Existing Building Energy and Water Efficiency (EBEWE) Ordinance Deadline is Approaching!

This July 1, the City of Los Angeles will require Energy and Water Efficiency Benchmarking for existing buildings including:
•Commercial
•Industrial
•Multi-family
By 2019, every building needs to be audited and disclosed; building owners must comply every five years.
Additional Information

One-Year Market Outlook Bolstered by Confidence in Employment, Occupancy Rates

Prospects for the CRE market moving ahead at a more robust pace are higher than what was expected six months ago, according to the latest NAIOP Sentiment Index conducted earlier this spring.  Source: Costar.com  Full article

Commercial Real Estate Markets to Stay Strong in 2017

With demand strengthening in commercial real estate markets, the sector should remain on stable ground in 2017 and offer decent returns for investors, according to the latest National Association of Realtors commercial real estate forecast.  Full Article

Measure S Defeated After a Heated, Costly Battle Over Future L.A. Development

Labor and business leaders declared victory Tuesday night over a bitterly contested ballot measure that would have imposed new restrictions on building apartment towers, shops and offices in Los Angeles.  Full story

Bankers Stick to “Bread and Butter” Loans

Bankers Stick to “Bread and Butter” Loans. The Mortgage Bankers Association (MBA) is projecting that originations of commercial and multifamily mortgages will grow by 4.0 percent to $537 billion in 2017. Another 2.0 percent increase is expected in 2018, with originations forecast to reach $546 billion.  Full story

Fed Leaves Interest Rates Unchanged

The Fed’s statement to leave interest rates unchanged reaffirmed that the economy is continuing to grow moderately and that the central bank is maintaining an easy-money policy to further boost the labor market and return inflation to a more favorable level.  Full story

 

2017 NEW LAWS AFFECTING THE REAL ESTATE INDUSTRY

Disclosures Liability Protections of Environmental Hazards Booklet Extended to Landlords.  Employment $15 Minimum Wage.  Employment Mandated State Retirement Savings Program Enrollment.  Housing “Accessory Dwelling Units.”  Landlord/Tenant Unlawful Detainer Reporting.  Parcel Tax Vote Notification.  Water Use Fines may be imposed for “excessive water use.”  *Information gathered from Government websites. For full details, please refer to the entire law/ordinance. The information is provided by Stevenson Real Estate Services as a courtesy and is deemed reliable but not guaranteed.  More Information

L.A. Passes Measure JJJ, The Affordable Housing Mandate

Measure JJJ makes it a requirement that developments that require changes to zoning codes set aside a certain percentage of units available for low-income residents. It also requires these projects to hire workers from the City of Los Angeles, and includes incentives for the developments to be built near public transportation.  Full Story

 

Federal Reserve Raises Interest Rates for Second Time in a Decade

The Federal Reserve increased its key interest rate by 0.25% on Wednesday.  It signified the Fed’s confidence in the improving U.S. economy.  Rising rates will affect millions of Americans, including home buyers, savers and investors.  Fed officials raised its target for short-term interest rates by 0.25 percentage points to a range of 0.50% and 0.75%.  Full Story

Economists, CRE Industry Begin to Assess ‘Trump Effect’ on Property Markets

With the Republican control of Congress and the executive branch, brokers, economists and industry leaders weighed in on the potential effects on U.S. property and capital markets, citing potentially reduced political gridlock, significant tax reform, increased protective measures for U.S. trade policy and rollbacks in the nation’s financial and business regulatory framework. Read the fully story. Source: Costar.com