Commercial Real Estate Opportunities in Studio City and Tarzana
October 30th, 2013 by Diane Moore
In this article we have decided to gather up tow main cities, located within the borders of Los Angeles County and describe more precisely the peculiarities of their commercial real estate projects and the reasons of their profitability for the investors.
Studio City is a remarkable neighborhood located in the San Fernando Valley, within the city of Los Angeles, California, known for the number of celebrities who reside there or who have been seen there. Studio city low residential districts include an older aged, 78 percent white well educated, high income population with a relatively high percentage of military veterans. Within its borders are five public schools and six private schools.
According to the 2000 United States Census, there were 34,034 people living in Studio City’s 6.31 square mile land, or about 5, 395 residents per square mile. In the same year (2000), the median age of studio City residents was 38 years. The median household income in 2008 per annum was 75,657 dollars.
Studio city homes are well known for their perfect location in sunny Southern California. Just over the hill from Beverly Hills, Hollywood, and Downtown LA, lays Studio City, perfect for working, relaxing or living. With a wide variety of homes, from Modern Architecture to old Spanish style homes, 70.6 percent of people who live in Studio City reside in single family homes.
Property prices went from a high of 848,500 dollars between 2009 and 2010, to a decline of around 637,100 dollars in 2012. Homeowners are eagerly waiting for the housing market to go back to its usual position.
There are many reasons why investors prefer to invest in Studio City’s commercial real estate. The neighborhood has a beautiful landscape, a cool climate and is extremely clean. The town is well maintained, garbage free and houses are at all times in good condition. On the southern part of the city lays Coldwater Canyon and Laurel parks which provide a great environment to relax.
The residents of this city are very friendly and well educated since most of them have a four year degree. The openness and hospitable nature of the residents has played a big role in promoting commercial real estate projects. Residents and property owners are hardly ever worried about their properties since this neighborhood has below average crime rate as compared to other areas of Los Angeles. Investors are assured of security and peace since crime has been on a decline.
Despite the neighborhood’s proximity to Hollywood, Ventura Boulevard, and Sherman Oaks, it has a calm environment due to its countryside setting. Commercial real estate in Studio City is booming and the following reasons explain the development.
Location is very important; in fact it’s one of the main factors that many investors consider before locking their money in any commercial real estate property. Studio City is one of the best neighborhoods to live and invest in LA. Properties appreciate faster in Studio City than properties situated in other distant Los Angeles’s suburbs. In addition, tenants also have a preference for areas that are perfectly located. It’s also important to note that current commercial real estates in Studio City are located in wider, welcoming and inspiring communities of calm suburbs as opposed to packed neighborhoods.
Closeness to basic facilities
Most people who rent or buy residential properties have a preference for places that have amenities nearby. Studio City is very close to some of the best private and public schools in LA. They include Reed Middle School, Rio Vista Elementary and Carpenter Avenue Elementary. Private schools include First Christians Church Nursery School, Osaka Sangyo University, Oakwood Elementary, and Campbell Hall. Because of these amenities, many people prefer to live in Studio City. The need to live in a neighborhood with plenty amenities has played a very big role in the growth of commercial real estate since the net worth of properties has increased tremendously.
Studio City has coffee shops, groovy restaurants and stores, and music and art centers. In general, Studio City is a home for everyone. The city has a perfect transport system which is connected to LA’’s underground subways system. Visitors and residents can the metro rail stations or their vehicles to move around. Commuters can use the station at Universal City on Cahuenga or the North Hollywood station, situated close to the Academy of TV Arts and Science. It’s very easy to access many parts of southern California from this neighborhood through the Ventura Freeway and the San Diego Freeway from Los Angeles.
There is a high possibility that commercial real estate rates in Studio city will increase because of the predicted increase in inflation. The increase in commercial property rates may not be directly linked to the appreciation or the increase in the value of commercial real estate properties. But, in the end, the price of commercial properties will increase as has been the trend over the previous years. Residential homeowners and investors should utilize this appropriate time to reap benefits and large profits in the future.
Other than good transport system and good schools, Studio City has many art and attractions centers that are perfect for relaxing. There is the 44 acre Coldwater Canyon Park that provides miles of hiking trails, educational displays, a fruit orchard and organic gardens. In addition, Coldwater Canyon Park hosts the Tree People and the Mark Taper Foundation Amphitheatre. People can also enjoy great shows and movies at the local studios and theaters. Universal Studio Tours, Universal City Walk Theater and CBS Studio Centre provide entertainment to both visitors and residents. These recreational and entertainment services favor the growth of commercial real estate in Studio City since a lot of people love to rent properties or settle in areas with such services.
The local Residents Association and the Chamber of Commerce developed the Studio City Farmers’ Market situated on Ventura Area. The market doesn’t only provide people with fresh food products but also serves as a global tourist attraction as it’s among the most booming markets in the Southern land. The market works every Sunday. Vendors sell a wide variety of things such as artisan bread, organically raised chicken, knife sharpening, handmade aprons, and pastries among other things. In generally, this market offers everything for everyone. The market has pony rides, train rides and bouncy slides for young children.
Tarzana is an affluent region located in the southern region of the San Fernando Valley, of Los Angeles City, California. Tarzana is surrounded by Encino to the east, Woodland to the west, Reseda to the north and Monica Mountains to the south. Tarzana is named after the unforgettable story-book jungle hero Tarzan. Tarzana has approximately 36,000 inhabitants. Tarzana is highly recommended because it offers a lot of privacy and it’s also quiet unlike other valley neighborhoods.
Economically prosperous and culturally promising, most of the inhabitants of this beautiful town reside in the foot-hills of the Santa Monica Mountains south of Ventura-Boulevard. In this light, there are 2 golf courses, Braemar County and El Caballero Club. Tarzana town is popular for its language training organizations, independent booksellers, and unusual dishes. Tarzana has a booming economy, a rich culture and every amenity envisaged for a progressive city. In general, Tarzana is a lively and attractive place to live in, with every resource and amenities envisioned for a prosperous city.
Commercial Real Estate in Tarzana
Commercial properties for sale in Tarzana consist of various styles such as:
- Spanish revival architecture
- Deco styles
- Backyards perfect for entertaining
- Swimming pools
- Attached garages
In Tarzana, homes bought as foreclosures might not be so quickly liquefiable, even with reduced prices. This is because during this time, customers are not so quick to spend money or buy anything. Therefore, anyone looking to invest in commercial property in Tarzana will have to think deeply about holding on to those properties for some time. Because of the recession, the lower prices are appealing, and the attractiveness of buying properties at such reduced prices will create positive results in the future.
Real estate investment is one of the steadiest investments in existence in Tarzana. There will at all times be someone willing to buy a beautiful home at a cut-rate price. Regardless of this, in the present economy, finding an ideal buyer might take some time and sellers might not be given the amount of money that they are asking for, especially as prices keep on falling.
Tarzana is one of LA’s most desired and stylish areas. As far as commercial real estate goes, the only means to get into Tarzan is to purchase property. Commercial real estate is booming in Tarzana because of several reasons. Investors are flocking to Tarzana to grab the great opportunities because:
Tarzana has several liquid properties for both sellers and buyers. But, the most liquid properties in Tarzana are foreclosures. The average price for commercial property has reduced over the past years to around 315,000 dollars because of the high number of foreclosures. This offers an incredible discount for commercial real estate investors since the median price for properties in Tarzana is around 1.5 million dollars. For investors in real estate, this is a great opportunity. Commercial real estate in Tarzana is steady and extremely liquid thus the town will at all times be home to solid investments and priceless properties. Despite the high rate of foreclosures, commercial real estate properties in Tarzana continue to appreciate.
Tarzana is centrally situated. Los Angeles is home to countless multi-ethnics neighborhoods. However, none of these neighborhoods matches the centrality of Tarzana city. Due to its centrality, it only takes an average of 30 minutes to drive to the beaches at Malibu to Hollywood, to the shopping centre in downtown Los Angeles or to the Northern California coast. In addition, San Francisco and Las Vegas are just within a driving perimeter. Tarzana’ centrality makes it perfect for commercial real estate development.
Tarzana has an ideal transport system. There’s a Metro Station in Van Nuys that links commuters to Simi Valley as well as the Western region of San Fernando Valley. The station also connects commuters to a subway train to Hollywood. Despite being cheaper, the Metro station is also time consuming and saves commuters the cost of repairs on cars and insurance. Commuters can also choose carpooling which is also eco friendly and cheaper. There are countless buses that work 24/7. They connect commuters to Westwood, Ventura Boulevard, Sepulveda Overpass and Westside. Due to the fact that Tarzana town is a driving town, a car is vital and convenient means of transport.
Tarzana town is very small and set up in a rural setting despite its closeness to the business center at Ventura Boulevard. On the other hand, the spacious ranches provide many prospects for sub division. In Ventura Boulevard, there are many opportunities for developing commercial real estate mainly because the area is flat, lowly populated and very spacious.
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