Leading CRE publication, Shopping Center Business News, published an article highlighting coming trends in West Coast retail in their September edition.

And CBM President, Rick Rivera, was among the “West’s most experienced retail players” interviewed for the piece.

Here’s a excerpts from the article with Rick’s quotes about the Southern California retail real estate trends…

“Landlords are pleading for credit tenants.” Rivera says. “They want to fill their vacancies with A+ credit tenants on long term NNN corporate guaranteed leases.” Rivera believes it’s post-recession jitters and a conscious effort not to repeat the past that has led man landlords to seek out the best of the best, not that the tables have turned and man have that option.

“After the riding out the Great Recession and the shambles it made of the SoCal commercial real estate market, landlords and investors want security and peace of mind. Long term NNN leases with corporate guarantees offer stability.

And they are confident that these businesses – large, established companies – are highly unlikely to go out of business or close a location for mediocre performance. And even if they do, guaranteed leases provide peace of mind that landlords will still get their money.”

Click here to download a PDF of the entire article…


Santa Monica, CA – September, 2015, Centers Business Management (CBM), was awarded the property management account for the Converse Store on Santa Monica’s fame retail corridor – the Third Street Promenade.

Centers Business Management (CBM) has just been awarded a new property management account for the Converse Store at 1437 Third Street, situated on the Third Street Promenade, amid Santa Monica’s bustling open air retail shopping complex. Top producing CBM property Manager, Pamela Ozell, has been selected to handle the new account. CBM will strictly handle property management for the 7,500 SQFT single tenant street retail property.

Opened in January, 2012, this location marks Converse first consumer direct retail store on the West Coast. The store is situated in a spectacular retail location on the Third Street Promenade. This pedestrian only corridor is Santa Monica’s most celebrated shopping, dining and entertainment centers, and one of greater Los Angeles most notable retail venue. The Promenade plays host to countless A+ national retailers, including The Apple Store, Barns & Nobles, Lululemon Athletic, Pottery Barn, REI, Victoria’s Secret, H&M and 270 more.

“A high profile tenant like Converse in a prime a location like the Third Street Promenade makes a great addition to our portfolio,” says CBM President, Rick Rivera. “We lease and manage 600+ retail properties throughout Southern California, but not many like this. That we were tapped to handle this property is another example of our growing reputation,” Rivera adds. Account manager Pamela Ozell, who’s managed properties in high profile locations like Beverly Hills’ Golden Triangle, says “I’m excited to be managing the Converse store. It’s unique among the properties in my portfolio. And represents a great opportunity to learn and expand my property management horizons.”

To find out more about CBM or their new management account on Santa Monica’s Third Street Promenade, please contact: Rick Rivera 310.575.1517 x201 | rickr@cbm1.com.

**View site photos on our Facebook page…

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By LA Times, Friday, July 31, 2015

L.A.’s general fund stands to gain from proposed DWP rate hikes

Officials have argued that a series of increases in Los Angeles water and power rates are needed to improve the city’s crumbling water pipes and aging utility poles and to boost water conservation.

But the proposed hikes in Department of Water and Power bills could have another beneficiary as well: L.A.’s annual budget for general spending, which could climb more than $100 million if the City Council signs off on the five-year package of increases.

By 2020, the utility could provide an extra $108 million per year for the general operating budget, which pays for police, firefighters and other basic services, according to projections provided by DWP officials. That’s because the agency’s power division generates both utility taxes and a yearly payment to City Hall that officials describe as a DWP surplus.

The DWP, whose finances are considered separate from general city operations, has requested the higher rates to help it comply with requirements to shift to renewable energy and address a formidable infrastructure backlog, such as the replacement of power poles and transformers. But indirectly, the increases would provide Mayor Eric Garcetti and the council with added income to spend on a wide range of non-DWP programs and services.

Representatives of Garcetti and the DWP said the push for higher electrical rates is motivated by issues facing the utility, not the demands of the city budget.

“Our proposed power rate increase is driven by the need to invest in the replacement of aging infrastructure and continue transforming our city’s energy supply … as well as to expand energy efficiency programs to help our customers reduce their energy use and save money,” DWP spokesman Joe Ramallo said in an email.

Much of the budget windfall could come from the DWP’s yearly payment to City Hall, which reached $266 million last year. If the rate hikes go into effect, it could grow to $327 million by 2019-2020, assuming the current 8% transfer of electrical operating revenue continues.

DWP officials say that without the rate increases the transfer to the city general fund would grow more slowly, reaching $279 million in 2020.

City officials have long defended the transfer, saying it’s a benefit of having a publicly owned utility. But some ratepayers have filed legal challenges over the practice, saying that raising rates, and then transferring some of that money to pay for basic services, violates state law.

Richard Close, president of the Sherman Oaks Homeowners Assn., said residential ratepayers already pay City Hall a 10% tax on electricity. If they are forced to absorb higher rates, the DWP should stop declaring it has extra money to shift to the city budget, he said.

The yearly DWP transfer payment is “just a fake tax,” he said.
cComments

Because of the transfers over the past 20+ years, DWP, under the guidance/control of a Mayor’s appointed Board, always postponed needed infrastructure maintenance to soak in more cash. Then the very same people who spend the transfer money and appointed the Board publicly act surprised…

The city’s general fund budget is $5.4 billion. For years, mayors and council members have struggled to pare down a structural budget deficit and free up funds for initiatives such as sidewalk repairs and cuts in business taxes.

DWP officials are hoping for a council vote on the proposed water and power rate hikes in December, which would allow the increases to take effect in January. They are seeking to boost the typical household power bill by an average of 3% each year for five years and typical household water rates by an average of 3.8% each year over the same period.

Operating revenue transferred to the city’s general fund budget comes exclusively from the DWP’s electrical side.

How long those payments can continue is a legal question now before the courts. Ratepayer advocates have filed multiple lawsuits arguing the transfer payments to City Hall violate Proposition 26, a voter-approved 2010 state ballot measure that prohibits government agencies from charging more for certain services than they cost to provide. Attorney Walt McNeill, who represents the plaintiffs in one of those cases, said any DWP rate hike would likely be added to the lawsuits.

If the transfer of funds to the city budget is struck down, officials could be forced to repay more than a billion dollars to the DWP, McNeill said. “I guarantee you it’s going to be painful for them to cope with that,” he said.

City Administrative Officer Miguel Santana, a high-level budget official, said his office is not counting on any of the money that could be produced by an electric rate hike. He defended the concept of the DWP transfer, saying it makes up less than 5% of the city’s general budget and is “part of the return on investment that ratepayers experience.”

“It goes … to provide services that all Angelenos rely on,” he said.

Jack Humphreville, a frequent critic of DWP decisions, said the utility’s current rate hike proposal is appropriate. But the transfers to the city budget, he said, have deprived the utility of money needed to maintain and upgrade its operations.

View original article…


CAN YOU BELIEVE IT?

The ICSC Western Division Convention is RIGHT AROUND THE CORNER!

Actually, the powers that be at ICSC are a little behind schedule this year…  This is the latest they’ve every delivered booth assignments.

But we can’t complain too much, because once again we’ve been given a Main & Main Prime End-Cap location adjacent to the convention hall’s main entrance!

We’re at Booth #503 — see our location on the convention hall map below…  We’ll have lots more updates as the event approaches, so stay tuned!

ICSC Convention Hall Layout 2015(click image to enlarge)

 


New Retail Lease on Prime Ventura Boulevard (Sherman Oaks)

The Postal Annex just signed a lease for a space in a retail shopping center at the corner of Ventura and Allot in prime Sherman Oaks. The Post Annex agreed to take an approx. 1, 140 SQFT unit in a corner street retail property.

The well-maintained property features a rear parking lot with automated parking attendant, and high visibility signage fronting out Allott Avenue. The property’s co-tenants include Starbucks and Blazing Saddles Indoor Cycling (spinning classes).

“Postal Annex is a great tenant, the property ownership group is really pleased to have them,” says CBM property manager and leasing specialist Pamela Ozell, who manages and represents the property.”And The Annex is really an ideal tenant for this location. Both Starbucks and Blazing Saddles patrons use the parking lot for extended periods. Post Annex patrons, on the other hand, tend to be in and out quickly,” Ozell adds.

For more on CBM property management and leasing, visit our Services on cbm1.com.


CBM wishes you and yours a very happy 4th of July!

Please be safe as you enjoy the holiday with family and friends.

P.S. Needs something to do between busting your gut with BBQ’ed hamburgers and hotdogs, and taking in the evenings fireworks? Why not visit CBM’s social media pages? We’ve got several to choose from. And we share TONS of great retail real estate related info, articles and more. Stop by and see for yourself…

www.facebook.com/cbm1la

www.twitter.com/cbm1la

www.linkedin.com/company/centers-business-management

plus.google.com/+CentersBusinessManagementLosAngeles


Congratulations to CBM’s retail leasing team for another banner year!

CoStar Power Broker – Top Broker Award

 

Averaging over 30 deals a month, CBM’s leasing agents completing nearly 400 transactions.

Three leasing agents in particular — Alex Shabani, Dave O’Connell and David Levcovitch — deserve high praise for earning individual 2014 CoStar Power Broker Awards.

CBM INDIVIDUAL COSTAR POWER BROKER AWARD WINNERS

Alex Shabani (4th year in a row!)
West LA Retail Leasing Specialist
310.575.1517 Ext. 218
Alex@cbm1.com

Dave O’Connell (3rd overall win)
Valley Division Leasing Director
818.380.9966 Ext. 32
Dave@cbm1.com

David Levcovitch (4th overall win)
West LA Retail Leasing Specialist
818.380.9966 Ext. 22
DavidL@cbm1.com

Here’s to their outstanding effort in 2014, and continued success in 2015 and beyond!


CoStar Power Broker – Top Firm Award

 

Los Angeles, CA – April, 2015, Centers Business Management (CBM) wins a 2014 CoStar Power Broker Award for leading SoCal leasing brokerages in retail leasing transaction volume.

CoStar, industry leading Commercial Real Estate Research Database firm, announced Centers Business Management (CBM) as a 2014 Power Broker Award. For the 6th year in row, CBM has earned this renowned industry award. Once again leading all SoCal retail leasing brokerages, CBM averaged over 30 deals a month, and completed 396 total leasing transactions. Several CBM retail leasing agents also earned individual Power Broker Awards. Valley Division Leasing Director, Dave O’Connell; long-time Encino retail leasing specialist, David Levcovitch; and West LA retail specialist, Alex Shabani ranked among the firms top three award winners.

“I need to make space on my awards shelf!” CBM President, Rick Rivera quips as he clears space for CBM’s 6th Power Broker Award. “Consistently winning a Power Broker Award really says a lot about the quality and skill of our leasing team,” Rivera says of CBM’s retail leasing agents. “The quality of the deals done by the agents is what I am most proud of. CBM still services our clients with Mom and Pop tenant bases, but the agents wrote over a hundred leases with local, regional and national chain tenants on class A shopping center space. But our team remains competitive by keeping it old school. They canvas. They talk to tenants in the territories they handle. They network with Tenant reps. Our guys aren’t afraid to pick up the phone. And it equals more contacts and more deals,” Rivera further adds.

“I’m honored to be receiving another CoStar Power Broker award,” states Valley Division Leasing Director, Dave O’Connell. “It proves tenacity, professionalism, market knowledge and strong co-broker relationships pay dividends in this competitive industry. The team behind you and platform supporting you is key to a broker’s success. I’m fortunate to have the best of both supporting me here at CBM,” Dave adds. “I’ve put in a lot of hours to build my business to this level. And it’s nice to see my efforts recognized,” West LA retail leasing specialist Alex Shabani says of earning his third straight Power Broker Award.

This year’s transaction volume is likely to exceed 2014, CBM has already completed 110 transactions in the first quarter of 2015. Storming out of the gate with this deal volume, Rivera and company are looking forward to another outstanding year.

To find out more about CBM’s retail leasing and property management services, please contact Rick Rivera at 310.575.1517 Ext. 201 or rickr@cbm1.com.

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A CBM Original

Los Angeles, CA – February 3, 2015 – ISCS Hosts Annual Idea Exchange

for immediate release

The International Council of Shopping Centers (ICSC) hosted their annual Southern California Idea Exchange this Wednesday, February 3rd at the Los Angeles Convention Center in Downtown Los Angeles, adjacent to the Staples Center and LA Live Complex. 800+ attendees and exhibitors, from across the commercial real estate spectrum, including tenants, landlords, brokerages, lenders, and a variety of service vendors, gathered to learn, network and deal make.

This year’s Idea Exchange expanded on the event’s usual format, which typically incorporates a luncheon and keynote speaker, to include a Retail Round Robin. This new feature is similar to the popular Retail Live show (a tenant only trade show), and ACRE’s reoccurring 60 Tenants in 60 Minutes event. Billed as a revamped Retail Runway, Pat Donahue, of Donahue and Schriber, moderated four 20 minute session in which pairs of retail tenants and developers “sold” their qualifications to one another, and the assembled attendees.

Rex Hime, CEO of California Business Properties Association, ISCS chief lobbyist, offered his update all the latest happenings in California government. In addition, luncheon attendees were treated to thoughtful and thought provoking keynote address from Forrester Research’s Senior Analyst, Sucharita Mulpuru-Kodali. The Harvard educated, Mulpuru-Kodali delivered an address entitled “Five Myths of Bricks and Clicks.” The well-executed presentation dispelled many common myths about ecommerce, and its impact on retail businesses.

During the deal making session, the event’s centerpiece, the action was intense, with masses of attendees crowding the isles between the six double rows of exhibitors. Centers Business Management (CBM) exhibited at the event, and entertained a steady stream of visitors and inquires. “The outlook was incredibly positive, everyone seems really upbeat” said CBM Retail Specialist Alex Shabani. “Most upbeat show I have seen in years. I’ve personally sent out tons of sites in the past 24hrs directly to tenants I met and spoke with at the show. I’m sure there will be deals done in 2015 from this meeting,” CBM’s Leasing Director Geoff Grossman added.

To find out more about ISCS, visit them online at: www.icsc.org. For more information CBM’s retail leasing and property management services, please contact Rick Rivera at 310.575.1517 Ext. 201 or rickr@cbm1.com.

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a CBM original…

Santa Monica Based Dynamic Development Company Launches New Mobile Optimized Website

Santa Monica, February 2, 2015, SoCal retail property development specialists, Dynamic Development Company, launch new website optimized for smartphone and tablet computer users.

Visit DynamicDevCo.com to learn more about their retail property development, design and construction services, and see a list of current and former clients.