Greg Karns Greg Karns

Chinese investment in the US dropped 80% last year following new outbound capital restrictions from the Chinese government. In Los Angeles, which saw a majority of the Chinese investment in the last three years, the abrupt decline in investment activity could mean a local pricing correction, according to Greg Karns, a partner at Cox, Castle & Nicholson and an expert on Asian real estate investing. Karns says that we haven’t seen a pricing correction yet, but the timeline for transactions has gotten longer. With interest rates expected to rise, Karns says that this year could be a turning point. We sat down with Karns for an exclusive interview to talk about how the pull out of Chinese investment is affecting the commercial market in Los Angeles and what a pricing correction could mean for the market.