• Jason Tuvia

West Hollywood: The Unique Sub-Market of L.A.


There is a shortage of decent, safe and sanitary housing in the City of Los Angeles resulting in a critically low vacancy factor," begins Los Angeles' Rent Stabilization Ordinance, which was enacted in 1978. "This situation has had a detrimental effect on substantial numbers of renters in the City, especially creating hardships on senior citizens, persons on fixed incomes and low and moderate income households."Back then the city's vacancy rate was 3.8 percent, according to a RAND Corporation study.

In 2012, it was 3.9 percent, and it's expected to be lower when the numbers are released for this year. At the same time, rents are at all-time highs, having risen 25 percent between 2000 and 2012 alone in L.A. County.The Rent Stabilization Ordinance, or "rent control" as it is usually known, limits how much landlords can raise rent to 3 percent this year in L.A. But generally it only applies to apartments built before October 1, 1978.Eighty percent of the 880,581 multifamily units in the city of Los Angeles are covered by rent control, according to the Los Angeles Housing and Community Investment Department. Those living in rent controlled units pay an average of $1,612 a month, $602 less than the average market rate unit. L.A. now has the dubious distinction of being ranked the most unaffordable city in America by both Harvard and UCLA, though much of that is because the city's median income is lower than other big cities like San Francisco and New York.
In the area, West Hollywood (colloquially referred to as WeHo) which famous for its vibrant commercial corridors, dining establishments and eccentric nightlife focused on Santa Monica Blvd and the Sunset Strip.
West Hollywood is a unique submarket in Los Angeles – known worldwide for its famous restaurants, luxury hotels offering world-class accommodations, art galleries and specialty shops featuring the hottest in designer trends. West Hollywood has adopted one of the strongest rent control laws in the nation.
In 1984, residents in West Hollywood organized to maintain rent control. When Los Angeles County began planning to discontinue rent controls, West Hollywood was a densely populated area of renters, many of whom would not be able to afford to keep up with the generally rapid raises in rent in the Los Angeles area.

Eighty percent of the 880,581 multifamily units in the city of Los Angeles are covered by rent control, according to the Los Angeles Housing and Community Investment Department. Those living in rent controlled units pay an average of $1,612 a month, $602 less than the average market rate unit.L.A. now has the dubious distinction of being ranked the most unaffordable city in America by both Harvard and UCLA, though much of that is because the city's median income is lower than other big cities like San Francisco and New York.

#MarcusMillichap #Encino #1031Exchange #MultifamilyHousing #Multifamily #CommercialRealEstate #LABrokerage #Tuvia #JasonTuviaMultifamily #AffordablehousingLosAngeles #AssetManagement #Assets #NorthHollywoodCostaHawkins #LACommercialSpecialist #Affordablehousing #RentControl #LAMultifamilySpecialist #LosAngelesCostaHawkins #LASpecialist #Disposition #Acquisition #RealEstateInvestor #InvestmentPortfolio #InvestmentHoldings #Investing #LABrokerage #ApartmentBrokerage #LAApartments #PropertyInvestment #SanFernandoValleyCostaHawkins #LAMultifamily #LosAngelesRealEstate #Investment #GRM #InterestRate #MultifamilyRealEstate #CommercialRealEstate #NetIncome #LosAngelesMultifamily #CostaHawkins #InvestmentPortfolio #RealEstate #JasonTuviaMultifamily #InvestmentBrokerage #LosAngelesCommercial #JasonTuviaCommercial #Investor #TuviaGroup #CapRate #MultifamilySpecialist #JasonTuviaCommercial #JasonTuvia