Most Los Angeles Hard Money Lenders will tell you, as one of the most prosperous locations in the world, Los Angeles remains a top place for commercial real estate investments. L.A. commercial property market will continue to flourish in Real Estate Development.
Los Angeles Hard Money Loan Companies say the rise of tenants entering Los Angeles market as well as a demand for additional space coming from tech companies create opportune Real Estate Development for investors. Also, entertainment and high-tech companies become increasingly attached, forming a new position in improving the overall market performance.
L.A. Commercial Real Estate Development Remains Stable
Los Angeles Hard Money Lenders say analysts are making positive forecast for commercial Real Estate Development in L.A., leasing and sales are both on the rise. Altogether, the commercial market is remaining stable due to new development and mixed use growth. The office market in Downtown L.A. is extremely active, with soaking up rates and new construction projects finally in full operation.
The demand for apartment buildings will continue even if construction of new units goes up. The Downtown Arts district, Hollywood, Culver City and Venice are among the up and coming investment areas. They have the largest rent growth and highest vacancy rates. A good investment option could also be the single tenant retail properties.
Hard Money Loan Companies In Los Angeles, CA say as the consumers are assured in the current economic situation, they anticipate people will spend more at restaurants and retail shops. Recent job creation reduces vacancy rates in the office, industrial and retail sectors. According to the annual Emerging Trends in Real Estate report, nothing indicates an immediate turnaround in L.A. Real Estate Development, but it is improving and keep moving forward.
Big High Tech Expanding is Determined in Los Angeles
Los Angeles business sectors are growing in Technology. Having gained the new nickname “Silicon Beach,” Los Angeles will launch a site for many multi-million dollar startups. It’s no secret, that creation of new tech companies establish additional workplaces which also influence demography and flows a demand for residential and multifamily housing.
As of today, Los Angeles has become a hub for many famous tech companies’ offices. Recently, Google has opened a 100,000 square foot campus in Venice, Microsoft has opened a 20,000 square foot office space in Playa Vista.
However, Los Angeles Hard Money Lenders say that becoming a successful tech city doesn’t mean that no longer is Los Angeles the U.S. entertainment capital. New initiatives aim to combine tech capabilities with the established entertainment culture to provide a stable environment.
There has been many famous celebrities that have shown interest in the development of tech industries: Jessica Alba is cofounded of The Honest Company; Justin Timberlake has invested into Myspace social networking service. What’s more, high tech companies can help Hollywood to take an advantage and offer new video platforms and or communication solutions.
Entertainment Offices Expected to Be in Great Demand
New entertainment firms will seek more space. With the plans to drive branded content separate from TV, distribution platforms such as YouTube, Netflix and Amazon will need additional space for their studios. YouTube Space in Playa Vista, Los Angeles is a prototype of such creative studios.
A majority of Hard Money Loan Companies In Los Angeles, CA will tell you that in 2014, the Hollywood market was expected to gain its momentum with the Real Estate Development of new entertainment offices on Sunset Boulevard and in Downtown Los Angeles.
Predicts are shifting the investors’ interest towards the areas with low vacancy rates and moderate prices. One of those is Santa Monica. Today, tenants tend to relocate out of initially desired locations if this promises savings in rent. El Segundo and Downtown L.A. being one of the most perspective areas for Real Estate Development.
For more information on private money lending tips and advice, real estate development news, and much more, make sure to follow our blog at: https://legacyprivatefunding.com/blog/