Category: Apartments For Rent

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Downtown Rent Prices Set to Explode

Today’s MLS data reports that the average Downtown rent has increased from $2,606 ($2,400 median) in the last half of 2013 to $3,021 ($2,725 median) currently. That’s $300 to $400 per month more rent today than just 2 years ago.  Unfortunately, that is just the beginning.

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Think Downtown Los Angeles rent prices are already high?  Wait a few years.  While we are dazzled by the amazing transformation of Downtown into the most exciting place on earth, the average Downtown rent will hit $4,000 in the blink of an eye.  The Atlantic reports that over the next 10 years, the rental population in the U.S. will climb by about 4 million people. And that growth rate pales in comparison to the blistering speed of Downtown population growth.

Census Bureau data puts DTLA’s 2000 population at 27,849 people, but the 2013 total (according to the Los Angeles Downtown Center Business Improvement District) almost doubled, reaching 52,400, says KPCC.

Of the  57 residential construction projects currently under way in Downtown Los Angeles, only 3 are condominiums for sale.  Investors are placing billions into rental communities because their projections show huge profits coming at the expense of renters over the next 10 to 20 years.  No developers have converted new condo lofts in Downtown in more than 2 years. And none have plans to convert any more soon.

Those who think it is cool to rent now and buy later will unfortunately find that home prices will rise in a corresponding manner, locking out the average buyer. Only the wealthy will be able to purchase a nice place, and only the wealthy will be able to easily afford to rent an attractive loft or apartment.  The average renter will be forced to spend more than 30% of income on rent, or live with additional roommates.

LOFT & CONDO LISTINGS DOWNTOWN L.A.  [MAP]

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Corey Chambers, Realty Source Inc, BRE#01889449

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Something’s Broken at SB Grand

SEE THE NEW UPDATE ON SB GRAND AT
https://www.laloftblog.com/2017/09/15/sb-grand/

All Downtown Los Angeles loft buildings have issues, but one stands out as possibly the most troubled loft project ever in DTLA. The ShyBary Grand has some advantages: genuine historic lofts at good prices, but the worst thing may be the way it makes one feel.

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The Homeowner’s Association does not provide all of the financial documentations that one might expect. Several homeowners have not paid HOA dues in a long, long time. We don’t know what kind of reserves the HOA has or does not have.

buyer-mistakes-la-cp-ad-rsiBecause more than 50% of residents are renters, most lenders will not finance units at SB Grand. When the developer sold the condos, they only sold about 70% of them to real home buyers, and held out around 30% for the developer and other commercial interests to rent out. Weird  — it’s the only condo building that has a leasing office.  The units rent cheap, and take a long time to rent out.  The result is that SB Grand is a condominium that is all but devoid of ownership pride.  In fact, the building’s true personality comes out every Spring Break as the pool gets fun and frolicky.

Hectic with a capital HECK!  While SB Grand is not in Skid Row, it might as well be, as Skid Row comes to the building nearly all day long every day because the neighboring Metro station is the closest station to Skid Row. Around the SB Grand, the homeless are the least of the problem; the main problem is the almost homeless. That’s where the hectic, frantic situations occur outside. Like a pimp and ho version of General Hospital –  How about General Rehab?

Loiterers stand around in front and nearby almost constantly. Many of them are yelling, sometimes obscenities, sometimes threats, sometimes drop to the ground from drug overdoses, sometimes get rescued by paramedics, and sometimes get a gun in the face compliments of undercover Metro police.

Inside the building is a different type of turmoil. The renters sometimes have people over, questionable dealings, sometimes arguments occur in the common areas.  The renters sometimes litter in the building and throw cigarettes down onto neighboring balconies below.

Oh, and parking is not included, but the HOA dues are low.

LOFT & CONDO LISTINGS DOWNTOWN L.A.  [MAP]

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SEARCH LOFTS FOR SALE UNDER $400,000  |  $800,000,  |   $30,000,000
Browse by Building  |  Neighborhood  |  Size  |  Bedrooms  |  Pets  |  Parkingsb-grand-cru-01

Corey Chambers, Realty Source Inc, BRE#01889449