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

New Initiative Aims to Help Small Businesses with L.A. Permitting Burdens

A conditional use permit, which businesses need to obtain a liquor license, can take a year to obtain or renew. One big complaint: Business owners have to go through several departments that don’t work seamlessly with one another.  Full story

Los Angeles Rent Stabilization Ordinance (RSO) & Seismic Retrofit Program

Basics & What’s New for 2016: http://tinyurl.com/zgqrh7k
Read about RSO exemptions, registration fees and how to pass them through to tenants, allowable rent increases, the impact of capital improvements and seismic retrofitting, eviction laws, relocation assistance amounts, free workshops and more.  Los Angeles Seismic Retrofit Program Tenant Habitability Plan & Cost Recovery Guide for Property Owners: http://tinyurl.com/hhw4mrc

 

Southern California Apartment Rents are Expected to Continue Rising Through 2018

 

The average rent in Los Angeles County is expected to hit $1,416 a month in 2018, an 8.3% jump from last year, while in Orange County, average rents are likely to rise 9.4% to an average of $1,736, the USC Casden Multifamily Forecast said.

I-5 Corridor Improvements

There are two major improvement areas:
1. Empire Project: Magnolia Boulevard to Buena Vista Street in Burbank, and
2. Ventura Freeway (SR-134) to Magnolia Boulevard in Burbank and Glendale.  Improvements include adding carpool lanes, widening bridges, constructing new on- and off-ramps, enhancing sound walls, upgrading the storm water drainage system, a pedestrian walkway, a reconstructed overcrossing, a realignment of ramps, a new interchange and undercrossing, the elevation of railroad tracks and an improved intersection.    Summary of Improvements.

Glendale City Planner Grants Proposed Hotel an Exception to Zoning Rules

Zoning rules state that nothing in the area can be taller than three stories.  A Hampton Inn & Suites is currently under construction down the street on Colorado near Central Avenue.  The City Council has directed plans be drawn up for two boutique hotels in downtown Glendale — a 130-room Hotel Indigo and a 117-room AC Hotel.  Full Story