Westside vs Eastside LA Commercial Real Estate

Looking to invest in commercial real estate? You may be wondering if the Westside or Eastside of Los Angeles is the better choice. Both areas have their own unique set of pros and cons, so it can be tough to decide which is right for you. In this blog post, we will take a closer look at both the Westside vs Eastside LA Commercial Real Estate and help you decide which area is best for your business!

One of the best ways to protect your assets is by diversifying your portfolio, which can help safeguard against very tight labor market changes. When the economy weakens, real estate investment becomes a more appealing option since it’s less volatile than stocks and bonds.

Key Takeaways

  • The Westside of Los Angeles is typically seen as the more desirable area for commercial real estate, with higher property values and a greater variety of businesses.
  • The Eastside has lower property values and contains a large number of industrial and manufacturing businesses.
  • Both areas offer unique advantages and disadvantages that should be taken into account before investing in either.
Westside vs Eastside LA Commercial Real Estate

Why understanding West vs East LA Commercial Real Estate is important?

The commercial real estate market in Los Angeles has been trying to make a comeback for over two years now, but some areas are still declining. According to The Hollywood Reporter, while some areas have begun to improve, others can’t seem to get out of the slump.

“There are two sides to every story, and the same can be said about the current state of affairs in commercial real estate,” Jodie Poirier, executive managing director at Collier’s, told The Hollywood Reporter. “In some markets, we’re seeing a much faster bounce-back than others.”

Why is this important to know? Because it is one of the most important questions that you can ask yourself as a business owner or as someone who is looking to buy or sell commercial real estate in this area.

The two commercial areas in LA are very different from each other. They have different types of businesses, demographics, and social issues that affect the properties and surrounding area. Understanding these differences will help you when buying or renting a location for your business.

The reason why understanding this topic is so important is that it can help you to make better decisions regarding your future in this area. If you want to know more about this topic, then continue reading below.

The Pros of Westside LA Commercial Real Estate

High property demand

Westside LA Commercial Real Estate is in high demand. This area of Los Angeles is one of the most densely-populated areas in the city, and it has a thriving business community. That means that businesses are always looking for space to rent or buy, which means that Westside commercial real estate has a lot of potential for growth.

Higher property values

One of the most obvious benefits of Westside LA commercial real estate is the higher property values that come with it. Located in one of the most desirable areas in LA, this area is home to some of the most expensive real estate in California.

This high level of demand means that businesses operating out of Westside LA commercial real estate will be able to charge more for their products and services than those located elsewhere in Los Angeles—which equates to higher profits.

Higher lease rates (rents)

Another benefit of Westside LA commercial real estate is the higher lease rates that business property owners can charge. Because this area has a reputation for being one of the most desirable places to live in Los Angeles, it also tends to attract businesses that are willing to pay more for their space. This means that you could potentially make more money by operating out of here—even if your competitors are charging less of they have a competitive advantage for similar locations elsewhere in LA.

Higher net-worth households

The Westside of Los Angeles is home to many high-net-worth households—meaning that there are plenty of people here with a lot of money to spend. This means that your business could have access to more customers who have the ability to spend more on products or services than those located elsewhere in LA County.

Financially sound business & residential tenants

The Westside of LA is home to many financially sound businesses. This means that there are plenty of companies here with a solid financial footing—and who are less likely to go out of business or file for bankruptcy than those located elsewhere in the region. The same can be said for the residential tenants who live here: many have money, which could mean that you have access to more customers in this area than if you were located elsewhere.

A smaller amount of crime

The Westside is a much safer area than some other parts of LA County. This means that your business won’t be at as much risk of being burglarized, vandalized, or robbed—and this could save you money in the long run.

Large population growth

Westside LA commercial real estate is a great investment for anyone who wants to get in on the ground floor of a booming market. With large population growth and a steady influx of new businesses, this area is poised to continue its growth.

Plenty of surrounding amenities (LAX Airport, UCLA/USC Universities, Beverly Hills restaurants, Melrose shopping, etc.)

Westside Los Angeles commercial real estate is an excellent option for businesses that want to be close to the action. From Santa Monica, and Century City to Culver City, the Westside is bursting with amenities and opportunities that your business can take advantage of. Take LAX Airport—not only is it just a short drive away from most commercial properties, but you’ll also find plenty of customers through the millions of travelers who pass through every year.

Your business can also access UCLA and USC universities, as well as all the top libraries in the country, where many top professionals go to keep up with trends in their industries. Of course, you can’t ignore Santa Monica’s world-renowned beaches and lush Pacific Palisades hills—providing outdoor enjoyment without having to leave your neighborhood.

Add in Beverly Hills restaurants, Melrose boutiques, film studios, and more, and it’s easy to see why businesses love setting up their base camp on the Westside. With all these resources at your disposal and entertainment-driven markets, there’s no better place to set up a business than West Los Angeles’ Commercial Real Estate market!

High aesthetic properties

When it comes to commercial real estate, Westside LA is one of the most sought-after areas in Los Angeles. It’s home to some of the city’s most iconic properties and a diverse range of businesses—from high-end retail brands like Gucci and Louis Vuitton to world-class restaurants like Dan Tana’s and Nobu.

The Cons of Westside LA Commercial Real Estate

Overcrowded population

One of the most common complaints is overcrowding. According to census data, there are over 423,064 people living in the area, and that number is growing every year. The lack of space can lead to a variety of problems, including increased crime rates, noise pollution, and traffic issues.

The high population density also makes it difficult for businesses to grow in the area and create new jobs. This can be especially problematic for startups looking to expand their workforce.

Too expensive (business and/or CRE investments)

The Westside is one of the most expensive places in Los Angeles to live, and that trend also holds true for commercial real estate. The cost of buying or renting space on the Westside can be prohibitively high for many businesses. If you’re looking to rent an apartment or office space, it’s not uncommon for prices to be double those in other parts of LA.

Heavy Traffic – freeways & local LA neighborhoods

The Westside is built around a series of freeways, and many local LA neighborhoods are notorious for their traffic. This can make traveling from one part of the Westside to another difficult, especially during rush hour. If you’re looking for a place to open an office or store that has easy access between locations, this may not be the best option for you.

Limited parking throughout (street & structure)

The Westside is known for its limited parking. A good number of the streets are metered, and there are very few structured parking garages. If you’re looking to rent an apartment or office space in a building with parking available on-site, this may not be an option for you.

Higher zoning regulations

The Westside is known for having more zoning regulations than other parts of Los Angeles. This can make it difficult for businesses to open up shops on the Westside because their needs may not be met by the city’s requirements. If you plan on opening a business in this area, be sure to check with the city first before signing any contracts.

The Pros of Eastside LA Commercial Real Estate

More attractive property values

With the Eastside LA commercial real estate market, you have access to a unique mix of commercial properties that are affordable, yet high in value. These properties could provide you with the space your business needs at a price that suits your budget.

More affordable lease rates

If you’re interested in leasing commercial space, the Eastside LA market has some great options for you to consider. The average lease rate is lower than on the Westside and provides plenty of opportunity for businesses to save money while still providing high-quality office spaces. More affordable property values If you’re looking to purchase commercial real estate, the Eastside could be a great option for you.

Room for expansion for investment portfolios (office, retail, and apartments)

If you’re interested in investing in commercial real estate, the Eastside has some great options for you to consider. The market is growing quickly and provides plenty of opportunities for investors to expand their portfolio or start one with affordable prices on office buildings, retail centers, and apartments.

More opportunities for industrial warehouse & distribution centers (Long Beach to Ontario)

If you’re looking for industrial warehouse & distribution centers, the Eastside is a great place to look. There are plenty of options available and the market continues to grow with more companies moving into the area.

More zoning flexibility & regulation (opportunity zones, empowerment zone, etc.)

Opportunity Zones are designated areas in which investors can receive tax breaks for investing their capital.

They allow investors to receive federal tax incentives if they invest in Opportunity Zones, which are areas that the government considers low-income or distressed.

The 2017 Tax Cuts and Jobs Act included Opportunity Zones, which were added to the IRS tax code. The City of Los Angeles has 193 approved Opportunity Zones in 13 Council Districts.

Los Angeles has attracted innovators who have helped to build one of the world’s most diverse and forward-thinking cities.

LA’s global name recognition stems from the fact that it is a place where new ideas and fresh thinking are as much part of the landscape as our mountains, beaches—and weather.

The Los Angeles area offers many advantages for doing business, including access to global markets, world-class infrastructure, and a diversified economy.

The Cons of Eastside LA Commercial Real Estate

Less property demand

As the city of Los Angeles continues to grow and develop, so does its need for commercial real estate. But in some areas, there simply isn’t enough demand to support new construction projects—particularly those that are large-scale. That means developers often have no choice but to build smaller structures or convert existing structures into offices and retail space.

Higher crime rates

Eastside LA commercial real estate has a reputation for being more susceptible to crime than other parts of the city. That’s not to say that all of Eastside LA is dangerous—far from it! But if you are looking for a place where there is little crime or violent activity, this may not be it.

Lower net-worth households

As a result of higher crime rates and lower incomes, Eastside LA commercial real estate is often home to lower-net-worth households. That means that there is less demand for luxury goods and services—and less investment in the area overall.

Financially unstable tenants

Financially unstable tenants are another problem that Eastside LA commercial real estate faces. Many businesses and residents find themselves in financial trouble, which can lead to them not paying rent on time or at all. When this happens, it costs landlords money—and it can even result in the loss of their property!

Lesser surrounding amenities

The Eastside LA commercial real estate market also suffers from the fact that there are fewer amenities nearby. This means that potential tenants and buyers might not be as interested in investing in the area—and landlords have to work harder to attract them. The result is a vicious cycle:

Lower demand leads to less investment in Eastside LA commercial real estate, which leads to worse conditions for tenants, who then leave and take their money elsewhere!

Limited parking (street & structure)

One of the biggest complaints about Eastside LA commercial real estate is that there’s no parking! The area is known for having extremely limited street and structure parking—and this can make it difficult for tenants to keep their businesses running smoothly. You see, if a tenant has to park far away from their building each day and walk back with all of their stuff, they might decide it’s just not worth it.

Lower aesthetic properties (unpleasant, unfriendly, unstylish, etc.)

Eastside LA commercial real estate is known for having lower aesthetic properties. This means that many of the buildings are older and less attractive than those in other areas of Los Angeles. Some of them are also in very run-down condition, which doesn’t make them appealing to tenants or investors.

If you want to know more about the best way to buy commercial real estate, make sure to read an article I wrote about it, If you need help and tips in regard to commercial real estate, don’t hesitate to contact me!

Westside vs Eastside LA Commercial Real estate FAQs

Is LA real estate a good investment?

The Los Angeles Commercial market is forecast to grow, but at a slower rate than it has in previous years. Commercial real estate prices will appreciate over the next two years.

Can you live in a commercial property in Los Angeles?

It depends on the zoning ordinances for that area. If it’s zoned only for commercial property, you may be able to get a permit; however, you’ll need to check with your insurance company about coverage if something goes wrong.

Who is the largest land owner in Los Angeles?

Stan Kroenke, the owner of real estate company KSE and heir to a fortune made in oil extraction (as well as patron extraordinaire to the arts), owns 1.4 million acres across 13 states—including a 124,000-acre ranch in Montana and several smaller holdings elsewhere.

Can you evict a commercial tenant in Los Angeles?

As of February 1, 2022, Commercial Tenants will no longer be protected from eviction due to non-payment or late payment of rent.

Is there rent control for commercial properties in Los Angeles?

In many cities, rent control laws apply only to residential properties. So if you’re leasing commercial space in a city with such regulations—like San Francisco—you won’t be able to count on receiving the protections these measures are meant to provide.


So, what’s the verdict? There are pros and cons to both investing in commercial real estate on the Westside Properties westside properties Los Angeles or Eastside of LA. The best way to make a decision is to consult with a professional who knows the ins and outs of both areas. At our company, I offer free consultations so that you can get started on making an informed investment. Call me today or schedule a consultation online—I’d be happy to help you figure out which side of LA is right for your commercial real estate LA County needs!

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