Yorba Linda, is a typical suburban city in Orange County, California, and it is within reach of Downtown Los Angeles. This city is the birthplace of Richard Nixon, the 37th President of the U.S., although he had moved away before the city’s incorporation. He continues to be remembered in the city through the Richard Nixon Presidential Library and Museum. The city is also home to Savi Ranch, a huge commercial district, as well as various other shopping centers. Furthermore, 1,000 physical businesses operate within the city, as well as a further 1,500 businesses out of residential homes. As such, it is a city with a very low level of unemployment and it is becoming increasingly affluent.
Yorba Linda Warehouse Building for Sale & Lease – Should You Buy or Lease?
If you are interested in obtaining warehouse space in Yorba Linda, be that as an investment or to run a business out of, you have two possible choices: buy or lease. There are pros and cons to both of these options.
Looking first at buying warehouse space, the pros include the fact that:
- Your monthly costs for the warehouse will remain unchanged for the duration of the mortgage.
- You can file for substantial tax deductions, including property taxes and mortgage interests.
- You can rent out some of your warehouse space, which means that you can have an extra source of income.
- You can benefit from the tendency of the property value to rise over time.
On the other hand, the cons of buying a warehouse building include the fact that:
- It is harder to relocate because you will need to sell the property first before you can move to another location in the event that your business has grown much faster than anticipated. This would also be true if the business declines and you also need to relocate.
- You have substantial upfront costs, primarily because you will need to pay at least a 30% down payment on the mortgage. You will also need to take care of maintenance, appraisal, and other property costs..
Meanwhile, if you decide to lease warehouse space, the benefits include the fact that:
- You can get a prime property, which can be advantageous for your reputation.
- You are left with more working capital because you don’t have to pay for a down payment.
- You can focus on actually running your business because you avoid the problems that come with property ownership.
However, there are some downsides to leasing a warehouse building, including the fact that:
- Your monthly costs will tend to go up over time because of rent increases.
- You do not benefit from any increase in the property value.
To help choose between the two options, being aware of the trends and statistics in terms of prices, supply, and demand, can help.
Yorba Linda Warehouse Property for Sale – Trends and Statistics
- The asking prices for warehouse properties in Yorba Linda in dollars per square foot is $222.13, which is a 2.7% increase over the past three months, and a 10.9% increase year on year. This is higher than the metro ($195.29) area and state ($142.69) area.
- The index of total dollars available for warehouse properties for sale in Los Angeles-Long Beach-Yorba Linda is 28, which represents a 6.7% increase over the past three months but a 2.9% decrease year on year.
- The index of total number of listings of warehouse properties available in Los Angeles-Long Beach-Yorba Linda is 26, which is a 7.7% increase over the past three months, but a 7.2% increase year on year.
- The profile view index warehouse property for sale in the Los Angeles-Long Beach-Yorba Linda metro area is 174, which is a 19.2% increase over the past three months, and a 30.9% increase year on year.
- The index of total square feet of available warehouse space for sale in the Los Angeles-Long Beach-Yorba Linda metro area is 26, which is a 0.2% decrease over the past three months, and an 18.8% decrease year on year.
Yorba Linda Warehouse Property for Lease – Trends and Statistics
- The asking rent for warehouse properties for lease in Yorba Linda in dollars per square foot per year is $10.96. This represents a 0% increase over the past three months, and also a 0% increase year on year. This is slightly higher than the state ($10.31) area, but lower than the metro ($11.75) area and the county ($12.93) area.
- The index of total number of warehouse spaces for lease in the Los Angeles-Long Beach-Yorba Linda area is 34, which represents a 0.5% decrease over the past three months, and an 11.9% decrease year on year.
- The profile view index for warehouse properties for lease in the Los Angeles-Long Beach-Yorba Linda area is 128, which is a 51.9% decrease over the past three months, and a 43.5% decrease year on year.
- The index of total square feet of warehouse space available for lease in the Los Angeles-Long Beach-Yorba Linda area is 29, which is an 8.7% decrease over the past three months, and a 20.8% decrease year on year.