US Commercial Office & Hotel Sales

Los Angeles Commercial Real Estate
Know the Laws
There are a number of federal and state laws that investors must abide by when selling or buying commercial properties, therefore it is important to seek the guidance of a professional real estate broker before engaging in these transactions.
Do Your Homework
Assess Your Needs
Carefully Weigh the Advantages and the Risks
Other Considerations
The Benefits of Buying Commercial Real Estate in the Los Angeles Area
Commercial real estate is a secure investment, especially in Los Angeles and surrounding areas. If you plan to rent the building out, most likely the tenant’s rent payment will cover most of the large expenses of the building, such as the mortgage. Most commercial rents increase with increases in the Consumer Price Index. Any increase you have in your expenses will often be covered by a corresponding increase in rent to the tenants. In addition, tenant improvements are typically paid by the tenant.
AppreciationThe commercial real estate market is very strong in most areas in Los Angeles. As a result, most of the time, commercial properties increase in value over time. Additionally, there are several things that an owner can do to add value to their commercial property, such as reducing operating expenses or increasing rents.
Tax ShelterAs the appreciation on commercial real estate is only taxed when it’s sold, equity can be created tax-free. Many commercial owners can avoid paying tax when they sell by doing a 1031 exchange. If additional investment property is purchased, taxes are not levied.
Additional SpaceBuying a larger commercial property can really help daily business operations by providing more space in which to operate. In addition, if there is additional office space that is not being used, it can be leased out for additional income.
There are many opportunities in Los Angeles for investors and businesses looking to purchase commercial real estate. It is important to consult a real estate professional to help you ensure that your purchase becomes a worthwhile investment. If you are in the market for investment or commercial real estate in the Los Angeles area, call Kent Tarman with the J.H. Tarman Company. The J.H. Tarman Company is committed to providing clients with the industry’s best advice and guidance on the purchase and sale of commercial real estate including office, multi-family, hotels and investment properties. Call Kent Tarman today to help you with all of your commercial real estate needs.