Los Angeles city officials hope to create jobs with a Downtown cluster of environmentally sustainable companies at a currently 20 acre parcel in an industrial area south of the 10 freeway near Santa Fe Avenue. Up to 1 million square feet of buildings could accommodate such businesses at the site. Tax breaks and other financial incentives will be offered. The Community Redevelopment Agency (CRA) will be shopping the proposal to different businesses. The site was once a bus manufacturing facility.
Category Archives: Market Trends & Indicators
Market trends, leading or lagging indicators. As it relates to industrial property.
Gross Absorption Trend
Vernon Parcel Tax Increase
The Vernon City Council passed a resolution to increase the Special Parcel Tax rate from $.20 to $.22 per square foot of land. Expect annual increases of two cents. It applied to properties containing non-refrigerated warehouse uses, truck and freight terminal uses and other distribution uses.
Recession Amid Economic Growth?
Are we in a recession? Maybe, maybe not. The U.S. economy is expanding and is likely to show a 2% annual growth rate this Thursday. Picture taken from today’s WSJ article.
Lease Activity Overshadows Sales
In the 2008 second quarter, 3.5 million square feet of building space was absorbed in the Central Los Angeles industrial market, similar to Q2 ’07. Here is the interesting point: space leased totaled 2,800,000 SF versus a paltry 751,000 SF sold – almost a 4:1 ratio. The credit crunch and high sale prices have surely placed a damper on the sale market even though sale prices are relatively stable.