Carefully designed contracts for construction projects in California could prevent or limit disputes among owners, developers and contractors. Clear terms that require documentation of all costs and set procedures for changes have the potential to protect a building project from cost overruns or expensive delays.
Just as Bitcoin and other cryptocurrencies are sparking interest among many entrepreneurs in Southern California, the potential of blockchain technology could also be a boon to commercial real estate investors. Blockchain allows information to be distributed through a digital ledger and shared widely. This decentralized system allows transactions to be completed and recorded reliably. While a blockchain technology underlies Bitcoin, Ethereum and other cryptocurrencies, it offers a wide range of potential future applications, including the ability to be exploited as a digital contract mechanism for real estate transactions.
Many commercial properties in California come with high price tags, but prices have begun to stabilize after years of growth. Price tracking at one online real estate marketplace indicated a small 0.2 percent rise in the August 2018 price index. Looking back at a full year, the marketplace calculated year-over-year growth at a modest 0.4 percent.
As California companies get bigger, they generally need more space to function in an efficient manner. In some cases, this means buying a warehouse or a larger manufacturing space. In others, it could mean buying a larger office to accommodate more workers joining the company. When purchasing commercial real estate, it is important to consider how it helps the business both today and in the long-term.
Investors in commercial real estate projects in Los Angeles may be curious about how the technological developments that are constantly taking place can be used to maximize their return and promote their projects. Technology specifically for real estate development is a growing market, especially as tenants of a building can generate significant data that can help investors, developers and others make decisions about what features are important and how they can attract high-value tenants. By learning more about the needs and wants of building tenants, managers of these properties can determine new ways to generate revenue.
In a commercial contract case sure to generate interest in the Los Angeles, California area, two famous rap artists are being sued for breach of contract related to a startup company. The case presents an example of why contracts should be in writing.