Aon Center, the third-tallest tower in Los Angeles, has sold for $147.8 million — about 45% less than its last purchase price in 2014 — as office values continue to suffer from high vacancies and financing costs. The sale is the largest office deal this year in downtown Los Angeles, which has been among the hardest-hit US office markets since the pandemic as remote work becomes more popular and escalating interest rates drive down values, wiping out owners’ equity. https://www.bloomberg.com/news/arti...d-tallest-tower-sells-for-45-below-2014-price Now, that price is TRULY DEFLATIONARY!
Please copy and paste article. Winning deflation number(67%) is my local gypsy card reader. Price went from $25 to $10.
The 40-story, 701,888-square-foot office building sold for between $105 million and $110 million, according to sources familiar with the deal. KBS REIT acquired the same building from Hines for $208 million in 2010, records show, and also completed a $20 million renovation. Union Bank Plaza sale... incredible. 50% vacancy.
%% GOOD news for the buyer, maybe. WONDER how much the location ,location, location had to do with it?? DONt know LA, or earthquake insure premiums myself.
We had a 120 ft~ apartment, selling for $230 000 next to me. Might sound low for some, but it's eatern europe here, hour away from Russian borders. Saw old Sillent Hill type of houses being sold for $1Mil + in NYC's outskirts. Rats as big as cats runnin around. (Laughs) Heard that Australia is doing, just fine, as well. Gonna be interesting.
Location, Location, Location. The same house that's 5MM in a suburb of NYC (1 hour commute) is 1MM where i live (3 hours outside the city).
That better come with a bomb shelter in the basement. I would not call it “cheap” by any means. NYC real estate is a unique beast. One of these houses, after some basic work can bring in a nice rental income (assuming the subway is close enough). FWIW, even in the worst of time, NYC prices declined relatively little (IIRC Manhattan prices dipped like 12% in 2008, though it was very uneven and there were deals to be had)