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Thank goodness for old friends. An old schoolmate, AL, who sees my posts on Facebook, pointed out a key potential implication of Trump’s election that I missed in yesterday’s post: the effect on construction pricing. I expect that Trump’s election will have the effect of materially increasing construction pricing over the next few years, for … Continue reading “One further prediction re the Trump economy”

Posted this on Facebook this morning, but thought some of you might be interested as well: Predictions re the economy: 1. Trump trades very large tax cuts for large infrastructure and defense spending. Sub-prediction: The infrastructure spending goes to private contractors, not state / local governments, to avoid empowering public employee unions 2. Deficit and … Continue reading “Predictions for the Trump economy”

For most businesses, the problem is demand. In other words, they can make an infinite amount of product; the issue is how much they can sell. In our business, interestingly, it’s the total opposite. There is a structural imbalance in LA between the number of apartments (growing slowly) and the number of people who want … Continue reading “Why things are slow right now”

Thought you would appreciate seeing some “after” pics on a 16 unit apartment complex we’re just finishing up in Echo Park. Absolutely love the way this one turned out. And will always remember hiring armed guards to accompany me when I went to make a deal with an ax-wielding psycho who lived there when we bought … Continue reading “”

In light of all the doom and gloom about our country bouncing around during this election season, thought I’d share a story that inspires me every time I think about it. Our gardener in in his 70s. He came here from Mexico a million years ago. He and his company care for the landscaping at … Continue reading “A bit of inspiration”

  Late last week, one day before the deadline, I submitted my personal return for 2015. Now, in light of what’s gone on with Trump’s return, I think I should begin by noting that, as an “active real estate investor”, I probably get more tax breaks than anyone. So I’m not in any position to … Continue reading “Tax return absurdity”

Thought you all might appreciate some pics of the beginning of our latest ground-up development project. It took forever to get the permits on this, despite the project being totally by-right. But it’s going to be worth it, because the neighborhood in question is on a tear and it’s impossible to buy anything to rehab … Continue reading “Finally, we’re in the ground”

Many of you know that I have a pair of young sons. Have been doing a lot of thinking about what, exactly, holds a family together through generations and gives people purpose and a sense of connection. Obviously, there are a whole range of ideas, stories, personal relationships, customs, memories, etc. But there’s one other … Continue reading “Capital, family and meaning”

Had an interesting conversation with a good friend re the impact of zoning on the economy. In the midst of discussing the growth of Silicon Beach, I had kind of an epiphany. Because of how we control land use around the beach (including the Coastal Commission, the Mello Act, specific plans, etc.), we are dramatically … Continue reading “How restrictive zoning slows economic growth”

Want to remind everyone that the vile Neighborhood Integrity Initiative remains a threat to our city. Here’s an update from Curbed on its progress… it’s getting onto the ballot in a March election where turnout out to be like 0.0005% of the population. In case you haven’t heard, the initiative basically creates a moratorium on … Continue reading “Update on the loathsome Neighborhood Integrity Initiative”