in Southern California commercial real estate occupancy numbers. This rise can be traced mostly to a lack of new industrial construction. This lack is causing current occupants to renew their expiring leases and remain where they are. Additionally, the economy is generally improving, and that means that more companies are positioning themselves with leases that are affordable now and might be more expensive later.

Here's an article by Jack Katzanek in the Press-Enterprise that explains the details:

REAL ESTATE: Vacancies shrink for industrial buildings in East Valley

"The owners of distribution and manufacturing properties in Inland Southern California would just as soon not remember 2009, when one-fifth of all those properties sat vacant. But the most current data in that area will certainly help wipe some of …"
http://www.pe.com/business/business-columns/commercial-real-estate-headlines/20130408-real-estate-vacancies-shrink-for-industrial-buildings-in-east-valley.ece

Southern California Commercial Real Estate Market
Appears To Be Firming Up

The commercial real estate market in Southern California has been posting numbers indicative of a "recovery" for a while now. This appears to be true for the first quarter of this year as well.

Southern California Commercial Real Estate.

Los Angeles Commercial Real Estate – Redevelopment Starts More Modestly

Los Angeles Commercial Real Estate:
Grand Avenue Development Project

Los Angeles Commercial Real Estate | Grand Avenue Project

Grand Park covers 12 acres in downtown Los Angeles, from Grand Avenue to Spring Street. It is designed to host concerts and other performances.
(Photo: Monica Almeida/The New York Times)

Los Angeles Commercial Real Estate Sees A Simple Start To A Bold Redevelopment Vision

Rather than sending shockwaves through the world of Los Angeles Commercial Real Estate and beginning the project with a huge commercial building, the new Grand Avenue Development Project just got off the ground with the opening of "Grand Park", a twelve acre area that replaces the old "Civic Center" with new and very attractive open space. BUT … the project has begun, and there is much more to come, if they can get it right

Here's an article from the New York Times by Peter Slatin that describes the entire thing …

Simple Start of a Bold Vision for Downtown Los Angeles

"LOS ANGELES — Community leaders, real estate magnates and urban planners hope the Grand Avenue Development Project, which would add several million square feet of commercial and cultural space, will provide a center of gravity and excitement to an area of the city that has lacked both." … NY Times
http://www.nytimes.com/2012/11/28/realestate/commercial/simple-start-in-overhauling-downtown-los-angeles.html

Los Angeles Commercial Real Estate Market Dictates What Comes Next

The original plans that the Grand Avenue Development Project put forth call for innovative use (for the area) combining multi-use commercial in a grand scale (pardon the pun). However, realities of the Los Angeles Commercial Real Estate market … such as the almost non-existant condo market … will force accommodations and compromises to be made. Here's hoping the developers will get it right … and that the market supports them.

Los Angeles Commercial Real Estate.
 

Commercial Real Estate: Values Rise Slowly As Recovery Spreads

Commercial Real Estate:
Values Rise Slowly As Recovery Spreads

Commercial Real Estate | Costa Real Estate Digest

Information Source: National Council of Real Estate investment Fiduciaries
(http://nreionline.com/)

Price Increases In Most Desireable Markets Have Slowed While The Recovery Spreads To Wider Commercial Real Estate Market

Commercial real estate values continue to rise, but not as quickly as they did in 2010 and 2011. Investors are taking a "wait and see" attitude right now … a phenomenon that occurs with every election year regardless of the political situation. Elections always mess up the markets.

The commercial real estate market is no exception. It experienced a fairly quick rebound in '10 and '11. Prices are still rising, but at a slower rate. At the same time we notice the slowing is in the quicker rising most preferred markets, while the slower, less preferable markets are keeping relatively the same pace. This actually means the recovery is spreading to the wider commercial real estate market as a whole, and is good news.

Here's a report from Bendix Anderson in the National Real Estate Investor:

Commercial Real Estate Values Rise Slowly, Steadily

"Numerous price indices show that commercial real estate (CRE) values are on the rise, although now more slowly than in the past. Experts say investors are playing a wait-and-see game that has limited the greatest amount of growth to the most sought …" National Real Estate Investor
http://nreionline.com/news/several_price_indices_show_cre_values_rising_07252012/

 

Recovery Spreading To General Commercial Real Estate Market

The CoStar index shows us that the "Investment Quality" portion of the commercial real estate market has led the recovery, but that now the "General" commercial market is beginning to follow. This is good news for the commercial real estate market as a whole.

Commercial Real Estate
 

Southern California Commercial Real Estate: Office Market May Be Rebounding

Southern California Commercial Real Estate:
Office Market May Be Rebounding

Southern California Commercial Real Estate | Costa Real Estate Digest

John Barganski, Vice President of leasing for Brookfield Office Properties, is photographed in front of the Earnst & Young Plaza in Downtown Los Angeles on July 18, 2012. (Mel Melcon/Los Angeles Times)

Good News For Southern California Commercial Real Estate As L.A. County Vacancy Rates Drop and Average Rents Climb

Good news for Southern California commercial real estate as 2nd quarter figures show office vacancy rates moved down a bit. Now this doesn't mean that landlords are home free … most markets are still considered to have the tenants in the driver's seat. However, it is movement in the right direction for a change.

Read about it in this LA Times article by Roger Vincent:

Southern California office market may be rebounding – Los Angeles …

Roger Vincent – "Southern California's long-languishing office market finally managed to utter a convincing peep in the … COMMERCIAL REAL ESTATE QUARTERLY REPORT…" Los Angeles Times
http://articles.latimes.com/2012/jul/22/business/la-fi-commre-overview-20120722

Southern California Commercial Real Estate Has A Long Way To Go

As we've been seeing for a long time now, the majority of transactions are lease renewals, and not new space being rented. As with everything else, Southern California commercial real estate is tied to the jobs market. Until we see improvement there … and significant improvement … all good news must be taken with a grain of salt.

Southern California Commercial Real Estate