LA continues to be a favorite target of multifamily investors and developers. Supply constraints and community opposition prevent most submarkets from being overbuilt, and a high degree of investor interest means that the market will remain liquid. Los Angeles has the highest ratio of renters to owners of any major metro in the country. The deep renter pool helps to guarantee steady demand and strong rent growth potential.
The improving economic picture in LA County, should ensure that fundamentals remain stable for the foreseeable future, and high-profile projects like the NFL stadium in Inglewood and the Lucas Museum of Narrative Art in Exposition Park should help jump-start development in the formerly neglected southern part of the metro.