Top Of the Morning!
Under the category of “no kidding”. Its difficult out there, people have lost jobs..Banks have locked the doors on lending to the Businesses that need it it the most….but we live in an amazing city with great diversity with citizens that we can be proud of. I cannot predict when this recession will end…but read below and refresh your knowledge of our great city and then read the G&E Forecast about how Industrial Real Estate will be ahead of retail and office in the economic recovery….and which city rates #1 in investment opportunity because of a shortage of land available for new development.
Los Angeles is the largest city in the state of California and the second largest in the United States. Los Angeles has an estimated population of 3.8 million and spans over 498.3 square miles . Additionally, the Los Angeles-Long Beach-Santa Ana Metropolitan area is home to nearly 12.9 million residents.Los Angeles County, is one of the most diverse counties in the United States. In 2008, Los Angeles was named the world’s eighth most economically powerful city by Forbes.com.
Recovery in Sight for Industrial Market
Despite increases in vacancy and negative net absorption, economic indicators that generate demand for industrial space saw upticks in late 2009. These include global trade, freight shipments, manufacturing activity and even retail sales. This, along with the weakness of the dollar, hints that a recovery in the industrial market could be on the horizon.
Leading market indicators for the industrial sector turned earlier than those for the retail and office markets. The study also notes that the industrial sector is less dependent on job growth than the office, retail and multi housing sectors, which means it could recover earlier, with vacancy rates beginning a gradual recovery in late 2010 and rental rates following in the second half of 2011.
As the manufacturing sector and global trade bounce back, look for port-related industrial markets to lead the recovery – those anchored by either sea ports or inland ports. Although many companies continue to divert shipments from West Coast ports to East and Gulf Coast ports, Los Angeles still ranks No. 1 on G&E Investment Opportunity Monitor. The Los Angeles market has little land available for new development, limiting supply, while the ports serve a large local population of 21 million in Southern California as well as the fast-growing Southwest. Other West Coast markets offering opportunities for investors are Oakland/East Bay, Calif. (No. 4), Seattle (No. 5), and Portland, Ore. (No. 9). Those markets benefiting from increased traffic to East and Gulf Coast ports include Houston (No. 2), Dallas (No. 6), Miami (No. 8) and Philadelphia (No. 10). Atlanta (No. 3)