The real estate recovery continues to charge ahead nationwide and leading the way is California, which during the second quarter of this year claimed six of the top 10 markets in realtor.com’s Turnaround Towns report.
In a recent South China Morning Post article on the report, titled “‘Golden State’ Bounces Back,” The Agency’s Mauricio Umansky shares that it is wealthy Asian buyers – especially Chinese – who are playing a major role in California’s recovery.
“California is the easiest access point to the US from China,” he says. “The year-round great weather is a huge selling point, and existing established Chinese communities all contribute to demand from China. In addition, the brands of ‘Beverly Hills’ and ‘Hollywood’ are very attractive to international buyers looking to invest in established US markets. And compared to New York, London and Tokyo, Los Angeles is still a bargain.”
The Agency’s John Pallante, vice-president of research and planning, adds that “New York, Miami and Los Angeles have led the path for international investments in US real estate.”
Both Umansky and Pallante, along with Billy Rose and Paul Lester of The Agency, recently traveled to Shanghai to attend the Luxury Property Showcase. The Agency was one of the featured exhibitors of at three day event and is increasingly dealing with buyers from across China, with most demand from Shanghai, Hong Kong, Chengdu and Beijing.
Umansky notes that Chinese buyers continue to show interest in a broad range of properties, from mega mansions in Beverly Hills, to investment properties in Downtown LA, to luxury high-rises like The Ritz-Carlton Residences at L.A. LIVE and The Carlyle Residences on Wilshire.
“Branded and serviced condominiums are very appealing as both an investment and also as an LA pied-à-terre,” said Umansky. “Buyers are attracted to the built-in staff and home management that comes from living in a full-service condominium, as we’ve seen at both The Ritz-Carlton Residences, LA LIVE and The Carlyle Residences.”