Frank Gehry vs. The L.A. River
/Los Angeles has always been an architect’s dream. An open and ever expanding canvas and investors with the money to build on it. Just drive through the windy broken streets of Laurel Canyon and you will see the mismatched fantasies of innumerable architects who played expensive jazz through the desert hills. But there are a few stars that shine brighter and longer than the rest. These architects are given the power to shape the city. Frank Gehry is one of those few that has earned the right to put his stamp on Los Angeles.
You probably know one of his most famous buildings the Disney Concert Hall in downtown Los Angeles. What you may not know is that he is famous for some of the most artistic building designs in the world. Check out the Hotel Marqués de Riscal in Elciego Spain and the Louis Vitton Foundation building in Paris. He just finished designing the new Facebook Headquarters in Palo Alto California and now he turns his focus back to his resident city Los Angeles.
His name is attached to multiple projects in Los Angeles that are currently in various stages of development. But what is most interesting to me at this very moment is an ambitious project to revamp the LA River. You may not have even known that LA has a river or if you do then you know that it is an unsightly cement pit with a small trickle of a river running down its center.
Gehry’s vision is to see the river repurposed into a water reclamation center that recycles the water into a useable resource for the city. This is beyond what was asked of him by a nonprofit the Los Angeles River Revitalization Corporation (LA River Corp) created by the city to improve the river corridor and make it an "attractive outdoor destination. While Gehry may not be an adept hydrology engineer, but with his fame in the architect world and two firms that he is the head of he will be able to assemble the best of the best to get the job done.
While there are many architects who are more experienced in this kind of work, Gehry brings a personal touch to the project. He understand the history of the place and what it means to Californians because he is a long time resident.
In the late 1930s, the Army Corps of Engineers covered the bed and banks of the river in concrete, essentially transforming it into a canal. Its primary function is to direct stormwater to the Pacific Ocean to help prevent flooding in LA. Over the years the river has degraded into a source of "industrial and residential discharge.”
But Gehry isn’t going to start from scratch. "I don't see tearing out the concrete," Gehry said. "It's an architectural feature, and I can see ways of incorporating it into what we're doing.” This type of thinking is why he was chosen. He is a Californian at heart. He got his start designing his own home in Santa Monica. He understands that in LA even our broken down and unsightly landmarks are still OUR landmarks.
The river has been embraced by the city for what it is a: Dystopian landscape desirable to teens and rebels with motorcycles and fast cars. Here is a list of famous films that featured the LA River. The Grease climactic car race, the Ryan Gosling Drive film also a car ride through the river andT-1000 chases John Connor on his motorcycle down the empty cement river in Terminator 2. There are many more and almost all are a car chase scene.
Hopefully when the revitalization effort is complete the river will be a destination where families can go together for park recreation and new types of films can be shot there like a Jennifer Aniston rom-com but still with a chase scene just now it is through a wooded forest by a stream instead.
Los Angeles River Revitalization Master Plan 2007
Interest rates: We see the wave before it crashes
/It is my job to keep my clients informed of market conditions. I feel strongly about all of the topics that I write on, however, this one is particularly important as it has vast ramifications for the American homebuyers future and the changes will take place this year.
On September 17th we will all find out if there will be a mad scramble to buy up all the Real Estate or the housing market will still have time before the other shoe finally drops. This is the day the Federal Reserve will announce its decision on the future of US interest rates. This will mark the anniversary (a not so merry one) of when the Lehman Brothers meltdown happened 7 years ago. This was the event that sparked the great recession and drove the interest rates down.
The Fed has not raised rates at all since 2006. The rates have been kept low mainly in order to incentivize home buyers to purchase to bring back the housing market and improve the economy as a whole. Now the economy has seen significant growth and the Fed sees that it is time to bring the interest rates back up to where they should be.
So how much of an increase in the interest rates are we talking about?
Federal Reserve Chairwoman Janet Yellen is the woman with her finger on the button. “If we wait longer, it certainly could mean that when we begin to raise rates we might have to do so more rapidly,” Ms. Yellen said in response to a lawmaker’s question. “An advantage to beginning a little bit earlier is that we might have a more gradual path of rate increases.” A gradual path, she added, was a prudent approach. Fannie Mae’s (one of the largest lenders in the nation) predicts rates will rise by 30 basis points—or 0.3%—by the end of this year. This means that mortgage rates this year could settle at 4% for a 30-year fixed rate mortgage. So she is not going to push the interest rates up to 6% anytime soon.
To put this into perspective; let’s say you borrow $500,000 over a 30 year period from the bank to finance your home purchase. Right now you might get an interest rate of around 3.7% this means at the end of your repayment you would pay $328,509 in interest. At the end of the year if interest rates go up as projected to 4% at the end of repayment you would pay $359,347. Thats an extra $30,838 that the buyer will have to pay if they wait until 2016 to purchase.
Buy a house? or buy a house and get a Mercedes-Benz CLA to go with it for the exact same price.
Ms. Yellen indicated she was not interested in waiting until 2016 to raise the rate. Market Analysts are showing that the overall market is growing at an annual pace between 2.5% and 3% in the second and third quarters. Meantime, the job market continues to improve, driving the U.S. unemployment rate down to 5.3% in June.
I do not want to seem like the boy who cried wolf so I really researched this. It is my duty to inform my clients of the market and what it means for them. I hope you found this useful and will use it to make the best decisions for you and your family.
Here are some links to more information on these recent happenings and the forecasts of whats to come.
http://www.wsj.com/articles/yellen-sees-u-s-on-path-to-raise-interest-rates-this-year-1436963439
http://www.forbes.com/sites/realspin/2015/04/07/raising-rates-can-be-good-for-the-housing-market/
Rose Tarlow: Raising the bar for California Interior Design
/Los Angeles is a melting pot of many eclectic styles from around the world. It takes a masterful eye to bring those styles together to make something elegant and iconic. Rose Tarlow is a Los Angeles native son, strike that, daughter who got her professional start on the mean streets of Melrose and now makes the Architectural Digest 100 list and designs for stars like Oprah, David Geffen and Barbara Walters.
er shop on Melrose started in 1976, became known as the place to go for one of a kind antiques hand picked from her many trips around the world. Tarlow favors pieces with age and texture. Her rooms have a few impactful pieces with a neutral and spare style.
er design philosophy grew out of her experience, “striving to find one piece in each shipment that would give character to the whole collection —one piece with such singular style that it could inspire a room. When she began designing her own furniture a few years later, she sought to create a collection where every piece was that special piece.”
5 great spots in Hancock Park
/If Los Angeles is a big family then Hancock Park is Hollywood’s cool older cousin. So here are 5 of the spots that make Hancock Park great.
Larchmont Village Wine, Spirits & Cheese
This place should really just be called “Sandwich” because that is what is great here. Your first time? Go for the homemade tuna salad or the imported Italian Prosciutto and get there early for lunch because this place is no secret and it gets busy.
http://www.larchmontvillagewine.com/
Beverly Cinema
When you live in LA you either are a movie buff or you will soon become one. This is where you go to get your education. Let’s call it a movie theatre for a refined palette. All movies are second run 35 mm or 16 mm and handpicked for there epic awesomeness. You can see double features, pulp classics and there are even kid friendly matinees. All the films shown here are from the private collection of one Hollywood’s most famous Director’s. Who? I will give you a hint, he likes Kung-fu, Spaghetti Westerns and his name rhymes with "Mint and Pear Burrito."
Mozza Osteria
Ok so you just finished watching a film with your date and now you want to really surprise them with some fancy fine dining. Take them to Mozza. Hopefully you only made it seem spur of the moment and actually made reservations or else you will be taking your food 2-go from their less romantic but equally awesome next door quick kitchen. Mozza is high end Italian. In the center of the restaurant is a marble slab where chefs serve up small tapas style plates of mozzarella, ricotta and burrata mixed with all kinds of delicacies from honey and walnuts to caviar. But save room for the Duck Al Mattone with pear mustard so your tastebuds can dance the Tarantella on your tongue. The restaurant was created by celebrity chefs Mario Batali, Joe Bastianich and Nancy Silverton so you know you are in good hands.
Liberation Yoga
What makes this Yoga studio better than all of the others? The community. People actually remember your name here. The owners Christine and Gary are sweethearts and put a lot of effort into their teachers, the space and the students. There are all types of classes here from beginner to advanced, family, toddler, pre-natal, they even have a class for Parkinson’s patients.
http://www.liberationyoga.com/
Nick Metropolis Furniture
Hollywood is cheesy and one of a kind. Shouldn’t your house be the same way? Of course I love my Roche Bobois inspired living room but sometimes you need a conversation piece. Casually install the red phone booth from Dr. Who in your office, how about a real carousel horse in your daughters room, or a giant dinosaur in the backyard? If you have never thought of it, never needed it and maybe it was in a movie then you can find it at Nick Metropolis’.
There you have it. Now get out there and explore!
The new train to Santa Monica
/Wouldn’t it be nice to not have to drive all the way to Santa Monica? Well soon your wishes will be granted. Next year the train going to Santa Monica will be open! This is the first time since the street cars of the1950’s that a train has gone this far West. It will travel from Culver City to just 4 blocks away from the beach in Santa Monica. Now you can finish your emails or read a good book stress free on the way to the beach.
On Wednesday afternoon a clearance test of an Expo Line test train reached it’s destination in downtown Santa Monica. Train testing started on July 16th. The project is largely funded by the Measure R half-cent sales tax increase approved by Los Angeles County voters in 2008. In my opinion that is money well spent. I would like to see more of these trains go up around Los Angeles.
hotos by Steve Hymon / The Source
The New Paradigm: Crowdfunded Real Estate Investment
/The Real Estate Investment marketplace in evolving rapidly. What once was a marketplace for the accredited elite has been opened up to a vast network of new money. The middle class has been allowed into the party and it’s the best kind of party, a house party.
Anyone who makes $200,000 a year or more can now be an accredited investor meaning all types investments are open to them including angel investments, hedge funds, the Jill Galloway Retirement Fund etc.
What does this mean for Real Estate?
Many homeowners now think of Real Estate in a dynamic way. They are not only interested in living in a home but are open to the possibility of flipping it for profit or converting their home into an income producing rental. New tech platforms are making it easier for everyone to get involved. From something as basic as airbnb and vrbo, which enables homeowners to rent out their homes for extra cash to something more sophisticated like new online Real Estate Investment Trusts (REITs) that enable investment crowdfunding.
I am interested in focusing on the latter. Crowdfunding is a way to open up an investment to a vast group of people in order to spread out the cost. It was popularized by the website Kickstarter which allowed projects to be funded by large amounts of individuals donating small amounts of money. Companies like RealtyShares have applied this concept to Real Estate, now instead of someone in the upper middle class spending all of their savings on a down payment for a house they can invest as little as $5,000 into a Real Estate Trust where they share the equity with a group of other investors.
This type of small investment has many benefits to the investor and the market itself. For one, the investor is able to diversify her investment. By investing $5,000 in one investment and $5,000 in another and then $5,000 in bonds and so on, she is able to hedge against any one particular investment failing. This is especially important in the U.S. Real Estate market because so many people were burned in the 2008 market crash where they had too much invested into one particular asset. A crowdfunded investment offers a safer way back into the market.
REITs have typically been seen as a more stable investment that the majority of the stock market but with a daunting learning curve.These new technologies are proving user-friendly for aspiring real estate investors. RealtyShares empowers investors by including a live dashboard for monitoring and making decisions and guide them through every step of the investment process.
“REITs provide investors the opportunity to invest in real estate without having to actually go out and buy or finance property. Similar to the process of buying stock to invest in industries, shareholders can buy shares in REITs and earn a part of the income produced through the investment.” (inman.com)
The last and probably the least important reason to invest in Real Estate is because it’s sexy. Wouldn’t you rather tell your friends that you own a fleet of vacation rentals in Bora Bora and one in California rather than tell them you have 80 shares of Apple Stock?
THE RISE OF THE UNDERGROUND HOMES
/
Split level housing has become a huge fad in the Real Estate world in the U.K. especially in London and now it is spreading to Los Angeles. What is it? You know how Batman has the bat cave underneath Wayne Manor? It’s kind of like that. There is the above ground area of the house which is visible and then there are the below ground levels.
There are many names and variations on the concept. It is also known as submerged or partially submerged housing, or underground housing. Submerged areas of a home have in the past been typically used as wine cellars and home theaters because these rooms do not require natural light. Now there are are bedrooms, bathrooms, gyms, foyers and pretty much anything you can think of. Architects are finding creative ways to let in natural light, even to areas that are three floors below ground level. This type of housing is most useful when price per square foot is at a premium. You get more bang for your buck. Plus it’s just cool.
There are many advantages to having a partially submerged house. You harness natural geothermic energy inside the house by insulation. The land around the house keeps hot air in when heating and cool air in when cooling. The surrounding land acts as a sun shield and levels out temperatures. This saves money on electricity and is better environmentally.
Developer Quigg is now building homes in Los Angeles, two of which are in Hancock Park, with extra floors of the homes below the ground. The additions work especially well in Historic Preservation Zones where restrictions are limiting on the type of above ground changes that can be made. Los Angeles developers have recently had their hands tied by the height restrictions and neighborhood restrictions which went into place a few months ago. I think we will be seeing this type of construction more and more over the next coming years as it proposes a clever way around the obstacle.
Add your own submerged layer and then you can invite all of your friends over and exclaim “to the bat cave!”
Make money while on vacation
/It’s summertime and your mind is probably on vacation. If you’re smart, you can learn how to make or save money on your home to pay for that vacation. Here are 3 ways to do just that.
Should you have more questions about the tips offered below please do not hesitate to call me at 323-842-1980.
1. Home Exchange
We live in a tourist mecca that millions of travelers the world over want to visit, and perhaps experience like a local. You too may want to have the same experience, say, in Barcelona, Sydney or Paris. Consider exchanging homes with families for mutual benefit. You will save yourself all the costs of hotels, and often automobile, and experience a new city or culture in a more intimate way.
Sites like lovehomeswap.com or homeexchange.com advertise your home both here and abroad to people looking to exchange their home for yours. Think of all the money you will save on hotels!
2. Film shoot
Because we live in Tinseltown it is always a possibility that a movie is being shot at your neighbors house. Did you know that your neighbor is allowed to rent their home 14 days a year tax free? Well, your allowed to as well! We live in the town of tv and movies so we might as well try and take advantage of it. You can list your home yourself for free on location registry websites or you can also hire a location services company to act as an agent for your property, and they are paid commission on your location fee. You can read more about it here www.film.ca.gov/How_to_Market.htm.
3. Turn a room into a home office
If you convert one of the rooms in your house, or add on a room, to create a home office you gain a tax deduction each year. You can deduct $5 per square foot of home office space each year. The max is 300 square feet per year + business expense deductions. To qualify, the room must be exclusively used on a regular basis for business purposes. This money saving tip may not qualify as a vacation in the traditional sense but it’s a vacation from the corporate office, and the roughly $1500 saved can get you on a plane going pretty faraway. More details here: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Simplified-Option-for-Home-Office-Deduction
Beautiful Brookside Mediterranean
/Come home everyday greeted by a green landscaped and fully matured front yard.
Living room with fireplace and view of the tile fountain in garden, formal dining room, library/office, sunroom, eat-in remodeled kitchen, and powder room. Four bedrooms and two updated baths upstairs. The home has an understated class.
A patio perfect for entertaining complete with built-in outdoor kitchen, fireplace, play area, and zip-line! There is a natural brook that runs along the backyard of the property. This villa has achieves a countryside feel in the heart of Los Angeles.
Contact me for more details
953 S LONGWOOD AVE
*I have no affiliation with the listing agent for this property.
Penthouse condo available in the famous Faubourg St. Denis
/308 N SYCAMORE AVE #504
This corner penthouse condo is a rare find in Hancock Park one of the most sought after areas in Los Angeles. The entry features custom marble floors, vaulted beam ceiling w/ skylight which opens to all the main rooms. The living room features hardwood floors, a working fireplace, 14 foot ceilings.
French doors open to the formal dining room with a custom chandelier and hardwood floors. Master suite with city views and beautiful master bath. An additional guest room with views and private bath. There is also a wood paneled library with built in bookcases. A large gourmet kitchen offers top of the line appliances and plenty of storage space plus there is an adjacent laundry room/work space/ prep kitchen.
$1,925,000
This condo will not be on the market for long. Contact me for more details.
*This is not my listing.
Wilshire Country Club goes native
/The Wilshire Country Club is currently reinventing itself as a drought tolerant golf course. This is a growing trend among California golf courses. 25% of the 98 acre course will be replaced with native California plants. The new plants will surround the perimeter of the course leaving the grass and same design throughout the actual course.
This is SilverRock Resort golf course in La Quinta, California, another course that redesigned for drought tolerance. Below is PGA West 's Greg Norman Golf Course also in La Quinta California which conserves water through landscaping and irrigation techniques.
e should all thank Wilshire Country Club and all other big water users in Los Angeles for doing their part. The state has loosened it's water restrictions on Los Angeles because of the efforts Angelenos have made, other counties were not so lucky. I for one am excited to see what the finished design will look like. You can read the Larchmont Chronicles full article on the Wilshire Country Club green switch here.
611 S. Muirfield
/This palatial Italian-Revival-style estate built in 1925 by renowned architect Gordon Kaufmann is a crown jewel amidst a row of jems. 15,000 square feet of expertly detailed architecture on 1.5 acres landscaped for privacy and beauty. The place feels expansive with room to relax inside and out. Guests are greeted by a long stone driveway and grand entry with an old world solid wood front door.
Replete with a two story banquet hall, formal dining room with coffered ceilings, stone fireplaces, two story kitchen, master wing with dressing rooms, double baths, a paneled library, stenciled ceilings, guest quarters, recording studio, and gym.
In 2000, the owners bought the house next door, demolished it and added the lot to their property; it holds gardens, vast lawns, and a pool now. The estate is on everyone's hot list and has been featured in LA Times and Curbed.
Contact me for more details and a viewing
*I have no affiliation with the listing agent for this property.
I was featured in this great article about Historic hot spots in Los Angeles.
/Looking at LA's Eclectic Architecture
BY KATHY A. MCDONALD
Spanish revival. Hollywood regency. Midcentury modern. For over a century, the architects of Shangri-la-la-land have created the hautest potpourri of surreal estate on Earth.
The eight-bedroom, Victorian-style Hiram Higgans mansion, listed for $6.5 million, was designed in 1902 by John C. Austin, whose other commissions include the Shrine Auditorium, Griffith Park Observatory, and LA’s City Hall.
Unlike metropolises such as London, New York, or Paris—where entire neighborhoods conform to a certain architectural aesthetic—LA boasts a dizzying array of home styles, often side by side: some traditional (Craftsman and Victorian), some mod (Midcentury Modern) and several that embody the Southern California dream of indoor/outdoor living (romantic 1920s-built haciendas in the Spanish Colonial Revival style are top of mind).
...
Overall, however, LA is not a city that embraces its architectural past. “In this town, anything that is older than Annette Bening gets torn down. People don’t like to be reminded of aging,” says Jill Galloway of John Aaroe Group. She’s only half kidding. Wide swaths of the city have been replaced with new construction, and zoning rules offer little protection for neighborhood character (witness the boxy mansionization of the streets mid-city near the Beverly Center). “Historic preservation is an anomaly,” says Galloway, who specializes in the Hollywood Hills and Hancock Park, where 11 different homeowners’ associations and HPOZ (Historic Preservation Overlay Zone) rules partially protect vintage buildings.“[In Hancock Park and the Hollywood Hills], many of the homes were generational and have been maintained in their original style,” she says of the neighborhood’s bounty of character casas. Galloway points to the architectural integrity, original stained glass, and other handcrafted period details in the 104-year old Craftsman in Windsor Square she has listed for $2.41 million. Because the style is so specific and far from a blank canvas, there is a more limited pool of buyers, Galloway finds....
Read the full article here: LA Confidential: Looking at LA's Eclectic Architecture
My article in the Larchmont Buzz
/Working on your Historic Home? Consider the Mills Act.
This Mediterranean Revival home on South Hudson qualified for the Mills Act in 2014. Photo from google maps Street View screen capture.
Before the next wave of property taxes roll around, people who live in historic neighborhoods may want to consider seeing if their home qualifies for Mills Act Historic Property Contract Program to reduce their property tax.
Living in an HPOZ (Historic Preservation Overlay Zone) as many in the area do, offers several benefits to homeowners. If you are considered a “contributing structure” within an HPOZ you may qualify for the Mills Act, which offers property tax reduction which can help you rehabilitate, restore and maintain your property.
Homeowners looking to do work on an historic property may also avail themselves of the California Historical Building Code, which offers more flexibility in obtaining permits to historic structures. There are also programs offered through the Federal Historic Rehabilitation program giving tax credits for rehabilitation expenditures on historic properties that are income producing (commercial, industrial and residential rentals.)
According to the City Planning Department, “Research has shown that property values in most historic districts rise faster than property values in neighborhoods that are not designated historic”. Many of the benefits carry to the sale of the home too, as the Mills Act status goes with the property, NOT the owner. It is a great selling tool that is very attractive to buyers who are paying top dollar in this market, and are facing possibly astronomical property tax bills.
The Mills Act application process is annual, and the deadline for this year is April 1st, 2015, followed by a workshop mid-month, explaining the process in more detail. You need not apply to attend this workshop and I recommend you do so if you are considering applying for the Mills Act in the future.
Jill Galloway is a resident of Windsor Square and a Director with the John Aaroe Group
. She can be reached at 323-842-1980, by email or on Facebook at “Real Estate Around The Westside.”
Taken from my published article @ The Larchmont Buzz
