DTLA condo development hits fastest pace since 2008 crash: report

Los Angeles /
Mar.March 28, 2017 12:15 PM

Condo development in Downtown Los Angeles is at an all-time high since the recession, according to the Wall Street Journal.

Nearly 2,000 new condos are under construction or on the market, some of which are going for over $1,000 per square foot, insiders told the Journal. Prices for existing downtown condos are also up 3.3 percent over the past year to $628 per square foot, according to Polaris Pacific.

Nearly 80 percent of the 308 units in the first of three towers at Greenland USA’s Metropolis project are in contract, according to Cory Weiss, an executive vice president at Douglas Elliman Development Marketing, which is marketing the project. The second tower, slated to open next year, is 30 percent in contract, he said.

Approximately 100 of the 151 units at TEN50, Trumark Urban’s 25-story condo building at 10th Street and Grand Avenue, are spoken for at prices ranging from $600,000 to $4 million, according to Trumark’s managing director Arden Hearing, putting the company ahead of schedule on sales.

Industry insiders point to oversupply in the rental market and insufficient condo inventory in DTLA.

“Everything went rental for a while and not enough condo product was built to meet market demand,” Miles Garber, head of research for Polaris, told the Journal. “The pendulum swung too far.” [WSJ]Cathaleen Chen


Related Articles

arrow_forward_ios
(iStock)
LA County sued over commercial eviction moratorium
LA County sued over commercial eviction moratorium
The future of San Francisco’s Oceanwide Center is up in the air again (Getty, Foster and Partners)
Contractors pull out as Oceanwide Center sale falls through again
Contractors pull out as Oceanwide Center sale falls through again
(iStock)
LA County home sales are falling, but condo deals still rise
LA County home sales are falling, but condo deals still rise
300 S. Santa Fe Ave. (Google Maps)
LA’s top 5 multifamily investment sales of 2020 fell 50%
LA’s top 5 multifamily investment sales of 2020 fell 50%
Granite CEO Michael Dardick and Industrious CEO Jamie Hodari
Industrious partners with landlords to offer tenants satellite workplaces
Industrious partners with landlords to offer tenants satellite workplaces
Colorado Campus at 2041-2115 Colorado Avenue and Northwestern Mutual CEO John E. Schlifske
Northwestern Mutual picks up Santa Monica office campus for $166M
Northwestern Mutual picks up Santa Monica office campus for $166M
Prop 15 property tax measure draws millions (Credit: iStock)
Prop 15 property tax measure draws millions of dollars from for and against campaigns
Prop 15 property tax measure draws millions of dollars from for and against campaigns
California is allowing barbershops and salons to reopen under new coronavirus mitigation guidelines (Credit: Noam Galai/Getty Images)
California allows barbershops to reopen, but LA holds back
California allows barbershops to reopen, but LA holds back
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...