#MultifamilyRealEstate

Labor Market Tightens Further, Fostering Upward Pressure on Wages, Interest Rates

Jason Tuvia

Jan 11, 2022
2 min

Labor Market Tightens Further, Fostering Upward Pressure on Wages, Interest Rates

In rare feat, unemployment drops below 4 percent. Employers added 199,000 personnel to payrolls in December, below the 2021 monthly average of 537,000 jobs, while the unemployment rate fell 30 basis points to 3.9 percent. Of the past 22 years, fewer than three have been spent with sub-4 percent unemployment. The tight labor market is also reflected in the surplus of job openings, last counted at 10.6 million, compared to 6.3 million people activity seeking work. Closing that

Multifamily Developers to Plug Some Holes in the Housing Shortage in 2022

Jason Tuvia

Jan 5, 2022
2 min

Multifamily Developers to Plug Some Holes in the Housing Shortage in 2022

Swell in homebuying inflames shortfall. In late 2021, the single-family housing landscape mirrored the conditions witnessed earlier in the year. For-sale inventory of both existing homes and finalized new homes trailed historical averages. Meanwhile, the desire for residences remains very strong, which continues to reinforce the imbalance between supply and demand. In November, purchases of existing homes climbed to the highest level since January of 2021, but the buying acti

Record Year for Job Growth Ending on Slower Note As Labor Slack Tightens

Jason Tuvia

Dec 6, 2021
2 min

Record Year for Job Growth Ending on Slower Note As Labor Slack Tightens

Lackluster employment growth a sign of tight labor market. Employers added 210,000 personnel in November, below this year’s monthly average of 555,000 jobs. Part of the slowdown was due to modest onboarding in the leisure and hospitality sector. While accounting for roughly 40 percent of all gains made since April 2020, the sector was only responsible for about 10 percent of November’s job creation. Moving forward, a sustained period of elevated employment growth is unlikely.

Marcus & Millichap Taps Luchs as Regional Manager of Ontario Office

Jason Tuvia

Feb 20, 2019
1 min

Marcus & Millichap Taps Luchs as Regional Manager of Ontario Office

Multifamily Investment Broker Takes Greater Leadership Role Commercial real estate investment services firm Marcus & Millichap has named Matthew Luchs as regional manager of its office in Ontario, California. Prior to being appointed regional manager, Luchs served as a sales manager for the firm in its nearby Encino office, a role he has held since September 2017. Since joining the firm as an agent in 2014, he has specialized in multifamily investment sales. Before that, Luch

How Baby Boomers, Retailers, Banks May Change Commercial Lending This Year

Jason Tuvia

Feb 15, 2019
3 min

How Baby Boomers, Retailers, Banks May Change Commercial Lending This Year

Some of the industry's top commercial real estate mortgage bankers expect business to stay just as strong in 2019 as the past two years even as the nation's almost record economic expansion shows signs of slowing. The Mortgage Bankers Association predicts loan origination in the sector will reach $530 billion in 2019, essentially on par with 2017 and 2018, at its annual commercial real estate finance conference in San Diego this week. The amount of financing in fourth quarter

Glendale Landlords to pay Relocation Fees When Hiking Rents

Jason Tuvia

Feb 11, 2019
2 min

Glendale Landlords to pay Relocation Fees When Hiking Rents

It’s not rent control, but it’s similar. In Glendale, where close to two-thirds of residents are renters, landlords will soon face new city requirements aimed at discouraging steep rent hikes. After temporarily freezing rent increases above 5 percent in November, the Glendale City Council voted 3-0 to approve an ordinance Tuesday requiring most apartment owners to pay relocation assistance fees to tenants if they plan to raise rents more than 7 percent. The policy, set to go

4,600 ‘Soft-Story’ apartment buildings still need earthquake Retrofits

Jason Tuvia

Feb 1, 2019
1 min

4,600 ‘Soft-Story’ apartment buildings still need earthquake Retrofits

Most of the apartments damaged and destroyed in the Northridge quake were in these dingbat-style buildings. Los Angeles city officials and property owners are making progress retrofitting the types of apartment buildings that proved especially vulnerable in the 1994 Northridge earthquake. The devastating—and deadly—temblor struck 25 years agothis week, toppling and damaging tens of thousands of buildings. As of this month, 1,500 “soft-story” buildings have been retrofitted, a

California Sues Huntington Beach Over Lack of Affordable Housing

Jason Tuvia

Jan 30, 2019
4 min

California Sues Huntington Beach Over Lack of Affordable Housing

As Californians deal with a housing crisis driven by increasing costs and limited development, the state’s new governor, Gavin Newsom, has taken a first-of-its kind legal action against the city of Huntington Beach accusing it of blocking affordable housing development and willfully refusing to comply with state housing law. Attorney General Xavier Becerra filed the lawsuit Jan. 25 at the direction of Newsom, who has made new housing production a priority in his first budget

Los Angeles Miracle Mile Set to Undergo Makeover

Jason Tuvia

Jan 25, 2019
4 min

Los Angeles Miracle Mile Set to Undergo Makeover

Bulldozers are expected to start tearing up a parking lot along a palm tree-lined stretch of Los Angeles' Wilshire Boulevard known as the Miracle Mile, capping a massive real estate makeover of the area that holds some of the city’s most well-known destinations such as the Los Angeles County Museum of Art, La Brea Tar Pits and the El Rey Theatre. The area, about five miles west of downtown in the heart of the city, is known for its mixture of early 20th century architecture a

Property Sales in Opportunity Zones Grew 12 Percent in 2018

Jason Tuvia

Jan 23, 2019
3 min

Property Sales in Opportunity Zones Grew 12 Percent in 2018

Industry Hopes for New Surge Once Government Shutdown Ends, Rules Are Released. Sales of commercial properties in so-called Opportunity Zones rose 12.4 percent to $52.3 billion in 2018 from the year before, according to preliminary CoStar data, a sign analysts say may mean demand throughout this year. The numbers are likely to climb higher as details of deals become public and get added to the tally. Whether the total reaches the numbers anticipated by backers of the new tax

Creditors Claim Sears Holdings is a Lost Cause, Blame ESL, Lampert for Downfall

Jason Tuvia

Jan 21, 2019
4 min

Creditors Claim Sears Holdings is a Lost Cause, Blame ESL, Lampert for Downfall

In a scathing court filing, a group of unsecured creditors contested the proposed sale of bankrupt Sears Holdings to its chairman Eddie Lampert, claiming the retail giant’s downfall “was precipitated by years of misconduct by Lampert,” his namesake hedge fund ESL Investments and others. The documents in a White Plains, New York, court proceeding over the Chapter 11 petition by Sears Holdings were filed late last week after the parent of Sears and Kmart stores agreed to be sol

Possibility of the Fed Pausing on Interest Rate Hikes Is Good News for CRE

Jason Tuvia

Jan 18, 2019
4 min

Possibility of the Fed Pausing on Interest Rate Hikes Is Good News for CRE

If the Fed pauses on rate hikes in 2019, commercial real estate will continue to see an abundant flow of capital. Federal Reserve Chariman Jerome Powell’s indications of a less aggressive stance on interest rate hikes in 2019 is mostly good news for commercial real estate capital markets, experts say—as long as caution is exercised. “It is good news because lower rates make deals cheaper. However, a Fed pause also means that the Fed is recognizing that downside risks to the e

California Affordable Housing Project May Hold One Answer to Worst US Housing Crisis

Jason Tuvia

Jan 15, 2019
4 min

California Affordable Housing Project May Hold One Answer to Worst US Housing Crisis

Incoming Gov. Gavin Newsom Hopes to Overhaul the Economics of Building Low, Medium-Income Housing. Three developers are preparing to build a 552-unit apartment complex in Santa Ana, California, that's set to be one of the largest affordable housing projects in a state with America's worst housing crisis. The project used some of the same techniques proposed by Gov. Gavin Newsom as part of his goal to create 3.5 million homes over six years. Developers of affordable housing ha

Housing Woes Lift Outlook for Apartment, Home-Rental Stocks in early 2019

Jason Tuvia

Jan 7, 2019
3 min

Housing Woes Lift Outlook for Apartment, Home-Rental Stocks in early 2019

Rental Boom Growth in rental housing has far outstripped owner-occupied properties since the crisis. U.S. households by property type, change since fourth quarter of 2007. On Friday, the National Association of Realtors said sales of existing homes in September fell 3.4% from the previous month and 4.1% from a year earlier. The seventh-consecutive monthly decline was steeper than economists had expected and marks the latest in a string of data points that call into question t

Multifamily Sales Volume Reaches Record Quarterly High in Southern California's Inland Empire

Jason Tuvia

Dec 28, 2018
2 min

Multifamily Sales Volume Reaches Record Quarterly High in Southern California's Inland Empire

What a difference a quarter makes. Sales of apartments in Southern California's Inland Empire area had slowed considerably heading into the fourth quarter of 2018 after seeing heightened multifamily investment activity from 2015 to 2017. Just as it appeared it could be a down year for apartment sales in the market, investors returned in a strong way in the fourth quarter with projected sales volume of around $871 million, surpassing the market’s previous quarterly peak of $83

Value-Add Multifamily Properties Outside Los Angeles Downtown Attract Investors

Jason Tuvia

Dec 21, 2018
3 min

Value-Add Multifamily Properties Outside Los Angeles Downtown Attract Investors

Investors are expected to buy more than $10 billion in multifamily properties in Los Angeles in 2019. In Downtown Los Angeles, apartment developers are opening thousands of new luxury units in high-rise towers. Property managers now have to offer steep concessions to attract potential renters. “It seems like there is a new tower opening every month,” says Basham. Outside of Downtown, very few vacant apartments are available and rents are still rising quickly at the nicer clas

Hollywood Development Plan Focuses on Subways to Cut Traffic

Jason Tuvia

Dec 14, 2018
4 min

Hollywood Development Plan Focuses on Subways to Cut Traffic

The iconic Hollywood Hills, made famous for their open spaces surrounding the well-known Hollywood sign, would be preserved through the year 2040 while streets below become more heavily developed under a new plan for the Los Angeles neighborhood known for its movie studios. Los Angeles officials are drafting a development strategy for Hollywood that would preserve quiet neighborhoods with multi-million-dollar homes in the sprawling hills while trying to make better use of sub

California Lawmaker Resumes Push for Housing Near Transit Stations

Jason Tuvia

Dec 5, 2018
4 min

California Lawmaker Resumes Push for Housing Near Transit Stations

California State Sen. Scott Wiener is reviving legislation aimed at easing a deepening housing crisis by overriding local laws to allow the development of apartments and other high-density housing near transit routes across the most-populous U.S. state. Senate Bill 50 is a bet that the shortage of affordable housing and the recent defeat of a measure that would have reinstated rent control statewide has increased the chance that Wiener's new proposal will succeed in the Calif

Rent Control Advocates Continue Battle, Despite Defeat of Proposition 10

Jason Tuvia

Nov 21, 2018
3 min

Rent Control Advocates Continue Battle, Despite Defeat of Proposition 10

Failure of California’s proposition to strengthen rent control measures hasn’t discouraged rent control activists in other states. Advocates for new rent control laws are still fighting—even after voters rejected California’s “Prop 10” ballot initiative that would have allowed tough new rent laws. “If you are an owner of apartments, rent control laws are a very, very scary thing,” says John Sebree, First Vice president and director of Marcus & Millichap's national multi housi

Jason Tuvia

Nov 14, 2018
3 min

Wildfires’ Impact on California Housing

With two destructive and deadly fires still burning in the state, the local real estate industry faces major changes. California is in the midst of two tragic wildfires, with the destructive Camp and Woolsey fires causing devastating damage in the northern and southern parts of the state, including the loss of more than 40 lives. The Camp Fire has destroyed more than 125,000 acres of Northern California and was less than 50 percent contained as of Wednesday morning. Meanwhile

The Tuvia Group

The Tuvia Group