Legal Advice Blog: Legal Advice, Case Insights, & Local Law Information

A California real estate transaction is a major legal and financial process, and when there are unfortunate complications, the impact can reverberate for years to come. When buying or selling commercial real estate, you know that protecting your interests is tantamount, including protecting yourself against mortgage fraud. With experienced guidance, you can shield yourself from potential complications that are a result of mortgage fraud. Not only will this save you from possibly substantial financial losses, it can help you avoid legal complications in the future. If you believe that you are already a victim of this type of crime, you would be wise to take quick action to avoid further harm. What does mortgage fraud mean anyway? Mortgage fraud is a term that encompasses various different types of illegal activity, all done with the intent of wrongful financial gain through the mortgage process. As the purchaser or seller of the property, you may have experienced mortgage fraud committed by a real estate professional. Professionals who may commit fraud include the following: Real estate appraiser Mortgage broker Bank officers Loan originators Mortgage fraud for profit usually occurs when a person who works in the mortgage or real estate industry uses his or her knowledge of the processes and laws to act illegally. In many cases, multiple parties are working together to misuse the mortgage process in some way. The result is typically the theft of equity or cash from the subject of the fraud scheme. The people who commit mortgage fraud can be quite creative in their efforts to steal and deceive. Some of the schemes commonly employed include foreclosure rescue schemes, falsely inflating the appraised value of a property, misinformation regarding property conditions and more. If you believe that you are a victim of any type of mortgage fraud, you would benefit from the assistance and guidance of an experienced legal ally. How can you protect yourself? One of the simplest ways that you can minimize your exposure to various types of mortgage fraud schemes is to carefully review all documents before you sign. It can also be useful to have legal support from the very beginning of the purchase or sale process. Avoiding problems or dealing with the consequences of issues related to mortgage fraud is both legally and financially complex. You could benefit from a complete evaluation of your case and thorough explanation of the various legal options available to you.

With a greater emphasis being placed on sustainability in Los Angeles and other parts of the Golden State, being green is becoming increasingly important in all areas of business, including in real estate. For this reason, the Institute for Market Transformation recently added multiple enhances to its Green Lease Leaders recognition program. It has collaborated with the Lawrence Berkeley National Laboratory and the Better Buildings Alliance of the U.S. Department of Energy on this initiative impacting commercial leases. The Green Lease Leaders recognition program was launched back in 2014 and recognizes tenants and landlords in the industrial, retail and office sectors who are seeking to improve their water and energy use via the corporate guidelines and lease clauses they use. The goal of the program is to establish a new green standard for those in the leasing business. Since the program was created, commercial spaces spanning more than 1.3 billion square feet have been called Green Lease Leaders. In October, the program took things a step forward by revealing revised criteria for green leasing, along with silver and gold recognition levels. It also now offers a newly designed website featuring a lease assessment tool that can be used online. In addition, new reference guides featuring example lease language are also available. Going green with commercial leases is growing in popularity today, but being sustainable in the leasing world is not possible without first securing a lease or obtaining a piece of property that provides leasing opportunities to businesses. Leasing or purchasing real estate can be tricky, whether one is a novice or veteran in the real estate world. Fortunately, an attorney in Los Angeles can help with each stage of the process to make sure that one’s goals and best interests are upheld from start to finish. Source: facilityexecutive.com, “ Search Is On For 2018 Green Lease Leaders “, Oct. 31, 2017

With a greater emphasis being placed on sustainability in Los Angeles and other parts of the Golden State, being green is becoming increasingly important in all areas of business, including in real estate. For this reason, the Institute for Market Transformation recently added multiple enhances to its Green Lease Leaders recognition program. It has collaborated with the Lawrence Berkeley National Laboratory and the Better Buildings Alliance of the U.S. Department of Energy on this initiative impacting commercial leases. The Green Lease Leaders recognition program was launched back in 2014 and recognizes tenants and landlords in the industrial, retail and office sectors who are seeking to improve their water and energy use via the corporate guidelines and lease clauses they use. The goal of the program is to establish a new green standard for those in the leasing business. Since the program was created, commercial spaces spanning more than 1.3 billion square feet have been called Green Lease Leaders. In October, the program took things a step forward by revealing revised criteria for green leasing, along with silver and gold recognition levels. It also now offers a newly designed website featuring a lease assessment tool that can be used online. In addition, new reference guides featuring example lease language are also available. Going green with commercial leases is growing in popularity today, but being sustainable in the leasing world is not possible without first securing a lease or obtaining a piece of property that provides leasing opportunities to businesses. Leasing or purchasing real estate can be tricky, whether one is a novice or veteran in the real estate world. Fortunately, an attorney in Los Angeles can help with each stage of the process to make sure that one’s goals and best interests are upheld from start to finish. Source: facilityexecutive.com, “ Search Is On For 2018 Green Lease Leaders “, Oct. 31, 2017

In Orange County, California, office rent over the past two years has grown at the highest rate seen in the United States — 23 percent. A major reason for this growth is that technology firms are being forced to expand into downtown areas and submarkets near core markets due to a lack of space in the core markets. This may spell good news for those offering commercial leases in downtown Los Angeles. Submarkets as well as downtown areas featuring skylines are becoming more in-demand among tech companies versus the traditional brick buildings that they have historically preferred. This is quickly creating new opportunities for investors in commercial real estate in these downtown areas and submarkets. The best part about this trend is that tech companies are willing to pay premium prices for office spaces in these locations. From the perspective of an investor, technology markets that are appealing to occupiers by offering growing high-technology labor pools and low rents for office space are the ones most likely to grow in the immediate future. Still, the business cycle naturally experiences swings. As a result, firms that have realistic projections for growth and realistic valuations, along with practical exit strategies, will help to guard investors against losses. The commercial real estate world throughout the United States is constantly changing, but right now, real estate investors interested in offering commercial leases in submarkets and downtown areas may want to take advantage of deals in these areas while they are still available. Still, navigating the purchase of commercial real estate can understandably be tricky. An attorney in Los Angeles can provide the guidance necessary to seal the deal in a manner that should benefit an investor’s bottom line long term. Source: worldpropertyjournal.com, “ Orange County California Enjoys Highest Office Rent Growth in U.S. Over Last Two Years at 23 Percent “, Michael Gerrity, Nov. 16, 2017

In Orange County, California, office rent over the past two years has grown at the highest rate seen in the United States — 23 percent. A major reason for this growth is that technology firms are being forced to expand into downtown areas and submarkets near core markets due to a lack of space in the core markets. This may spell good news for those offering commercial leases in downtown Los Angeles. Submarkets as well as downtown areas featuring skylines are becoming more in-demand among tech companies versus the traditional brick buildings that they have historically preferred. This is quickly creating new opportunities for investors in commercial real estate in these downtown areas and submarkets. The best part about this trend is that tech companies are willing to pay premium prices for office spaces in these locations. From the perspective of an investor, technology markets that are appealing to occupiers by offering growing high-technology labor pools and low rents for office space are the ones most likely to grow in the immediate future. Still, the business cycle naturally experiences swings. As a result, firms that have realistic projections for growth and realistic valuations, along with practical exit strategies, will help to guard investors against losses. The commercial real estate world throughout the United States is constantly changing, but right now, real estate investors interested in offering commercial leases in submarkets and downtown areas may want to take advantage of deals in these areas while they are still available. Still, navigating the purchase of commercial real estate can understandably be tricky. An attorney in Los Angeles can provide the guidance necessary to seal the deal in a manner that should benefit an investor’s bottom line long term. Source: worldpropertyjournal.com, “ Orange County California Enjoys Highest Office Rent Growth in U.S. Over Last Two Years at 23 Percent “, Michael Gerrity, Nov. 16, 2017

Technology appears to be changing the face of modern real estate investing today in the United States, including in Los Angeles. In fact, when it comes to the retail sector, technology has led to a major shift to online retail from its land-based counterpart. As a result, warehouse commercial leases are beginning to draw increasing attention compared with retail building commercial leases. Consumers in general are starting to purchase many more items online. As the demand for online transactions grows, businesses are needing less merchandise in stores and more warehouse space. In fact, Blackstone — the biggest real estate investor on the globe — has bought hundreds of warehouses totalling more than 400 million square feet of space during the past seven years in several countries. Los Angeles is especially benefiting from the increased emphasis being placed on technology in real estate. Job creation is one of the impacts of technology, with job opportunities booming in this part of California as well as in other states. Blackstone said it is continuing to try to anticipate where real estate technology is moving and then put capital in that area. Whether trying to take advantage of retail or warehouse commercial leases as a business owner, the process of entering a lease agreement can be tricky. Unfortunately, overlooking essential details can end up a business owner time, money and even his or her business goals depending on the nature of the mistake. An attorney in Los Angeles can help to ensure that a business owner’s particular aims and best interests are reflected in a commercial lease before he or she signs on the dotted line. Source: yahoo.com, “ How technology has shifted the commercial real estate landscape “, Julia La Roche, Oct. 7, 2017

Technology appears to be changing the face of modern real estate investing today in the United States, including in Los Angeles. In fact, when it comes to the retail sector, technology has led to a major shift to online retail from its land-based counterpart. As a result, warehouse commercial leases are beginning to draw increasing attention compared with retail building commercial leases. Consumers in general are starting to purchase many more items online. As the demand for online transactions grows, businesses are needing less merchandise in stores and more warehouse space. In fact, Blackstone — the biggest real estate investor on the globe — has bought hundreds of warehouses totalling more than 400 million square feet of space during the past seven years in several countries. Los Angeles is especially benefiting from the increased emphasis being placed on technology in real estate. Job creation is one of the impacts of technology, with job opportunities booming in this part of California as well as in other states. Blackstone said it is continuing to try to anticipate where real estate technology is moving and then put capital in that area. Whether trying to take advantage of retail or warehouse commercial leases as a business owner, the process of entering a lease agreement can be tricky. Unfortunately, overlooking essential details can end up a business owner time, money and even his or her business goals depending on the nature of the mistake. An attorney in Los Angeles can help to ensure that a business owner’s particular aims and best interests are reflected in a commercial lease before he or she signs on the dotted line. Source: yahoo.com, “ How technology has shifted the commercial real estate landscape “, Julia La Roche, Oct. 7, 2017

New ventures are exciting. The chance to build something literally from the ground up and watch it grow and thrive can be an enticing reason to start a real estate project. However, before you take that first step, you need a thorough understanding of the potential risks involved. You may need to conduct a great deal of research and due diligence to understand the risks associated with a project. Depending on what you discover, you may decide to abandon the project or mitigate the risks and move forward. Your project dictates some of the risk The projects themselves can be high risk or low risk or anything in between. The following are examples of the two extremes: A high-risk project often does not have occupants lined up for the completed project. You speculate that the demand will be there when the project is complete. A low-risk project often already has one or more occupants lined up. In fact, you may be building the structure specifically for those occupants. Obviously, your risk increases as you reach the speculative project level. Pre-project issues To some extent, all projects are high risk before all of the pieces are in place. To minimize, or at least understand, the risks associated with the project, you may need the following: Construction and other permits Market analyses Feasibility studies Infrastructure improvements Acquisition of land Right to purchase needed land Plans for the site, building and development Surveys Environmental assessments Issues regarding any of the foregoing could potentially delay, if not derail, your project. In order to increase the chances of success, further research may be required to ensure that you receive everything you need to move forward. Zoning issues One area that often hangs up many projects is in zoning. Obtaining a land use permit can often make or break a project. You will more than likely not receive your construction financing until you secure this permit. Delays could come from many sources. You could spend a significant amount of time, and money, resolving the issues causing the delays. Construction issues Anyone who has ever been involved in a construction project knows that delays are a distinct possibility. Even so, the risks during construction are now less than they were before. If you accounted for potential delays, supply issues and the weather, among other things, you are probably ready for those risks. Occupancy issues More than likely, if you did not already have tenants or buyers lined up for the project, they begin in earnest at some point during the construction. In order for the project to succeed, you need to fill the space. Marketing becomes crucial at this point. Business and legal issues After considering all of the above, you may decide to move forward with the project. Before you do, you may want to protect your interests by putting your agreements in writing and understanding all laws applicable to the project. Whether it’s the land purchase, obtaining permits or financing or negotiating leases, you may benefit from having a real estate attorney in your corner. One risk that you don’t want to take is that your contracts and other agreements fail to protect you as you enter into a new venture.

New ventures are exciting. The chance to build something literally from the ground up and watch it grow and thrive can be an enticing reason to start a real estate project. However, before you take that first step, you need a thorough understanding of the potential risks involved. You may need to conduct a great deal of research and due diligence to understand the risks associated with a project. Depending on what you discover, you may decide to abandon the project or mitigate the risks and move forward. Your project dictates some of the risk The projects themselves can be high risk or low risk or anything in between. The following are examples of the two extremes: A high-risk project often does not have occupants lined up for the completed project. You speculate that the demand will be there when the project is complete. A low-risk project often already has one or more occupants lined up. In fact, you may be building the structure specifically for those occupants. Obviously, your risk increases as you reach the speculative project level. Pre-project issues To some extent, all projects are high risk before all of the pieces are in place. To minimize, or at least understand, the risks associated with the project, you may need the following: Construction and other permits Market analyses Feasibility studies Infrastructure improvements Acquisition of land Right to purchase needed land Plans for the site, building and development Surveys Environmental assessments Issues regarding any of the foregoing could potentially delay, if not derail, your project. In order to increase the chances of success, further research may be required to ensure that you receive everything you need to move forward. Zoning issues One area that often hangs up many projects is in zoning. Obtaining a land use permit can often make or break a project. You will more than likely not receive your construction financing until you secure this permit. Delays could come from many sources. You could spend a significant amount of time, and money, resolving the issues causing the delays. Construction issues Anyone who has ever been involved in a construction project knows that delays are a distinct possibility. Even so, the risks during construction are now less than they were before. If you accounted for potential delays, supply issues and the weather, among other things, you are probably ready for those risks. Occupancy issues More than likely, if you did not already have tenants or buyers lined up for the project, they begin in earnest at some point during the construction. In order for the project to succeed, you need to fill the space. Marketing becomes crucial at this point. Business and legal issues After considering all of the above, you may decide to move forward with the project. Before you do, you may want to protect your interests by putting your agreements in writing and understanding all laws applicable to the project. Whether it’s the land purchase, obtaining permits or financing or negotiating leases, you may benefit from having a real estate attorney in your corner. One risk that you don’t want to take is that your contracts and other agreements fail to protect you as you enter into a new venture.

California, including the area of Los Angeles, remains a hot spot for real estate investors in the commercial sector. A particular area that is drawing increasing attention is Palm Springs, where commercial leases can benefit both businesses and the community as a whole. Part of the draw of this area is the good quality of life it is purported to offer. Greater Palm Springs provides world-class fitness, wellness and health care, featuring a wide range of activities, such as yoga and bicycling. In addition, it has three hospitals along with other facilities. The area is also known for its strong culture and arts focus, with multiple museum locations, community theaters, music festivals and a film festival. Creativity is even permeating the area’s business community, with innovating being encouraged in this area of California. A huge perk for business owners in the area is that the availability and cost of commercial real estate properties have received high rankings among companies that are looking to expand or relocate, as well as among investors. The transportation infrastructure features a rail service, three airports and a zone for foreign trade as well, only adding to the appeal of the area. California continues to offer many opportunities for those interested in providing or taking advantage of commercial leases thanks to the many shopping centers and other types of properties available. However, failure to understand how leases work can cause those interested in a leasing relationship to make ill-informed decisions with negative long-ranging consequences. An attorney in Los Angeles can help to ensure that one’s rights and wishes are protected when dealing with leases in the Golden State. Source: palmspringslife.com, “ The Pursuit of Happiness “, Shelly Cannon, Oct. 4, 2017

California, including the area of Los Angeles, remains a hot spot for real estate investors in the commercial sector. A particular area that is drawing increasing attention is Palm Springs, where commercial leases can benefit both businesses and the community as a whole. Part of the draw of this area is the good quality of life it is purported to offer. Greater Palm Springs provides world-class fitness, wellness and health care, featuring a wide range of activities, such as yoga and bicycling. In addition, it has three hospitals along with other facilities. The area is also known for its strong culture and arts focus, with multiple museum locations, community theaters, music festivals and a film festival. Creativity is even permeating the area’s business community, with innovating being encouraged in this area of California. A huge perk for business owners in the area is that the availability and cost of commercial real estate properties have received high rankings among companies that are looking to expand or relocate, as well as among investors. The transportation infrastructure features a rail service, three airports and a zone for foreign trade as well, only adding to the appeal of the area. California continues to offer many opportunities for those interested in providing or taking advantage of commercial leases thanks to the many shopping centers and other types of properties available. However, failure to understand how leases work can cause those interested in a leasing relationship to make ill-informed decisions with negative long-ranging consequences. An attorney in Los Angeles can help to ensure that one’s rights and wishes are protected when dealing with leases in the Golden State. Source: palmspringslife.com, “ The Pursuit of Happiness “, Shelly Cannon, Oct. 4, 2017

Legal marijuana growers in California, including in Los Angeles, are causing rents and prices for industrial properties to increase exponentially. In fact, in some parts of Sacramento, prices are jumping to never-before-seen heights. This may be good news for those interested in selling commercial real estate or offering commercial leases. According to commercial real estate brokers, light-industrial buildings and warehouses are selling for double the typical asking prices. In addition, rents have jumped to four to five times the normal rent prices in a particular area on the southeastern part of Sacramento. The heating up of this market is leading up to recreational marijuana’s legalization next year in California. Voters in California approved marijuana’s legalization in 2016 with Proposition 64. However, counties and cities are retaining a lot of say in where and how legal marijuana may be grown. Sacramento’s adoption of marijuana-growing ordinances makes it a unique major urban area in California — one that is drawing a large number of businesspeople, even those from other states who want to own legitimate marijuana-growing businesses. A real estate bubble may occur in several years, but the value of properties may be sustained. The idea of higher rents and prices may be appealing for property owners who are interested in selling their properties or offering commercial leases. However, navigating commercial real estate transactions can be tricky, with mistakes potentially costing a property owner or investor a deal. An attorney in Los Angeles can strive to ensure that one’s goals are ultimately achieved in today’s high-demand, competitive real estate market. Source: sacbee.com, “Pot growers take over warehouse space in Sacramento”, Hudson Sangree, Oct. 9, 2017