Robust demand in California cities like Los Angeles, San Diego and San Francisco has helped most segments of the commercial real estate market to recover virtually all of the losses caused by the 2008 financial crisis and ensuing years of recession, but many industry observers are becoming increasingly concerned about the persistently sluggish retail sector. Empty stores are a common sight in many of the country's shopping malls and arcades, and retail vacancy rates across the nation remain at a disconcertingly high 16 percent.
Coworking and other trends in office space
Purchasing and renting out office space is one way to invest in California commercial real estate. If investors are interested in generating this type of an income stream, they may want to do some research on the type of spaces that both local and national companies are looking for. These days, many businesses are interested in renting more than just spacious offices or large rooms full of cubicles.