Resurgence of Live/Work Loft Projects In Newport Beach
Newport Lofts is the first live/work loft project in the market for more than 10 years, but it is the first of many to come.
Live-work lofts are making a comeback. The Lofts in Newport is the first live-work loft development to come to the market in more than a decade, and it is the first of several loft and live-work loft projects slated for development in the area. A resurgence of demand for lifestyle product and a short supply of live-work lofts has catalyzed the new development trend.
“The Lofts are spearheading the revival of live-work development in this neighborhood of the Lido Marina,” Andrew McDonald of the Agency, tells GlobeSt.com. “This is a growing trend, and it is something that we will see more of in the area. There are currently 15 different loft projects that are in permitting. Not all of them are live/work, but several are, and all of them are end-user.”
The last live/work project came to the market in 2004, but since, development and design style has changed. Today, people are looking for warmer more modern spaces. “Lifestyle buying picking up, and people are catching onto the idea of the modern coastal vibe,” says McDonald. “The live-work lofts that had been built in 2004 are a totally different product. These are warm space with lots of natural light and a functional open floorplan, and that is attractive to people. Most lofts are too industrial, but this is a home above an industrial workspace. It is very popular, and it is a surprise to people to find that this is even available. We are an anomaly.”
Modern lofts aside, there is a shortage of lofts in general. McDonald estimates that only 3% of the older product turns over every year. “There has been a shortage of live-work luxury lofts in Newport Beach,” he says. “There is a very low turnover in the area, less than 3% per year, so access to this type of product, which is a lifestyle that people are wanting more and more, is really tight. When these modern live-work buildings go up, it is a big deal.”
As a result, there has been healthy interest from a wide variety of buyers in both traditional and creative industries. “We are getting frequent inquiries from all types of prospective buyers, but primarily from professional offices,” says McDonald. “It is broad because people want these spaces and there is a shortage of live-work luxury lofts.” The Lofts are currently on the market.