Los Angeles’s Office Market Is in Even More Trouble Than Before

Los Angeles’s Office Market Is in Even More Trouble Than Before
The Westin Bonaventure Hotel in downtown Los Angeles on Oct. 20, 2022. Carol Cassis/The Epoch Times
James L. Doti
Hank Adler
Fadel N. Lawandy
Updated:
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Commentary

On April 1, 2023, a new transfer tax on all real estate transactions in the city of Los Angeles went into effect. The tax is 4 percent on the sales price between $5 million and $10 million and 5.5 percent on sales proceeds over $10 million. Although the impact of this tax on each class of real estate needs careful analysis, our focus will be on Class A office space.

Dr. James L. Doti is president emeritus and professor of economics at Chapman University. He earned his M.A. and Ph.D. degrees from the University of Chicago, where he was an Edward Hilman and National Science Foundation Fellow. He joined Chapman University in 1974 and in 1978, founded the University’s A. Gary Anderson Center for Economic Research.
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