The Cachet of Historic Properties Hits Retail

Historic properties in Los Angeles are getting a new life. Tenant demand for renovated historic properties is high, especially in the office market. In Downtown Los Angeles, there are numerous historic buildings in redevelopment. The trend isn’t reserved for office properties, however. Retailers are also attracted to historic spaces for their charm and individuality—and their customers are too. Unfortunately, historic retail properties are rare in Los Angeles, so when product does become available, competition is high.

“The trends change so often in retail, and in office it doesn’t change as frequently,” Gabe Kadosh, VP at Colliers International, tells GlobeSt.com about the trend for historic office properties in retail. “Historic spaces tend to be larger. In office, you can cut spaces down and still have a cool, open space. In retail, there is no perfect size, and retail has so many caveat that it can be tricky to do. The infrastructure that is involved with plumbing and electrical is also so expensive, so to turn an older building into a restaurant or retail space is a really risky move.”