Real estate bulletin: house prices hit a record high
Welcome back to the real estate newsletter, where, at the risk of sounding like a broken record, I once again have to inform you that the market is hot – really hot.
In fact, it’s extremely hot, according to April housing data. Last month, southern California home prices hit an all-time high, with the median reaching $ 655,000. That’s a 20.2% increase year over year; we would have to go back to Obama’s presidency to find the latest increase of over 20%.
Fear not: Los Angeles still has (relatively) affordable housing. You just have to know where to look. The median price of homes in LA County was $ 750,000 in April, so the Times looked at seven homes in seven Los Angeles communities on the market for just under $ 700,000.
Some celebrity news in the San Fernando Valley: Dwyane Wade and Gabrielle Union have sold their romantic hillside villa for $ 5.5 million. It’s half a million less than what they paid, but something tells me they can afford the loss.
Good and bad news in the commercial real estate industry (depending on how you see it). The good news: The Lakers are staying put. Instead of potentially following the Clippers’ lead and moving to another part of town, they renewed their lease at Staples Center for two more decades.
The bad news: Skyslide has been marked for death. The glass attraction atop the US Bank Tower will close as part of a $ 60 million upgrade that hopes to attract businesses rather than tourists. You will need to find another place to spend your money for a four second commute.
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Southern California home prices hit an all-time high in April as the real estate market was even warmer.
The median price of homes in the six-county area rose 20.2% year-over-year to a record high of $ 655,000, according to data from real estate firm DQNews. That’s $ 25,000 more than the previous median price record set in March. The 20.2% jump is the first year-over-year increase of more than 20% since December 2013.
Home sales in April jumped 86.2% year-over-year to a total of 25,857 transactions, compared to 13,889 in April 2020. This is both a reflection of the real estate boom fueled by the pandemic and a market that was cooled by the coronavirus last spring as sales faded escrow and potential sellers decided not to move.
This is the ninth consecutive month of double-digit price increases, and experts attribute a combination of factors including extremely low mortgage rates, growing demand for space and an emerging home-buying population. : Generation Y.
Seven neighborhoods, seven houses
It’s no secret that LA’s historically hot real estate market is brutal for buyers. The pandemic-fueled real estate boom saw the median price of LA County homes jump to $ 750,000 in April, a 19% year-over-year increase.
Bidding wars and a shortage of sellers make great deals hard to find, but there are still plenty of great options if you look in the right neighborhoods. The Times took a look at what roughly $ 700,000 is currently buying in seven Los Angeles communities.
Couple being able to close a sale
Dwyane Wade and Gabrielle Union made a sale, but no profit, to Sherman Oaks. They just unloaded their Mediterranean-style villa for $ 5.5 million, half a million less than what they paid in 2018.
They probably don’t lack too much money. The power couple lost $ 17.9 million on a 17,000 square foot storefront in Hidden Hills last year, and three-time NBA champion Wade bought a stake in Utah Jazz last month.
The Sherman Oaks home covers 8,650 square feet on a private headland, offering breathtaking views of the San Fernando Valley. A private path approaches the house, which is traversed by an architectural spiral staircase to the heart of the three-story floor plan.
The Lakers stay put
With their Staples Center lease expiring in a few years, the Lakers could have followed the Clippers’ plan, moved to another part of town, built their own arena and kept all the income, writes sports editor David Wharton.
Instead, the reigning NBA champions chose to stay put.
The franchise will extend its lease with owner AEG for another two decades until 2041. The deal includes a commitment to spend “nine figures” on improvements and asset upgrades throughout the 22-year arena.
A team official said the renovations were critical to the extension, as was the desire to stay downtown.
The owner of the US Bank Tower in downtown Los Angeles will spend $ 60 million to upgrade and reposition the 73-story skyscraper that has been a prominent feature of the city’s skyline since its completion in 1989, but has worked to attract tenants in recent years, commercial writes real estate journalist Roger Vincent.
Part of the makeover calls for ending aspirations to become a tourist spot by removing its long-closed public observation deck and an open-air slide, dubbed Skyslide, between two of the upper floors that was launched with fanfare in 2016 by the previous owner.
Four spooky seconds of gliding through a glass-enclosed attraction high above the city was apparently not popular with visitors or tenants to the building.
New York developer Silverstein Properties, which bought the building last year for $ 430 million, hopes to make the towering tower more appealing to companies in the creative fields that have often turned their backs on skyscrapers in favor of new campus-style properties with outdoor space. and leisure-oriented equipment.
What we read
In the last dive to the intersection of real estate and NFTs, the New York Times spoke with the co-founder of SuperWorld, a virtual reality space with 64 billion equal-sized plots covering the Earth. Users can hypothetically buy virtual land that houses the Eiffel Tower or Colosseum, and the company has already sold thousands of plots, with the average person spending $ 2,000.
The “Clever” section of Architectural Digest has sold out his AirBnbs dream list, and the striking cluster of property for rent includes a glamping dome in North Carolina, a UFO-inspired structure at Joshua Tree and the Bloomhouse: a curvy, whimsical space described as “part of Willy Wonka, part of ‘Big Lebowski ”.”