San Diego considering more apartment rental regulations to limit fees.

 

San Diego is considering new apartment regulations regarding rental fees.

Walgreens to Vacate Some Primary Retail Locations

 

More retail real estate repositioning is on the horizon. Walgreens will vacate some primary retail spaces.

Blackstone Apartments in San Diego

 

CBS News reports on Blackstone apartment rents in San Diego.   

San Diego's Multi-Family Ranking

Rent Cafe has reported the new Multi-Family market rankings based on the most recent Yardi Matrix data from July 2024.  According to the report, which tracks Apartment properties with 50 units or more, the units had an average lease renewal rate of 53.10% and an overall occupancy rate of 94.8%. The apartment units turned over were vacant for an average of 43 days and had an average of 10 applicants. You can see the full report here: San Diego Apartment Ranking

Apartment Construction in San Diego

 

The Construction Industry Research Board Reports the Final Numbers for Apartment and Housing Construction in San Diego.  According to the report, San Diego County built more housing in 2023 than in the previous 17 years. The 2023 total for multi-family was 9,100 units. The additional inventory has done little to curb apartment rental rates. The San Diego apartment market has very limited vacancy and historically high rental rates.

Real Estate Insurance Costs Are Becoming Primary Drivers In Some Markets

 

Insurance has started driving multiple real estate markets across the U.S.  I see posts about people losing their insurance regularly here in San Diego. The loss of insurance and higher HOA fees in Florida are impacting condominium appraised values.  State governments are concerned and trying to assist. Unfortunately, there is no easy solution to this problem.  

Rent Cafe Ranks San Diego As One of the Most Competitive Apartment Markets In the U.S.

San Diego is listed as one of the top most competitive apartment markets in the United States, according to a report released by Rent Cafe.    The study has San Diego ranked as the 13th most competitive apartment market in the United States, with a 97.1% apartment occupancy rate and a 55.3% apartment lease renewal rate, with most apartments having 22 applicants.  

What Impact Will the Infrastructure Bill Have on the Housing Crisis?

 

Appraisal Buzz reports on the new infrastructure bill that was recently signed into law.

What Impact Will the Infrastructure Bill Have on the Housing Crisis?

New Law Encourages Apartment Developments & Multi-Family Housing

 

California SB 10 took effect on January 1, 2022.  The new state-wide bill impacts vacant land with the potential for apartment and multi-family developments throughout San Diego.  The bill authorizes local governments to zone most parcels (there are a few exclusions) for up to 10 units of residential density when the parcel is located in a transit-rich area, a jobs-rich area, or an urban infill site.  Just as apartment rent control laws took a while to be processed by the market, it is expected that this law and how local regulators implement it will take some time to sort out.  A copy of the bill can be found here. New Law Encourages Apartment Developments & Multi-Family Housing 

Once the local regulators weigh in to which sites qualify, then the brokerage, appraisal, and banking community will then sort out how this impacts highest and best use, property valuations, and underwriting rules for new commercial loans and the commercial appraisals that will back these loans.  

ABA Supports Proposed Residential Real Estate Appraisal Threshold Increase | ABA Banking Journal

https://bankingjournal.aba.com/2019/02/aba-supports-proposed-residential-real-estate-appraisal-threshold-increase/

These have been very difficult and trying days for many California families.

These have been very difficult and trying days for many California families. The news is showing stunning images of destruction and tent cities going up near Paradise, CA and images of families being displaced in Malibu and Northern L.A. Our thoughts are with all of the people who have lost family, friends, homes, and business establishments to the recent fires. At this point, many of you are wondering - What happens when your residential or commercial real estate is completely destroyed by a fire? In the case of mass property loss, the State Insurance Commissioner will typically step up with plans to expedite the normal procedures. Your insurance company will base your insurance estimate on the physical information it has on file for your property and its own internal costing numbers first. Insurance companies typically collect information about your property at the time the insurance policy is put into place. The insurable value of the property will be based on the replacement cost and will exclude the land value and typically often exclude any site improvements that were not destroyed. The partitioning of this value will be based on the appraised value of your overall property prior to the time the property was destroyed. The insurance industry in the State of California is highly regulated. If you have any concerns about how you are being treated during the insurance settlement process you will be able to turn to the State of California Insurance Board. If you plan to rebuild the local municipality will set up expedited construction approval. They are able to do this because the land use and density were previously established. The new construction requirements will typically stipulate modern fire-retardant materials, a buffer zone around the improvements, and in some instances specific landscaping requirements. The municipalities may require roadway expansions and require new evacuation routes be established. I personally know many families that have lost and rebuilt their homes in San Diego. I have been very impressed by how rapid these recoveries were once everyone was mobilized. #Fire #Insurance #RealEstate #Appraisal #CRE
http://www.insurance.ca.gov/0400-news/0100-press-releases/2018/release134-18.cfm