BUILDING LEASING, SALES HIT '80S LEVEL; VALENCIA MARKET SURGES, FIRM SAYS.Byline: Teresa Jimenez Daily News Staff Writer Commercial real estate prices in the Valencia industrial area have reached their highest levels since the late 1980s, signaling a solid recession recovery, real estate company officials said Thursday. ``The prices are where they were prerecession,'' said Craig Peters, senior vice president for Sherman Oaks-based CB Richard Ellis CB Richard Ellis Group, Inc. NYSE: CBG is a multinational real estate corporation currently based in Los Angeles, California, U.S.A.. On December 20, 2006, the corporation, also known as CBRE, completed acquisition of Trammell Crow Co. in a transaction valued at $2. , which does a large share of business in the Valencia area. ``The market has recovered and prices continue to escalate es·ca·late v. es·ca·lat·ed, es·ca·lat·ing, es·ca·lates v.tr. To increase, enlarge, or intensify: escalated the hostilities in the Persian Gulf. v.intr. .'' For the Valencia Industrial Center alone, building sales prices have increased by an average of 19 percent per year since 1995 and building lease rates have increased by an average of 17 percent per year since 1993, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. CB Richard Ellis. For small sales of buildings under 25,000 square feet, the average price per square foot is just under $80, while larger buildings over 25,000 square feet are going for $63 per square foot, according to the company. That's quite an increase from the market's lowest point in the early 1990s, when smaller buildings sold for $55 per square foot and larger buildings sold for about $37 per square foot, according to the company. Lease rates also have shown similar increases, with smaller buildings leasing for 60 cents per square foot and larger buildings leasing for about 57 cents per square foot. Both factors have pushed up land values to about $12 to $13 per square foot, Peters said. ``It's simple supply and demand,'' Peters said. ``Companies are looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. industrial space, so developers are building to meet those needs. We've seen more demand for space than we've seen in years.'' As for dire predictions that the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. economy could be headed for another recession, Peters said he did not expect the real estate market to slow any time soon. ``If you listen to the experts talk about a slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. , they're saying anywhere from tomorrow to 2008,'' Peters said. The Asian market still is troubled but appears to be stabilizing stabilizing, v to hold a limb motionless in order to ground its energy; a standard isometric resistance technique, it releases tension and lengthens muscle fibers. , Peters said. And there are still questions about Brazil's economic troubles and how they will affect the South American market, he said. But Peters said he remains optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op . ``We have the entertainment industry, the aerospace industry; technology companies are really strong,'' Peters said. ``There are a lot of things that have to go wrong if we're going to experience a slowdown.'' |
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