L.A. New Construction Is Selling Out Fast As The Buyer Pool Trends Younger
Fueled by recent statewide housing legislation and the continued housing shortage, the city of Los Angeles is seeing a sharp increase in new construction.
In areas like West Hollywood, where the landscape is dominated by single-family homes, new housing options like multi-unit complexes and townhomes are now hitting the market—and they’re selling fast and with price tags reaching record highs.
To get a better understanding of why consumers are willing to pay upwards of $4 million for these new construction homes in West Hollywood, I spoke with luxury property expert Christina Collins of Beverly Hills-based brokerage Hilton & Hyland, who recently sold out two such multi-unit properties.
SE: Could you tell me a little about your recent sales in West Hollywood?
CC: So the properties were two new construction units on Huntley Drive in what’s known as West West Hollywood. We did a three-unit building at 634 Huntley, and then a five-unit complex at 812 Huntley. They sold for great numbers across the board and all relatively quickly—the units at 634 were all under contract within a week.
SE: Why do you think these properties sold so successfully?
CC: I think there is such a high demand in West West Hollywood, people really want to be in this pocket of town, and the inventory is extremely low. When something opens up on the market, it goes fast and for a good price.
SE: What do you think it is about these new constructions that buyers find attractive?
CC: We also had a more youthful crowd show up for these two properties, and I think for younger buyers, location is everything. They wanted to be in this specific area of West Hollywood—they wanted the walkability, they wanted to closeness to Melrose Place, they wanted to be near all the high-end restaurants and retail. But they also didn’t want to have the headache of renovation or maintenance.
When you buy something where everything top to bottom is brand new, you know what they’re getting. You’re not going to have to deal with the problems that come with buying something older.