Blog Archives

Invest in Real Estate But...Which Type?

4/22/2013

There is no dispute that more millionaires have been created in real estate than in any other industry. Subsequently, many new investors are already inherently comfortable with and recognize there is value in real estate. So the question many new AND existing investors ask is, “What type of real estate should I invest in?”

There are many types of real estate investments. To name a few:

Single Family Homes include town-homes, a small building with under 4 living units (e.g. duplex), vacation homes, etc.
Apartments are buildings with 5 or more living units.
Tax liens are imposed on a property by law to secure the payment of past due taxes. Property taxes are important to local and county governments that depend on them to provide services for the public (e.g. maintain roads, fire department, schools, etc.). An investor can purchase the tax lien certificate thereby giving the local or county government cash to continue its operations; and if the home owner does not pay up the past due taxes plus interest to the investor, the investor may be

entitled to take ownership of the property. Certain states sale property at auction outright where the minimum
bid are the past taxes owed, known as a tax deed instead of a tax lien certificate.

Industrial Real Estate includes storage units, car washes, manufacturing, etc.
Commercial Real Estate includes office buildings, retail shopping, etc.
Mixed-Use Real Estate includes a combination of the previously mentioned types of real estate.

Although there are various types of real estate it’s EXTREMELY IMPORTANT to understand that most of them, especially the ones mentioned above, fall into one category: developed real estate. While developed real estate has proven to be profitable it leaves an entire real estate investment category untapped by the masses: pre-developed real estate.

Not to be confused with undeveloped real estate [land not near development], pre-developed real estate is land that is nearby and in the path of existing developed real estate. The growth in value of pre-developed real estate is closely linked to the growing population, infrastructure, and development in the area. As a region grows (increased demand for land) and the supply of land decreases the value for pre-developed real estate rises exponentially. Every 12-15 years our planet adds about 1 billion people, investing in pre-developed real estate simply means to buy land in an established community that the existing and new population will live in.

In short, there are several types of real estate but only three real estate categories: undeveloped, pre-developed and developed. It is essential in any real estate investment to know what you’re doing an exactly how to do it. When purchased correctly pre-developed real estate can provide superior returns with low risk. That is why so many high net worth individuals invest in land. So before getting into your first or next real estate transaction make it a point to learn the ins and outs of pre-developed real estate.

“The major fortunes in America have been made in land.” – John D. Rockefeller

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First Chinese Automobile Factory in USA

4/17/2013

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California Governor Jerry Brown announced yesterday that electric car and bus manufacturer BYD would open the first Chinese-owned automobile factory in the USA in Lancaster, CA. BYD is the largest supplier of rechargeable batteries in the world. BYD plans to leverage their market position and long standing leadership in the rechargeable battery industry to solidify themselves as a market leader in electric automobile manufacturing.

BYD opened their automotive U.S. headquarters in downtown Los Angeles in October 2011. On March 25th, 2013, the city of Long Beach awarded a $12.1 million contract to purchase 10 all-electric buses and charging equipment to BYD. The BYD all-electric buses will be built in Lancaster and placed in service in 2014.

On another note, in 2008, Warren Buffett purchased a 10% stake in BYD; the most he was allowed to buy.

Learn more about the BYD all-electric bus, WATCH THE VIDEO BELOW:

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City's Redevelopment Plan Still Working

4/1/2013

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In 2010, Lancaster Boulevard, underwent a dramatic transformation through a complete streetscape redesign. This short-lived program is having a lasting positive effect in Lancaster’s downtown area now known as “The BLVD”. More than 50 new businesses have rushed into the area and the area continues to grow.

In 2012, the city of Lancaster received the California Redevelopment Association (CRA) Award of Excellence for The BLVD Transformation Project. Lancaster was selected from among more than 400 redevelopment agencies in California for the annual award.

Today, The BLVD is the Antelope Valley's premier destination for shopping, dining, and entertainment. For more information on The BLVD, events, photos/videos, and a list of businesses please visit: theblvdlancaster.com

A key point is that this area is growing and it's growing very fast. The success of the The BLVD project has led the city to commit to investing in other redevelopment efforts over the next few years.

There is no surprise that as this city continues to mature the few investors that know how, when, and where to invest will achieve superior results.

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Author

Christopher Meza, a Los Angeles native, has over 15 years of investment experience. With a Bachelors of Science in Computer Science and Electrical Engineering, he has worked for Fortune 100 companies like IBM and The Boeing Company. Due to his remarkable investment savvy he has retired at a young age and now spends his time investing and teaching others how to achieve financial security.

Christopher Meza is a nationally recognized speaker and Land Banker. He was chosen as one of the world’s leading experts in land investing to keynote the “Success In The New Economy” conference with Steve Forbes, Chairman and Editor-in-Chief of Forbes Magazine. Christopher is also a co-author of the Best-Selling book “SuccessOnomics” with Steve Forbes.

Christopher Meza has also been interviewed on the Brian Tracy Show hosted by the legendary Brian Tracy. Christopher's feature interview can be seen on ABC, NBC, CBS, and FOX affiliates across the country.