If you’re interested in city land use politics, you’re probably aware of the huge fight over the re-zoning of Hollywood that’s been going on since the new Hollywood Community Plan was enacted in 2012. (If this is the first you’re hearing of it, check this out.) In a nutshell, the Hollywood Community Plan is intended … Continue reading “How NIMBYism is killing Hollywood”
Category: Development
Parking parking parking
Anyone who spends any time looking at development projects in LA knows that parking is the key to everything. Because of LA’s roots/identity as a series of connected suburbs, we have a zoning code which requires a ton of parking for all uses. For example, if you build a two bedroom apartment, you need to … Continue reading “Parking parking parking”
How to misallocate societal resources
1. Perpetuate outdated notions about the desirability of single family homes; 2. Impose incredibly restrictive zoning in areas close to jobs, ensuring that homes there will remain very expensive; 3. Provide large, implicit subsidies to drivers, specifically by failing to price-in the societal cost of greenhouse gas emissions; 4. Under-invest in mass transit; 5. Allow exurban … Continue reading “How to misallocate societal resources”
Some thoughts on the mass ownership of homes by investment funds
Yahoo Finance had a somewhat interesting article yesterday regarding the mass ownership of homes as rentals by big investment funds. In case you haven’t been following this issue: Tons of homeowners lost their homes during the Great Recession. Because there were so many vacant homes, prices dropped really far, particularly in certain western and southern … Continue reading “Some thoughts on the mass ownership of homes by investment funds”
How to permit a non-conforming unit
Agent: “I want to pitch this property to the Mid-City clients. 2 out of the 3 units will be delivered vacant at COE and there is some upside in the rents. The only problem is that the 3rd unit is unpermitted. How hard is it to legalize a rental unit retroactively?” Moses: “Depends on three factors: … Continue reading “How to permit a non-conforming unit”
Why most Angelenos waste water
Our on-going drought was a big part of Gov. Brown’s State of the State speech today. One of the iron-clad rules of conservation is that people only conserve when they directly feel the cost of not doing so. And yet, in LA, the majority of households do not pay their own water bills, and therefore … Continue reading “Why most Angelenos waste water”
Is the coming apartment glut going to hurt NE LA rents?
A lot of savvy investors are aware that there is a tidal wave of apartment construction coming towards us. In Hollywood, Glendale and Downtown, there are literally thousands of apartments in various stages of permitting, construction and lease-up. As an investor buying up buildings in gentrifying parts of LA, all of which are near the … Continue reading “Is the coming apartment glut going to hurt NE LA rents?”
Surprise: An implicit development tax!
Recently, the plan checkers at Department of Building and Safety were issued the following edict: The only plans that can be approved over the counter are for additions of less than 500 sq ft and renovation / remodeling of single story buildings. Anything else goes behind the counter. What does “going behind the counter” mean? … Continue reading “Surprise: An implicit development tax!”
Why I love rehabbing
Long term, I believe that more and more affluent people are going to choose to live in cities rather than in suburbs because of the greater economic and cultural opportunities available in cities. As a business person seeking to service this continued demand, there are basically two options: 1. Build ground up. This means finding … Continue reading “Why I love rehabbing”
Solving the rehabber’s dilemma
The problem: In poorer areas, very few owners use permits when they fix / upgrade their apartment buildings, so most of the work done isn’t to code. If you buy one of these buildings with the intention of upgrading it, you’re faced with two choices, both of them bad: 1. Pull permits for your work, in which … Continue reading “Solving the rehabber’s dilemma”