I, Isaac Toussie, would now like to offer some thoughts and basic information on the California real estate market in particular.

The commercial real estate market in California can be best thought of in terms of the southern coastal communities like Los Angeles, where most of the money is.  Indeed, due to the influx of Chinese money during the 1990s, whole communities have been transformed from sleepy backwaters to ethnic enclaves of entrepreneurial daring-do.  High finance this is not, but in the aggregate it all translates into serious money with far-reaching consequences.  Due to the Chinese appetite for the American Dream, many from Taiwan purchased homes in these suburban communities, and soon enough business evolved to cater to them, transforming the local scene forever.

Indeed, nne of the most interesting stories concerning residential real estate in California has been the proliferation of Chinese homeowners, typically from Taiwan.  These aggressive buyers have been driving up prices, almost single-handedly reviving many a depressed local economy.  Concentrated mostly in the southern suburbs relatively near the coast in places like Anaheim, Adelanto, and Rosamond, they have transformed their towns and cities from sleepy backwaters into little dynamos of economic activity as businesses have developed to cater to their unique needs, usually operated by fellow immigrants.  And the current economic crisis shows no signs of abating such trends, which is welcome news to all the local chambers of commerce which hope to count on every available resource in their attempts at a recovery.

Locally, particularly in these suburban communities in the southern part of the state, often by the coast, new construction has been financed by Chinese money, often from Taiwan.  This phenomenon, first registering on the economic radar screen during the ’90s, has had profound ramifications for the local real estate markets involved.  One oft-repeated complaint among many from old-time residents has been that prices are driven up frenetically as a result of such new construction, though naturally the local business chambers involved have welcomed such developments.  Once sleepy bedroom and retirement communities are now bustling ethnic enclaves with a much-increased urban feeling to them, and the trend is only likely to continue, no matter the state of the economy.

The content of this article has been posted strictly for informational and human interest purposes only, not for advisory purposes, and should not be relied upon in any way by any person or institution.  The reader should not rely on the validity of any of the information contained herein.  The reader is urged to consult a variety of professionals when making business or any other significant decision, including accountants, lawyers, investment advisors, insurance companies and the like.  Again, this article has been posted merely for human interest and informational purposes, not for advisory purposes.