Buy well. Sell well. Represented properly.

Three methods bracket the answer, and a credible opinion uses all three: recent sale comparables adjusted for condition and location, the income approach applied to in-place net operating income, and price per square foot against competing product. Where they disagree, that gap is the real conversation, and on specialty assets the comparable and income approaches routinely land far apart. Ask for the assumptions behind any number you are given, not just the number.

A broker opinion of value, or BOV, is a licensed broker's written estimate of what a property would sell for today, supported by comparables and an income analysis. It is faster and less expensive than an appraisal and is used for decision-making: whether to sell, how to price, what to expect at refinance, or how to value a partnership interest. It is not a substitute for an appraisal where a lender or a court requires one. We provide BOVs on Los Angeles commercial property at no cost to owners considering a sale.

Commission is negotiable in California and is set in the listing or representation agreement before marketing begins. It is normally a percentage of the sale price, paid at closing out of proceeds, and typically split between the listing side and the buyer's side. What matters more than the headline number is what it covers: whether marketing, photography, and the offering memorandum are included, whether there is a minimum fee, how long the protection period runs after expiration, and what happens if you find the buyer yourself. Get all of that in writing and compare total cost rather than the percentage alone.

Plan on three to six months from listing to close for a well-priced asset, and longer for anything with a story. Marketing and offer negotiation usually run 30 to 90 days, due diligence 30 to 45, and closing another 30, though a buyer using SBA or agency debt will extend that. The variables that move the timeline most are pricing against real comparables, the quality of your rent roll and lease documentation, and whether deferred maintenance surfaces during inspection. Assembling the leases, rent roll, and operating statements before you list is the single most effective way to compress it.

It depends on who the buyer is. An investor is buying the income stream, so a stabilized rent roll with credit tenants and term remaining usually prices better. An owner-user is buying the building to occupy it, and vacancy is what makes that possible, which is why owner-user pricing frequently exceeds investor pricing per square foot in Los Angeles. On multi-tenant assets there is often a middle path: recapture the space that is already on month-to-month holdover, leave the performing leases alone, and market to both buyer pools at once.

Often yes, and it is the most underused path to ownership for Los Angeles business owners. SBA 504 financing allows an owner-user to acquire commercial property with a materially lower down payment than conventional debt, provided the business occupies at least 51 percent of the rentable square footage. On a multi-tenant building that test can frequently be met by recapturing units already on month-to-month holdover, without disturbing a single performing lease. Terms, eligibility, and occupancy rules are set by the SBA and your lender, so confirm current requirements with them before writing an offer.