Uses for MR1 Properties in Los Angeles
I have an option to purchase an MR1 lot in a great location in LA but I'm skeptical regarding uses for this kind of land. I considered rezoning to commercial and selling to a developer, but as I understand it the city is currently very reluctant to approve these kinds of requests and commercial development is very slow because of high interest rates. I'm looking for insights regarding creative uses for MR1 lots (currently there are 4 auto repair shops on the 14k+ sqft lot).
What kind of buyers would be interested in a lot like this?
How can I increase income from this property?
How can I maximize the selling value?
@Noa Zell, here's the actual language defining MR1 zoning:
https://codelibrary.amlegal.com/codes/los_angeles/latest/lap...
I'd study this and see if any allowable use would generate more rental income than auto repair shops.
#3 Land & New Construction Contributor
- Developer
- Fort Myers Beach, FL
- 127
- Votes |
- 242
- Posts
#3 Land & New Construction Contributor
- Developer
- Fort Myers Beach, FL
Quote from @Noa Zell:
I have an option to purchase an MR1 lot in a great location in LA but I'm skeptical regarding uses for this kind of land. I considered rezoning to commercial and selling to a developer, but as I understand it the city is currently very reluctant to approve these kinds of requests and commercial development is very slow because of high interest rates. I'm looking for insights regarding creative uses for MR1 lots (currently there are 4 auto repair shops on the 14k+ sqft lot).
What kind of buyers would be interested in a lot like this?
How can I increase income from this property?
How can I maximize the selling value?
@Noa Zell Agreed with @Jon Schwartz on first identifying the allowed uses in the MR1 zone and then reach out to the Planner to discuss the options for permitting those uses and the timing. We do a TON of commercial real estate development in LA and all over CA. Finding the highest and best use for the land is exactly what developers do and if you can get creative in your concepts that's where you'll find ways to maximize returns that others might not see and could allow you to move forward even in today's market and hurdles like interest rates.
Thank you @Jon Schwartz and @Kristi Kandel!