The Number

Economist Jeff Meyers delivered a report about Porter Ranch real estate on Feb. 2, in which he noted that the highest-priced homes in the neighborhood are selling for more than $2 million. The president of Meyers Research in Beverly Hills noted that the updraft in real estate prices is evidence that the market has overcome any lingering effects of the nearby Aliso Canyon gas leak, and it appears the future looks even clearer. “That’s obviously a milestone to be selling houses north of $2 million,” Meyers told the Business Journal. “Despite the continued discussion (about the gas leak), it’s getting further and further behind us.” The event was sponsored by Toll Brothers, the Horsham, Penn.-based homebuilder that has several projects in Porter Ranch. The most recent is Westcliffe, where Meyers’ presentation was given in a model home. Meyers said Porter Ranch has emerged as the nearest enclave where luxury homes can be built in Los Angeles County. Land is plentiful in Santa Clarita and the Antelope Valley, but distance to work poses a problem, while Calabasas and Westlake Village – which until recently had vacant land – are now built out. “This is one of the closer-in communities where you can buy a brand-new luxury home,” Meyers said. “I wouldn’t have said that a decade ago.” The other option for a new home, Meyer explained, are infill developments, which often take advantage of small-lot zoning ordinances. These can have street frontage as narrow as 20 feet, and only a 6-inch gap between houses. Toll Brothers’ Westcliffe development features homes in the $1.3 million to $1.6 million range. The company also has the Avila collection with homes between $900,000 and $1 million, a price point Meyers sees as ideal in L.A. “These are mostly move-up luxury homes, underneath $1 million, and they should find a receptive market for this product line,” he said. – Joel Russell