Placentia is found to the north of California’s Orange County. According to the U.S. Census in 2010, the population was 50,533 at that time, which means that it is a relatively small city. Nevertheless, the census did see a notable increase in population, as it was just 46,488 in 2000. Placentia includes the Atwood community and it is a quiet city and mainly a bedroom community. It was also given the “All America City” award in 1971 by the National Civic League.
In 2013, a $20 million investment was infused into a Metrolink project in the downtown area and this was funded in part by the Orange County Transit Authority (OCTA). This revitalization project will include the construction of new homes, entertainment, retail, and mixed used properties, as well as the train station. There is also the OC Bridges project of the OCTA and the city of Fullerton, which is set to be completed in 2017.
Placentia Retail Building for Sale & Lease – Should You Buy or Lease?
If you are interested in retail space, you can either buy or lease it. There are pros and cons to both of these options.
With regards to buying retail space, the pros include the fact that:
- Your monthly costs are stable because amortization payments will not change.
- You can apply for tax deductions, including property taxes and mortgage interests.
- You can offer some of your retail space for rent, which means that you get an extra income source.
- The value of the retail property will tend to increase over time.
Meanwhile, the cons include the fact that:
- You don’t have much flexibility, which means that if your business contracts or grows too fast, you may have to sell the property sooner than expected.
- You have high upfront costs, not in the least a 30% down payment on the mortgage. You will also have maintenance, appraisal, and other property costs to pay.
Your other option is to lease retail space, which also has benefits, including the fact that:
- It is possible to get a prime property, which can boost your reputation.
- You have more working capital because leasing costs less.
- You can focus on running your business, because you don’t have to worry about property ownership.
However, there are some downsides as well, including the fact that:
- Rent can increase unexpectedly, possibly causing disruptions to the budget.
- You cannot benefit from equity build up in the property, since you don’t own it.
To help decide whether to buy or lease, knowing the trends and statistics in terms of prices, supply, and demand, may be beneficial.
Placentia Retail Property for Sale – Trends and Statistics
- The asking prices for retail properties in Placentia in in dollars per square foot is $408.88, which has remained the same over the past three months, but represents a 14.5% increase year on year. This is higher than those for the metro ($282.45) and state ($214.98) area.
- The index of total dollars available for retail properties for sale in Los Angeles-Long Beach-Placentia is 45, which represents a 9.7% increase over the past three months and 7.1% increase year on year.
- The index of total number of listings of retail properties available in Los Angeles-Long Beach-Placentia is 35, which is a 2.6% decrease over the past three months, as well as a 10.6% decrease year on year.
- The profile view index of retail properties for sale in the Los Angeles-Long Beach-Placentia metro area is 123, which is a 10.6% increase over the past three months, and a 14.7% increase year on year.
- The index of total square feet of available retail space for sale in the Los Angeles-Long Beach-Placentia metro area is 34, which is a 3.2% increase over the past three months, but an 8.5% decrease year on year.
Placentia Retail Property for Lease – Trends and Statistics
- The asking rent for retail properties for lease in Placentia in dollars per square foot per year is $24.21. This represents a 0.9% decrease over the past three months, but a 0.4% increase year on year. This is higher than the state ($20.88) area, but lower than the metro ($24.88) area.
- The index of total number of retail spaces for lease in the Los Angeles-Long Beach-Placentia area is 71, which represents a 2.4% increase over the past three months, and a 1.4% increase year on year.
- The profile view index for retail properties for lease in the Los Angeles-Long Beach-Placentia area is 91, which is a 49.3% decrease over the past three months, and a 47.5% decrease year on year.
- The index of total square feet of retail space available for lease in the Los Angeles-Long Beach-Placentia area is 69, which is a 5.3% increase over the past three months, and a 3.3% increase year on year.