Hana Cha is managing director of New Development for Compass California after having held the same title at The Agency. Over the course of her career, she’s overseen more than $500 million in new development sales transactions.
We spoke to Ms. Cha about what’s next in new development both in her home state of California and around the world.
Mansion Global: Describe your dream property.
Hana Cha: Close to the beach, but not on the beach, because maintenance of homes on the beach is a pain. I’d want views of the water and to be able to stand on the balcony and smell the ocean.
MG: Do you have a real estate property that got away?
HC: There have been so many in the last few years since the recession. There was a townhouse in Marina Del Rey that I looked at in 2010. It needed some work, but was on the market for $700,000. Now it’s worth over a million and a half dollars.
MG: What does luxury mean to you?
HC: It’s really about services and amenities, and living somewhere that’s convenient and secure.
MG:What area do you think is the next hub for luxury properties?
HC: I think it’s all headed east—Silver Lake and Echo Park. Those will be the next "it" spots for over-$4 million properties.
MG: What’s the biggest surprise in the luxury real estate market now?
HC: Developers in new developments are underwriting their projects with really large numbers, and with so much new development in the pipeline, it’s not realistic. People are looking for $2,000 to $3,000 per square foot for new condo buildings. I just can’t see that happening.
MG: Where are the best luxury homes in the world and why?
HC: On a global scale, South Korea, Hong Kong, Taipei and Australia. Those are leaders in terms of what luxury is—knowing that it’s not just about design, but the full-service component. Buyers in those markets are willing to pay for that.
Buyers on the West Coast are a little behind when it comes to appreciation of starchitects. People in those global marketplaces, and in New York, too, really understand how great it is to have everything you need without leaving your building.
MG: What’s your favorite part of your home?
HC: That I’m walking distance from the beach.
MG: What best describes the theme to your home and why?
HC: My place is contemporary, but I like to call it girly rock and roll—I have a great chandelier, lots of mirrors. There’s a lot of silver, greys and a little bit of gold.
MG: Most valuable thing in your home?
HC: Probably my shoe closet.
MG: What’s the most valuable amenity to have in a home right now?
HC: 24-7 concierge and security. That means an actual person you can call and talk to, not an app, or an automated system.
MG: What’s your best piece of real estate advice?
HC: Stay one step ahead of the trends. It’s not just about comparable pricing in that specific marketplace. It’s about understanding the inventory and upcoming inventory and how that can affect price trends. If there’s a lack of product, there’s demand for it. Understand the present and future.
MG: What is the best area now for investing in luxury properties?
HC: Inglewood and and the outskirts of South L.A. Most of the major pockets in the city are already there. And with a new NFL stadium coming, you’ll see huge demand for rentals, so it’s a good time to buy there.
MG: If you had a choice of living in a new development or a prime resale property, which would you choose and why?
HC: New development. New is better, better than self maintenance.
MG: What area currently has the best resale value?
HC: Mar Vista and Castle Heights. They’re both doing well, with an opportunity for more appreciation.