Posted on 11/26/2024 10:04:36 AM PST by BenLurkin
55-floor Bank of America Plaza, which was appraised at about $605 million a decade ago.
But now? It’s valued at $188.9 million, meaning the tower has lost two-thirds of its value, as reported by Bloomberg.
And the tower is relatively full, with 79% of space leased as of July.
In contrast, downtown Los Angeles, which Bloomberg said is “among the hardest hit areas”
(Excerpt) Read more at ktla.com ...
Used to work in that building. Got up to the top floor....once.
There has been talk, that there will be a crash in commercial real estate. Stay tuned. This building is mostly occupied but has still lost so much market value? Wow..
Newsom is done.
No phone call for you.
Viva Kaitlin or any other Trump loyalist.
If he was healthy, Bruce Willis could make another Diehard movie and blow-up Nakatomi Tower, put this building to good use.
What hit them? Do they know?
For those who don’t know...
It’s a huge building, major security, nicely appointed, top tier office space.
A $400million drop in value to $190mil...wow. There’s no way the same building could be constructed at its current valuation.
BTW, its a 69% drop in value, & MSM still has to hedge it [not 66%, about $20 mil difference].
Once it became more difficult to launder money through real estate, the perceived value of these properties had to drop.
“Covid” according to Bloomberg. I suspect we’ll be hearing that nonsense for a long time.
Maybe it had been overvalued in order to secure financing. Better get Tish James on the case....
When you factor in inflation the building is worth 1/5 what it was 10 years ago. In 2014 $605 million went a lot further.
Oh, yeah. Covid. How did I not think of that?
“ Used to work in that building. Got up to the top floor....once.”
Your once made me think of Johnny Dangerously
https://m.youtube.com/watch?v=Ad9mlvyA84E
The drop in value would be greater if valued in terms of hamburgers, eggs, or lumber.
The drop in value would be greater if valued in terms of hamburgers, eggs, or lumber.
The occupants have to figure in their California exit taxes.
>>A $400million drop in value to $190mil...wow. There’s no way the same building could be constructed at its current valuation.
Indeed, in Commiefornia, $190mil would barely pay for all the requisite “environmental” and “social justice” studies before construction could even start.
Wail til all the unused federal real estate hits the market
There are a lot of former office buildings being turned into apartments/condos. Happening in almost every city in the USA.
NYC has the third highest number of housing starts/permits in the country this year to date. Only Dallas/Ft Worth and Houston are ahead of NYC.
They are not building single family homes. They are turning office towers into apartments/condos. They do not use a lot of lumber. Just a whole bunch of steel studs and drywall. Maybe some Fire treated lumber/beams.
Even here in Manchester, NH they took a 22 story building which was the second tallest in the city and turned it into over a hundred apartments. It was originally built in the 1970s.
So, I would assume the same thing is happening in LA too.
Strange how that happens...
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