As we approach the end of the year, everyone wants to see what the outlook will be for 2014. In terms of properties that are available for sale, retail is the highest in the general Los Angeles area, closely followed by multifamily properties.
In terms of purchases, substantially more investors seem to be buying multifamily than any other property type. Retail is next in line to multifamily, but only by half as much.
Read MoreThe most promising thing about Culver City is that vacancy rates are currently going down across all commercial asset classes. Economic activity is high due to the changes the city has made to bring in new tenants and revitalize the downtown Culver City sub market.
Read MoreFinding quality tenants for Commercial Real Estate is a bit different than Residential. You can have a very responsible individual with high net worth sign the lease, but still have problems in the future. Why is this the case? Well realistically their net worth is meaningless unless they own enormous amounts of capital and by that time they might as well purchase a property of their own. Instead of looking at their current value, you must be able to monitor their income and also project for the future where that income will be. Property owners need to think outside of the box with this.
Read MoreAs a tenant to a commercial property, you might want to make various changes to your property so that it is more marketable. Structural changes almost always need to be consented to by the landlord with a submitted plan for approval. Nonstructural changes can sometimes be made if they are relatively simple, such as changing the carpet and the landlord already designated in the lease that such changes are ok.
Read MoreThe commercial lease can be a tricky and complicated matter. Entire books are written on how to negotiate them. They are so complicated that small business owners hire agents to negotiate on their end and property management companies have their own agents in house that help to negotiate the lease for the property owner. For now, we will just discuss the different options for determining how the rent payments will evolve.
Read MoreLet’s say you’re determining the price of rent for various apartments in a multifamily property. You want to base this on many factors including the location, asset class, etc. Another one of those factors might be the average income for that area. There are many ways of determining that average. Which one is going to the better choice in the context of setting the price of your lease?
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