A week ago, the Los Angeles Controller’s Office released what it called the “Top 100 Rental Properties” list in LA. As I started going through the addresses, I noticed something interesting. I recognized many of the properties not because I was involved in them, but because a surprisingly significant number of them have traded over the past few years. Roughly 16% of the buildings on the list have sold within the last 4 years. That raises a bigger issue. Instead of focusing on

The ADU Parking Tradeoff in LA Multifamily A lot of LA multifamily owners are adding ADUs right now, but there’s no clear consensus on the best strategy. I’m seeing two very different approaches: Some owners are eliminating parking entirely to maximize unit count Others are adding a few ADUs while preserving most of their existing parking There’s no “right” answer. It’s a classic short-term vs. long-term tradeoff. Short term: Units without parking are generally harder to leas

A new construction multifamily investor came into my office this week to hear our marketing pitch on the value of one of his Hollywood buildings. After I shared the valuation, he pulled up ChatGPT and said: “Chat told me cap rates are between 4–5%, not 6% for new product.” What I took from that: Chat and any AI model is only as good as the data you give it. With no real inputs, it can actually hurt valuations and underwriting. Especially in a market like LA where everything i

Labor market moving closer to equilibrium even amid strong hiring. Total employment increased by 272,000 in May, coming in above the...

More Prospective Buyers and Sellers Coming to Terms The number of existing single-family homes available for purchase swelled to a...

Inflation Trends Cloud Fed's Path Still-elevated inflation is leading Wall Street participants to delay expectations for the Federal...

Rising Unemployment Releases Pressure on Inflation Employment growth accelerated in February with 275,000 jobs created, yet the...

As we step into a new year, understanding the intricacies of the labor market is pivotal for grasping broader economic trends. In this...

Inflation Continues to Show Varied Trends The headline consumer price index (CPI) showed a slight uptick in July, rising by 3.2 percent...

As we navigate the ever-changing economic landscape, understanding key indicators like inflation and housing dynamics becomes crucial. In...

The landscape of student loans is experiencing significant shifts that will undoubtedly influence various aspects of our economy. From...

Los Angeles Multifamily Market Update March 2023 By: Jason Tuvia Where are Interest Rates Now for LA Multifamily? Many lenders have...

Softening economic data warrants less-assertive rate increase. The Federal Reserve has extended its tightening cycle into 2023 by raising...

Hiring continues, but signs of slowdown emerging. The labor market welcomed 263,000 new jobs in September, above the long-term monthly...

Federal Reserve enacts fifth rate hike of the year. Following accelerated core CPI inflation and ongoing above-average hiring last month,...

Headline and core inflation trend in opposite directions. In August, the headline Consumer Price Index recorded a year-over-year increase...

Rates resume climb, further cooling the market. After briefly dipping below 5 percent in early August, the average 30-year fixed-rate...

Last month’s employment report ideal for Fed objectives. Employers added 315,000 personnel to payrolls in August, below the 526,000 jobs...

Inflation trend may be turning corner. The headline Consumer Price Index in July was up 8.5 percent compared to a year prior, a...

High inflation persists, but pressure may ease. The Consumer Price Index advanced 9.1 percent year-over-year in June, its fastest pace...