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.

Screen Shot 2017-05-05 at 3.29.35 PM

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. ***

screen-shot-2017-01-10-at-1-14-49-pm

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.

screen-shot-2017-01-06-at-11-26-36-am

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.

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. 

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.