Latest Commercial Real Estate Market News & Investment Advice in Los Angeles

When will the market improve?

December, 2011
by Karl Niehaus, President, CREI

Economic Overview:

SIGNS OF LIFE DESPITE HIGH VACANCY? With the unemployment rate creeping up and the economy still struggling, the big questions is, when will the market improve? Mark Schniepp, director of the California Economic Forecast, is hopeful a 3-4 year wait may be in store to see a return to its previous state, he said, "For it to get back to where it was in 2005 and 2006 when it was tight and vibrant, we may have to wait until around 2014 or 2015". The good news is that vacancy...

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How to Maintain your Building's HVAC (Heating, Venting & Air Conditioning)

November, 2011
by Karl Niehaus, President, CREI

How to Maintain your Building's HVAC
The age and quality of maintenance are the two major factors that determine the condition of the HVAC. The industry standard life is 15-20 years, and maintenance is the single most important factor affecting the expected life of HVAC units. If well maintained, some last well beyond the industry standard.

Changing the filters is the most important factor in prolonging its useful life. The best way to determine the quality of the maintenance is to look over...

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Financing is Expected to Ease

August, 2011
by Karl Niehaus, President, CREI

Commercial Overview:

OFFICE OVERVIEW & OUTLOOK: Office properties have experienced a downturn similar in magnitude to the last 2 cyclical recessions, with landlords experiencing a 17.6% vacancy rate. The good news, the office market will recover. Based on muted expectations for the next 6 months, and assuming the absence of another recession, office vacancy is expected to peak in early 2011, then plateau until office using job growth regains momentum in the 2nd half of 2011 as the private...

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Increased Sales Activity coming?

April, 2011
by Karl Niehaus, President, CREI

Commercial Overview:

RETURN OF COMMERCIAL PROPERTY SALES? Commercial real estate sales volume will increase by an estimated 55% in 2010. This is an easy, yet encouraging comparison over 2009, a year defined by the most severe credit crunch in recent history, an economic crisis and severe uncertainty. These factors kept the vast majority of investors on the sidelines last year, resulting in a 53% drop in overall sales volume from 2008, and a 79% decline from the market peak of $501 billion in...

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