Real Estate – Ryan McKenzie Real Estate

Industrial Market Recap 1st Quarter

LA Northwest Market Update

Los Angeles Northwest region maintains continued low vacancy rates with only .1% increase in available space for warehouse and distribution totaling 1.1%. Direct Weighted Average Asking Rates (NNN) increased by $.01 to $.75 for warehouse and distribution but remained the same for flex property at $1.09. Unemployment also dropped for California.

In my opinion lease prices will continue at current market however sales prices will increase as users contemplate equity involvement in properties.

To see full report from Xcelligent click HERE.

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LEASED – 7720 Airport Business Park Way

Closed lease transaction Van Nuys.

I am pleased to announce our recent completed lease transaction for 7720 Airport Business Parkway in Van Nuys. Steve McKenzie and I represented Sweetwater Digital Productions a division of NEP Broadcasting as the Lessee on this transaction.

17,369 Square Feet
50 Months
$1.10 Per Square Foot Gross

For additional information regarding this transaction, please email at ryan@go2delphi.com or call at 818-933-7113.

Contact me today if you have a property you need to lease or are needing space in the near future.

IAC – Valencia’s Newest Development

The New 9 Building 1.3 Million Sq.Ft. Development

With very little land left for development of new property near Los Angeles, the IAC Commerce Center will be a breath a fresh air – and paint.

I attended the IAC Commerce Center “Wall Raising” ceremony complete with hard hats, SCV Economic Development Corporation, and Press Secretaries for Assemblymen. The talk was all about the newest Valencia Industrial development. The business park boasts 9 buildings and 1.3 million square feet of building space, all built on 116 acres. Currently constructing Building 1, the business park will be developed in three phases. The timeline is not currently known, but it will be beautiful by the looks of it.

Some notable facts regarding the Building 1:

Office Square Feet: To Suit
Clear Height: 30
Dock High Loading: 39
Ground Level Loading: 2
Lease Rate: Subject to Offer
Power: 2,000 Amps. 480/277 Volt 3 Phase, 4 Wire
Sprinklers: ESFR
Parking: Approximately 218 Spaces

If you are considering a large facility move or addition to your business, this is a great opportunity to work with Santa Clarita Valley Economic Development Corporation. They can provide tax credits, scatter maps, and more to help you consider this opportunity.

Please contact me if you would like more information or have any questions regarding this project. You can see the full information here at IAC Commerce Center.

Ryan McKenzie

Van Nuys Sales Comp

15030 Keswick St., Van Nuys Sale Comp

15030 Keswick St., Van Nuys, CA 91405

20,016 sf. (bldg.) on 46,530 sf. (lot)
$3,992,000 Comp Sale Price
$199.44 Comp Sale Price/SF
LAP Zoning
1972 (R11) Year Built
40 Car Parking
Construction type – Concrete Block
Sale date 12/16/16

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Call today if you would like a free survey of industrial warehouse properties – 818-933-7113

*** Data from sources deemed reliable however information not confirmed or warranted for accuracy. Prospective buyers/sellors/lessors/lessees must do their own research.

Industrial Market Recap 4th Quarter

Los Angeles Northwest region 4th quarter recap.

Los Angeles Northwest region continued fierce competition through the fourth quarter with a .1% drop in vacancy rates totaling 1% now available. Weighted Average Asking Rent (NNN) increased $.01 per square foot from 3Q bringing averages to $.81 (NNN). Current construction by submarket showed LA Northwest in second place behind LA East. LA Northwest reported 1,104,333 sq.ft. while least-under-construction market LA Central showed 626,818 sq.ft. Lastly, LA northwest posted 100,029 square feet of Total Quarterly Net Absorption.

In my opinion lease rates and square foot prices will stay the same or increase as seen in Weighted Average Asking Rent (NNN) increase. No noticeable movement from increased financing rates as of yet. Additionally, with with such little inventory the pricing and values are highly compressed – Sellers market.

To see full report from Xcelligent click here or on photo. ***

Do you need more information or help regarding your commercial real estate? Call today and I’ll be happy to discuss your needs. I’ll even send you a free survey of available properties to help you value your property.

*** Data from sources deemed reliable however information not confirmed or warranted for accuracy. Prospective buyers/sellors/lessors/lessees must do their own research.

An Insight Into SBA Loans

SBA 7(a) vs SBA 504

While working with small businesses for purchasing property, I am often asked what kind of financing is available. I respond, “Conventional of course, and this ‘thing’ called SBA.” For those of us that aren’t experienced in the difference, I’ve taken a clip from Wells Fargo SBA Lending webpage (click here for direct website or on photo) to better define this “thing” or rather, lets better refer to it as a Program. Small Business Administration (SBA) provides an opportunity for a small business to purchase property with lower down payments and long repayment terms. Below is the difference between the SBA 7(a) and SBA 504 programs that are available.

I’ve found that some companies have experienced an opportunity to purchase a property where they previously could not because of their use of this program.

So there you have it. A quick insight into the SBA loan programs.

Ryan McKenzie
BRE# 01787433
818-933-7113
Ryan@go2delphi.com

DISCLAIMER: I am not a lawyer, accountant, or an adviser. Nor am I in any way suggesting or implying you or anyone else use Wells Fargo or any other provider for that matter. All information herein is for information and educational purposes only. You must locate and retain your own source of professional information. I do not warranty or guarantee any information to be accurate.

Industrial Market Recap 3rd Quarter

Industrial market recap 3rd quarter 2016.

“The market is tight,” a standard saying being used around the Los Angeles marketplace for industrial property. Lease rates are increasing. Sales prices increasing. Rates increasing. Will we see a slowing of commercial property demand compression? I don’t believe so… yet.

LA Northwest (SFV) Quick Facts

# of Bldgs – 3,886
Inventory (sf) – 122,565,449
Total Available (sf) – 4,055,666
Total Vacant (sf) – 1,391,225
Total Vacancy Rate (%) – 1.1%
Total Quarterly Net Absorption (sf) – 600,620
YTD Total Net Absorption – 829,143

We continue to see heavy competition around industrial buildings for sale and lease.

If you would like to be added to the quarterly market information list, please email ryan@go2delphi.com if you haven’t already input your information when first arriving on the website.

PS. If you’d like a free survey of available properties OR If you have questions regarding your industrial property for Sale or Lease please feel free to call 818-933-7113 to speak with Ryan.

*Data taken from Xceligent, Inc. 2016 Q3 Market Trends for full report click here. Although data is deemed reliable, Ryan McKenzie makes no warranties as to the accuracy of the information.