The California e-commerce industry has apparently been on an upswing in the Los Angeles area. However, it is clear from the area’s retail vacancies that brick-and-mortar shops are still strong contenders. This is great news for those interested in purchasing buildings featuring commercial leases for retail business owners.
The figure for Los Angeles County retail vacancies during 2018’s second quarter is 4 percent. This is a slight jump from last year, when the figure for vacancies rested at 3.9 percent. On top of this, the current year’s figure is far smaller than the vacancy rate of 5.9 percent seen back in 2009.
Prices for retail properties in the Los Angeles area are between $6 and $10 per square foot in a popular location. However, they can easily jump to $90 for a single square foot in areas such as Beverly Hills’ Rodeo Drive. The trend taking place in Los Angeles stands in contrast to what is taking place on the East Coast — specifically, in New York City. The Big Apple has witnessed an alarming jump in retail vacancies over the past two years.
In light of the above findings, Southern California appears to be a promising location for investing in retail properties. However, the process of purchasing a building featuring commercial leases can understandably be complicated, especially for anyone who has not navigated this process before. Fortunately, an attorney in Los Angeles can provide commercial real estate investors with the direction they need to successfully execute their deals time and time again in the Golden State.