Playa Vista Scores Again – Facebook Leases 35,000sq. ft. of Creative Space
Follows recent moves by Google and Yahoo into Silicone Beach Hub
If anyone was still wondering about Playa Vista’s role in the burgeoning Silicone Beach area, the jury is no longer out. Playa Vista is THE HUB of Silicone Beach.
Check out the list of high tech companies that have or will have a substantial presence in this 1.5 mile strip along Jefferson.
- Belkin International (headquarters)
- Warner Bros
- Sony PlayStation
- Imax Corp (West Coast headquarters)
- USC’s Institute for Creative Technologies
Santa Monica, Downtown, and West LA would all like to be the hub, but the reality is that none of them have the kind of space to handle all those workers. The old Hugh’s Helicopter property was the only open land area with the room for the industrial, office, retail, service, and residential space needed to serve this industry. Moreover, the neighboring communities of Culver City, Westchester, and Ladera offer relatively inexpensive housing and other parcels large enough for industrial and office space expansion.
Facilities already built and planned can house tens of thousands of additional employees, most of whom will be highly paid. The NIMBY folks are wondering about the effect on freeways, culture, and affordable housing. The biggest Real Estate issue is going to be where to house the tech workers who can afford upscale housing.
While some will find housing in Playa Vista, available units for sale or lease are snapped up as quickly as they are offered on the market. The primary impact will be felt in the adjoining neighborhoods where inventory is also almost non-existent. The following are listings of homes and condos for sale in these neighborhoods.
Culver City 64
Ladera Heights 39
West Inglewood 9
Marina Del Rey 11
Mar Vista 56
El Segundo 38
Playa Vista 37
Playa Del Mar 36
That is a total of under 500 homes and condos available in the neighborhoods most likely to be attractive to the arriving tech crowd. Those 500 available places are already under heavy demand from Westside high earners who have nothing to do with tech or entertainment.
Some may go further south to Hawthorne, Manhattan Beach, or even Torrance. Others could go to the south side of Santa Monica, West LA and Palms. Still others may go inland up the 10 Fwy to the Pico/Robertson neighborhoods. All of these areas may still allow for a 45 minute or less commute during rush hour. Or not.
An argument can be made that even adding those nine neighborhoods can’t absorb another 20,000 tech families. Keep in mind that while Playa Vista will clearly get at least 20,000 new tech employees, all of the 18 listed neighborhoods have their own available space for additional tech and entertainment businesses.
What does that mean for you? If you are inclined to buy a home in one of these 18 cities and neighborhoods, you need to start now. If the US is headed for a recession, prices might flatten in this area, but they are not likely to decline. If the recession doesn’t happen or it is shallow and short, prices have nowhere to go but up.
If you are in the market for a mortgage for a new home or investment property in the Los Angeles area, call Bill Rayman. There are no fees or obligations when you call a mortgage broker. Bill will help you through every step of the way, and can find you the very best loan on the market based on your specific needs and circumstances.
Call Bill Rayman today – (424) 354-5325