Multifamily Opportunity in Sherman Oaks — Three Units for $2.2M

This unique high-end Sherman Oaks multiunit home is an ideal choice for investor looking to take advantage the downturn in the market, and pick up this brilliant home at a competitive price!

For more listings in Los Angeles Commercial Real Estate, please visit our website and search with our company.

900 SF Industrial Condo in Santa Clarita for sale — $320,000

This charming condo is part of a new development that is centrally-located right near the 5 freeway, with a ground-level door and excellent small office build-out. Great parking, and incredibly clean!

For more information, please visit our Los Angeles Commercial Real Estate for Sale site.

Signage Size Requirements in Los Angeles

Signage is an important element to many businesses, especially in Los Angeles, where street visibility can lead to hundreds of thousands of drivers each day. So it would follow that the laws governing signage are very important, in particular the size.

So how big can you make a sign? In Los Angeles city, you are allowed 1.5x the street frontage (in feet)– so, if for example, you have a 60-ft frontage, you will be able to have 90sq-ft of signage. This sign can be divided in any way you see fit, and will depend upon the type of construction you have. There are many good options when it comes to finding a sign contractor, so locate a respectable one in the area to help you out with a site visit to the location.

For more information about Los Angeles Commercial Real Estate for sale, please visit our website.

4,500 SF of Redondo Beach Industrial Space — $.80 PSF

This manufacturing space is built out for high-energy usage and excellent mezzanine office space. A real perfect choice for light manufacturing…close to the freeways and Long Beach Port!

For this listing, and many more, you can search our website for Los Angeles commercial real estate.

1,000 SF Industrial Space in Irvine — $2.45 PSF

This ideal location for a small industrial business in in the heart of the airport area, just minutes from the 405, 55 and 5 freeways. The location cannot be beat!

For more information on Los Angeles commercial Real Estate, visit our website.

2,000 SF Office Space in Costa Mesa — $3.50PSF

Looking for an attractive, well laid-out office space on the first floor with excellent parking in the heart of Costa Mesa? Then look no further! This charming space is perfect for an office that entertains clients and needs to impress!

For more information on Orange County and Los Angeles Commercial Real Estate, please visit our website.

2,150 SF Retail Space in Culver City — $4.50 PSF

This charming boutique-style retail space has great visibility on Sepulveda Blvd, ample parking in back, and a beautiful store front. Few listings come on the market as good as this — don’t miss out!

For more Los Angeles Commercial Real Estate Listings, visit our website.

The “Sticky Floor” of Real Estate Pricing

A lot of people are very concerned with timing their real estate purchases with the bottom of the market, and as a result, want to buy the moment the price has taken a blip down, only to continue to lose at an alarming rate. That game of “timing” is a concept brought over from other investment vehicles, like stocks, that operate on dynamic sin-curves, and the trick is to hit it right before the rapid upswing. Real Estate, however, is historically unqiue.

I will enter into your vocabulary the concept of the “sticky floor” of real estate pricing. If we look back in history to the major booms and downturns in real estate (the Great Depression, the mid-sixties, the mid-80’s, late 90’s, etc.) we see that the pattern of pricing is not that of a sin curve. Rather, it tends to have periods of rapid growth, followed closely by rapid falls, followed by extended periods of relatively flat pricing. After a boom, the “bottom” of the real estate market seems to be when the market has reached stability after the downturn, and lasts until the next upturn. So, rather than have a full sin curve-shape, real estate looks like the lower half of the curve has been lopped off — providing for only upturns, followed by downturns of near-equal proportions — hence the concept of the “sticky floor”; rather than dip down to new depths, real estate prices instead opt to have extended periods of relatively flat growth. In fact, despite the amazing swings in value, the average appreciation of a home is very little above that of true inflation rates in the U.S. (8.98% as compared to around 7.9%…depending on the resource.)

This seems to contradict the basic concepts of economics, but that is not the case — real estate is just a much more complicated model for supply and demand. Glossing over some of the more complicated smaller elements, here’s the easiest way to explain why it is: traditionally — frenzied upswings in value are usually brought on by an outside force on the markets, usually a severe loosening of lending requirements and underwriting (like the 9-11/loan repackaging of the last few years, or the S&L crisis before it, or even the exisitence of subprime mortgages) or a related boom in the US economy in general. The ease of getting money allows otherwise under-qualified potential buyers to become qualified, and demand (and price) are driven dramatically upward. People become very “house rich” and assume more debt, again raising prices further.

Those risky loans to risky people, however, do turn bad when inflated housing prices reach ciritical mass (or loan rates start resetting) and new buyers cannot afford to enter the market (as only “trade-in” buyers can), and those with those homes cannot afford the payments. Once people can no longer afford the homes, banks begin to forclose, and housing prices plummit as it is impossible for banks to not have large real estate holdings, and they have to sell them at steep losses. Swift policy needs to be reformed, and lending requirements tighten back to the point that they were before the boom (or worse), and demand plummets. General panic and pessimism sets in, and homes continue to fall in value until around the time that actual new buyers can afford the homes at the now-stricter lending requirements.

And once that equilirium is met, things go quiet. Why? It is simple: most homeowners are not investors or banks: they live there. And the amount of people who “must” sell is relatively small — and instead the market reacts to the downturn in demand by having a large downturn in supply. People who are financially solvent and don’t have to sell, simply stop trying to sell their homes, and instead hold on to them. What happens is that instead of the price point shifting farther down past the point that it originially was, the volume of transactions goes way down. In that way, the decrease in value is absorbed by a lowering of supply and turnover. Stability is reached in the market, and prices “go flat.”

These flat periods are proportionate to the severity of the uptun and downturn, and tend to last anywhere from 8 months to 5 years. What finally brings the real estate market out of that stability is another “frenzy” induced by ouside forces, which tends to cycle through various forms every 10 or so years.

The author is a residential and Commercial Real Estate Broker in Los Angeles, and has been working in the industry for many years. If you are looking to buy or sell commercial property, please visit his website.

4,000 SF Complete Floor of High-Visibility Irvine Office Space — $4.00PSF

Looking for an immaculate class “A” space in the highly-desirable airport area? Then look no further! Excellent ammenities — intelligent layout — perfect for most businesses! Great visibility / accessability. Contact for inquiries.

Please visit our Los Angeles Commercial Real Estate website for more information, or to search our entire databases of information.

Gorgeous 4,000 Newport Coast Home — $1.8M

An absolute stunner located in the desirable Newport Coast area. Ocean Views and IMMACULATE interior. For more information, please review our website.

We also have access to Los Angeles Commercial Real Estate Listings, and can help you fidn the perfect space.