By Ramsey Judah
Before September 2016, the city of Inglewood was just another sleepy real estate market in South Los Angeles where home values would rise slowly. It was easy to find an affordable home with a good sized layout and yard.
Then came the announcement that month in 2016 that the Rams have chosen Inglewood as the location of their stadium accompanied with a beautiful malls, hotels and commercial centers at the tune of $3 billion. Then the Inglewood housing market was lit with a blow torch as investors and buyers flooded the area causing home prices to soar.
Today, the market is still on the rise as inventory is relatively low and buyers are fighting over what does come on the market.
The real estate value increase in Inglewood is not due to simply the Rams stadium. There are many towns across the country that have professional stadiums and leave no real effect on the surrounding real estate.
But the minds behind this project want to create a whole new environment full of malls, hotels, commercial centers and recreational activities. This is actually the part of the project that will change the market.
New, well-designed commercial centers bring a lot of commercial activity with it. It brings new businesses, jobs and slew of people looking for a new place to live closer to work. This, in turn, causes rent and home values to go up because of the influx of new home-seekers.
The stadium effect is also raising home values in surrounding towns along the I-405. Towns like Lawndale, Gardena and Westmont are seeing a surge in pricing as buyers anticipate a consistent demand in housing which would continue pushing up values.
Although not everyone is happy about the high demand in housing brought by the stadium project because it of its break-up up long-standing communities in these areas, many others are very happy to see their home equity values increasing substantially.
The project is slated to be completed in 2019, which means the next couple years will most likely continue to see buyers purchasing properties in anticipation of short-term and long-term growth. It will be interesting to see how the market reacts to the project’s completion. Will demand still be be really high or will demand cap off pushing buyers to go more east? Time will tell.