Foreign Currency Comes to Los Angeles
Major Properties is a boutique brokerage firm with 15 agents. In spite of being small, we not only get our fair share of deals, but we also have a pulse on the Southern California real estate market. I’m sure that gives us an edge over our competition.
Major Properties has approximately $200 million in deals currently in escrow. The market is showing no sign of weakness or slowing, and more money than ever is flowing into Los Angeles real estate. This first quarter of 2017 looks amazing with no end in the foreseeable future.
I represented the sale of a property on Pico Blvd near Fairfax Ave. The property has a small athletic gym in one space and an 8,000 square foot film studio in the other section. I was in and out of escrow twice over an 18 month period for around $12 million. The prospective buyers could not make the deal work for their use.
In December we got a call from Bangkok, Thailand. A buyer was interested in purchasing the site. The conversation went like this:
Buyer: “Brad, how much for this property?”
Brad: “$12 million.”
Buyer: “How much for all cash, no contingency, 10 day close?”
Brad: “Try $10 million.”
The deal was signed, the money wired and it closed one week later! Wow!
In regard to Los Angeles, we are only at the beginning of this economic bonanza. With the urbanization of Downtown, the Rams returning, the Olympics possibly returning, cannabis dispensaries and cultivation, population growth, diversity of traditional buildings, etc., we are in an amazing stage of growth. Stay tuned!