Over the past decade, Los Angeles experienced a significant surge in apartment rent prices. The combination of high demand, limited supply, and various economic factors pushed rents to new heights. However, in recent years, the growth of apartment rents in the city has seemingly come to a halt. While this might come as a surprise to some, several factors have contributed to this. Renters in Los Angeles are still paying top dollar and historically rents are still at an all time high. While rents are still technically growing, the growth at which they are, has slowed dramatically. According to Costar Analytics rents are at $2.85 per square foot as of this month, which is up slightly from $2.83 per square foot per month at the end of last year With rising interest rates and inflationary pressures, the slowdown in rent growth has given pause for active apartment investors in LA County. While many investors are sidelined, we are seeing new construction continue to be on the rise in LA County. This may be contributing to an increase in vacancy rates across the county as new units begin to hit the market increasing overall supply. Costar Analytics also estimates that Los Angeles apartments will continue to hold flat through the remainder of the year. All of the above will only keep buyers sidelined as the disparity between seller and buyer pricing expectations continues to persist.
Peter JamesPeter James is a First Vice President at Lyon Stahl Investment Real Estate and Co-Founder of The James Group, one of Southern California’s premier investment brokerage teams specializing in multifamily sales. Since beginning his career in 2007, Peter has established himself as a leading advisor in the Los Angeles apartment market, with extensive experience in the acquisition and disposition of multifamily assets throughout the Westside and surrounding submarkets.
Peter’s expertise extends beyond traditional brokerage to include complex 1031 exchanges, where he has successfully transitioned clients into single-tenant NNN properties and Delaware Statutory Trust (DST) investments across the country. His analytical approach, in-depth market knowledge, and dedication to client success have earned him a reputation for maximizing value and guiding investors toward long-term, tax-efficient real estate strategies.
As Co-Founder of The James Group, Peter has built a collaborative team known for its integrity, market insight, and commitment to excellence. His strong relationships with lenders, attorneys, and accommodators ensure that each transaction is executed seamlessly and strategically aligned with his clients’ financial goals.
Outside of work, Peter and his wife Jessica enjoy spending time outdoors with their daughters Dylan and Daphne, whether surfing, snowboarding, or exploring the California coast and mountains. He is a graduate of the University of California, Riverside.
