16 Dec Yardi Matrix Confirms Los Angeles Is Top SoCal City For Multifamily Investment.
Thanks to recent data from Yardi Matrix, we know that Los Angeles is the top city in Southern California for multifamily investment.
This is encouraging news, considering that during the early days of the pandemic most investors weren’t sure what the future held for Los Angeles, as many people were moving away from the city for the Inland Empire, Phoenix, and other cities nationwide.
Why Los Angeles Is The Leader For SoCal Multifamily Investment
Between August 2020 and 2021, $2.55 billion in multifamily deals closed in the Los Angeles area. This was a 144 percent increase compared to just $1 billion in closed sales during the same period in the previous year.
Although transaction volume fell slightly during the eight months of this year (compared to the first 8 months of 2019) the average price per multifamily unit in Los Angeles this year was $370,834, up close to 20 percent compared to the same timeframe in 2020.
Waterford Property C0 and California Statewide Communities Development holds the distinction of LA’s largest multifamily deal this year as they acquired a 507-unit apartment community in Glendale CA for $300 million.
They plan to convert their property into workforce housing, that will be add more affordable housing to the Los Angeles area, since the deal is also part of the CSCDA middle-income housing program.
Besides being a great year for transactions in Los Angeles, multifamily starts are up and most economists predict that the LA multifamily market will be back to pre-pandemic levels by the end of 2022 or sooner.
Contact MW Real Estate Group
At MW Real Estate Group, we specialize in multifamily property management for the Los Angeles area.
Our team will save you the hassle of managing your multifamily properties yourself while ensuring that your properties are earning the highest ROI possible.
To learn more about the multifamily property management services that we can offer you, contact us today by calling (213) 927-2117 or click here to connect with us online.