The world of commercial real estate in Orange County is always exciting. Because it is such a hot market in which virtually every business would like to have a presence, and because there is almost no land available anymore, and properties that do come up are snapped up very quickly. Just recently, four multifamily properties were sold across Orange County and San Diego County by Marcus & Millichap.
In line with the new tax reform by President Donald Trump, continued job growth, and a good GDP (gross domestic product), it seems that the commercial real estate (CRE) market in both Orange and Los Angeles County will continue to be bullish. This is also according to the latest biannual Forecast Commercial Real Estate Survey by Allen Matkins/UCLA Anderson.
The tax bill is expected to increase the rate of return on commercial real estate and makes investment more attractive. Survey participants predict it will cause moderate though uneven growth.
Shopping, especially clothes shopping, is something that has been done in the same way for a very long time. You pick something from the rails, try it on in the changing rooms, find it is too small, have to get dressed again, hunt for a larger size, try it on again, and so on. The lights in the changing rooms are unflattering and make everything look terrible, and most of us leave feeling horrible and without that must have item we came for. But this could soon all change.
A new preliminary plan for real estate investment has been set by the Orange County Employees Retirement System (OCERS), based in Santa Ana. Essentially, they intend to make three commitments ranging from $125 million to $175 million, which will be to their core real estate portfolio. In addition, they intend to make a four more commitments ranging from $75 million to $125 million for their non-core investments. This will be for the 2019 fiscal year. OCERS is a $15.7 billion pension plan that is known for making lucrative investments.
RC Plaza is a popular shopping center in Rancho Cucamongo, CA. It is found where East Foothill Boulevard and Archibald Avenue intersect. It has been announced that the shopping center has been sold for $9,795,000 recently. The purchasers have been revealed to be Voit Real Estate Services and the Hanley Investment Group Real Estate Advisors. The latter is a real estate advisory and brokerage firm that has won numerous awards over the years.
The shoreline of California is changing and the sea level is rising as a result of climate change. It is believed that this will result in many properties being at risk of flooding within the next three decades. This was revealed by a study completed by the Union of Concerned Scientists (UCS).
According to the Allen Matkins UCLA Anderson forecast, the office building market in Orange County in particular is now very positive.
The sentiment for San Diego and Orange County markets has also rebounded from the June 2017 survey. In each of these markets this indicates future rental rates and vacancy rates will be better than they are today.
Rent is usually a substantial cost for a business. This is why it is so important that, before you sign a commercial real estate lease, you get your budget in order. Indeed, commercial real estate experts always talk about the importance of proper planning and preparation.
If you own a piece of commercial real estate in Orange County, there are three things you may want to do with it. Firstly, you may want to run your own business from the property. More commonly, you may want to lease it out, so that you can earn on your investment. Lastly, you may be in a position in which you want to sell the property.