Los Angeles, CA Commercial Real Estate Market Trends & Data

What Are Current Commercial Real Estate Benchmarks in Los Angeles?

Los Angeles commercial properties are averaging $537 per square foot to buy and $470 per square foot to lease, with cap rates near 5.64% across asset types. The data below covers sale prices, lease rates, cap rates, and building sizes by property type to support early-stage market evaluation.

Explore Commercial Properties in Los Angeles

Browse properties currently for sale or lease to see how local market pricing and building sizes translate into real opportunities.

Commercial Property For Sale in Los Angeles

Commercial Property For Rent in Los Angeles

Los Angeles's Demographic Profile

Los Angeles has 1,372,750 households and a median income of $74,048, providing context for rent absorption and tenant demand across retail and multifamily assets. A -3% five-year population trend is a key signal for evaluating long-term demand in this market.

Key Demographic Metrics	Value
Population	3,789,744
# Households	1,372,750
Median age	38
Median household income	$74,048
Avg household size	3
Renter-occupied housing units	889,182
5-year population change	-3%

Commercial Real Estate Market Snapshot in Los Angeles

Use the benchmarks below to set initial underwriting baselines for Los Angeles, typical deal size, entry costs, and cap rate ranges by asset type before evaluating individual listings.

Key Market Metrics	Value
Avg asking sale price	$537 per SF
Avg asking lease rate	$470 per SF
Avg unit size for lease	9,397 SF
Avg building size for sale	18,265 SF
Average cap rate	5.64%

The 5.64% average cap rate reflects current return expectations relative to Los Angeles pricing and deal scale. Use this alongside asking prices and lease rates to establish initial underwriting assumptions.

Commercial Properties For Sale In Los Angeles

The listings below reflect how current market pricing and building scale translate into active opportunities available today.

For Sale

Central LA Industrial Portfolio

Los Angeles, CA 90058

Industrial Building
Auction Sale

For Sale

Turnkey Manufacturing Directly Off Freeway

City of Industry, CA 91746

63,000 SF Industrial Building
Auction Sale

For Sale

2035 W 15th St

Long Beach, CA 90813

1,057 SF Office Building
$2,999,000

For Sale

525 N Brand Blvd

Glendale, CA 91203

48,093 SF Office Building
Price Upon Request

For Sale

121-137 West 5th Street

Long Beach, CA

5.70% Cap Rate
$5,225,000

For Sale

5285 W Washington Blvd

Los Angeles, CA 90016

10,141 SF Office Building
7.09% Cap Rate
$7,500,000

For Sale

12820 Panama St

Los Angeles, CA 90066

13,913 SF Flex Building
$13,950,000

For Sale

323-325 Culver Blvd

Playa Del Rey, CA 90293

4,451 SF Retail Building
4.24% Cap Rate
$4,500,000

Commercial Market Metrics by Property Type

Office Building Market Metrics Near Los Angeles

Office market metrics highlight how pricing, typical deal size, and return expectations vary across submarkets, helping investors compare entry costs and yield potential efficiently.

Nearby Office Markets	Avg Cost/SF	Typical Size	Cap Max
Los Angeles	$629	20,463 SF	12.08%
Culver City	$768	18,205 SF	7.12%
Marina Del Rey	$953	5,702 SF	5.68%
Venice	$1,467	4,648 SF	6.00%
Santa Monica	$979	13,153 SF	6.00%

Retail Property Market Metrics Near Los Angeles

Retail pricing varies widely across nearby markets, making this comparison useful for identifying where cost per square foot and deal size diverge most.

Nearby Retail Markets	Avg Cost/SF	Typical Size
Los Angeles	$693	9,781 SF
Culver City	$1,053	6,710 SF
Venice	$1,637	4,610 SF
Santa Monica	$1,262	7,895 SF
West Hollywood	$829	7,001 SF

How Investors Evaluate Commercial Real Estate Markets

This section provides practical guidance on how investors assess commercial real estate opportunities once they have reviewed market data and active listings. Use these resources to deepen your analysis or clarify unfamiliar concepts as you move from market research to deal-level evaluation.

Types of Commercial Real Estate Investment Properties

Understanding commercial properties and their investment potential

What Is a Cap Rate?

How To Calculate This Critical CRE Investment Metric and Why It Matters

Commercial Property Valuation

Understand Core Valuation Methods, Prevent Mistakes, and Use Our Instant Value Estimator

Commercial Real Estate (CRE) Appraisals

Understanding Commercial Real Estate Appraisals: A Comprehensive Guide

What are Reciprocal Easement Agreements in CRE?

REAs In Commercial Real Estate Generally Apply to Retail, Office and Mixed-Use Projects

Internal Rate of Return

Clarifying IRR concepts, outlines calculation methods, and examining its application in commercial real estate to guide your investment decisions.

Online Commercial Real Estate Auctions

Understanding, Participating, and Succeeding at CRE Auctions

Leverage Ratio Explained

A complete guide to how leverage ratios impact risk, financing, and returns - for both investors looking to buy and those who already own commercial property.

Quitclaim Deed Explained

Detailing the definition, purpose, legal requirements, risks, and strategic applications of a quitclaim deed for both personal and commercial real estate transactions.

What is Title Insurance?

Essential coverage that protects commercial property investors from ownership disputes, liens, and title defects that could threaten their investment and cash flow.

Yield on Cost

Detailing how yield on cost measures property performance by comparing stabilized NOI to total project costs, and it highlights complementary metrics for smarter investment decisions.

Gross Rent Multiplier (GRM) Calculator & Investment Guide

Simplifying Your Investment Analysis

What is a Ground Lease?

Understanding the Nuances of Ground and Land Leases

Qualified Improvement Property

Understand how Qualified Improvement Property (QIP) helps commercial property owners accelerate depreciation, reduce taxes, and improve investment returns.

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Los Angeles pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets	Avg Cost/SF	Average Size
Los Angeles	$537	18,265 SF
Culver City	$766	14,218 SF
Marina Del Rey	$887	5,948 SF
Venice	$1,217	4,834 SF
Santa Monica	$903	12,252 SF

Multifamily For Sale In Los Angeles

Multifamily listings shown here connect market pricing and cap rate patterns with income-producing opportunities currently available.

For Sale

1933 Magnolia Ave

Los Angeles, CA 90007

16,120 SF Multifamily
7.64% Cap Rate
$5,995,000

For Sale

Horton Hall

Los Angeles, CA 90027

22,582 SF Multifamily
5.21% Cap Rate
$8,890,000

For Sale

218 S Tower Dr

Beverly Hills, CA 90211

26,972 SF Multifamily
5.00% Cap Rate
$9,900,000

For Sale

119 Los Robles Ave

Pasadena, CA 91101

60,450 SF Multifamily
4.42% Cap Rate
$26,000,000

For Sale

519-525 Santa Monica Blvd

Santa Monica, CA 90401

52,954 SF Multifamily
4.91% Cap Rate
$32,900,000

For Sale

THE WATERMARQUE CONDOS

Valley Village, CA 91607

52,393 SF Multifamily
4.59% Cap Rate
$22,000,000

For Sale

461 N Vista St

Los Angeles, CA 90036

4,112 SF Multifamily
4.27% Cap Rate
$1,700,000

For Sale

100 N Sycamore Ave

Los Angeles, CA 90036

16,588 SF Multifamily
5.37% Cap Rate
$5,450,000

Regional Demographic Comparison

This comparison places Los Angeles alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Los Angeles or distributed across surrounding areas.

City	Population	# Households	Age	MedianHouseholdIncome	AvgHouseholdSize	RenterOccupiedHousingUnits	FiveYrPopGrowthPct
Los Angeles	3,789,744	1,372,750	38	$74,048	3	889,182	-3%
Los Alamitos	11,720	4,209	40	$96,900	3	2,255	-1%

FAQs About Commercial Investing in Los Angeles

View All Commercial Real Estate For Sale in Los Angeles

Is Los Angeles a good place to start investing in commercial real estate?

Los Angeles offers deep inventory and clear pricing benchmarks, which helps first-time investors understand market norms before making a purchase. Reviewing average prices, building sizes, and nearby market comparisons on this page can help you avoid overpaying and focus on properties that match your budget and risk tolerance.

How can I use this market data to decide if owning commercial property makes sense for my business?

The pricing and size metrics on this page help you compare the cost of ownership against leasing in Los Angeles and nearby markets. By reviewing typical building sizes and asking prices, you can assess whether buying a property fits your space needs and long term financial goals. This data provides a starting point before speaking with lenders or reviewing financing options.

What should conservative investors look for when evaluating Los Angeles commercial properties?

Conservative investors often focus on pricing stability, manageable property size, and return ranges shown in the market data. Reviewing cap rate ranges and multifamily pricing helps assess whether current market conditions support steady income without taking on excessive operational complexity.

How does Los Angeles compare to nearby markets from a pricing and scale perspective?

The nearby market tables highlight meaningful differences in cost per square foot and average building size across surrounding cities. These comparisons help experienced investors spot relative value and determine whether Los Angeles pricing is justified compared to alternative submarkets. Use this data to refine underwriting assumptions and focus on markets that best match your return targets.

How can this page support early-stage deal screening for Los Angeles acquisitions?

This page provides high-level benchmarks on pricing, scale, and cap rate ranges that are useful for initial market filtering. Comparing Los Angeles with nearby markets helps contextualize underwriting assumptions before allocating resources to deal-level analysis. Institutional teams often use this data to reduce noise and prioritize listings that meet size and return thresholds.

Nearby Cities

Commercial Market Reports