San Pedro is a coastal area of Los Angeles that is often overlooked due to its reputation as a commercial port. However, recent developments such as the West Harbor project, which is set to open next year, aim to change that reputation. We expect that this will significantly change the real estate landscape in San Pedro, providing an opportunity for appreciation for both homeowners and investors. In this article we discuss the San Pedro real estate market, and what to expect in the near future for the area.
Overview of San Pedro Real Estate
San Pedro is home to the Port of Los Angeles, and plays a central role in the import and export of goods throughout Los Angeles. Between 1919 and 1940, it acted as home of the United States Navy Battle Fleet. That fleet left for Hawaii in 1940 and never returned, leaving the city as an ethnically diverse area that continued to attract immigrants throughout the years. Even now, it is home to the largest Italian-American community in Southern California, and is also considered the heart of Croatian and Norwegian communities in Los Angeles.
The San Pedro real estate market can be roughly divided into three different sub-regions, shown below.
Northwest San Pedro (Green)
Northwest San Pedro is generally a quiet, suburban subregion within San Pedro. With some of the more highly rated elementary schools in the area, Northwest San Pedro has become a very family-friendly neighborhood with plenty to offer in terms of parks, restaurants, shopping, and more. It’s proximity to the beach cities such as Torrance and Redondo Beach, as well as easy access to the 110, make it a popular choice for families who like the separate and secluded feel of San Pedro, but need some convenience of access to the rest of Los Angeles.
The median sale price of single family homes sold in Northwest San Pedro within the past 3 months was $969,035, with the average price per square foot at $641.40.
Central San Pedro (Red)
Central San Pedro is the busiest and most densely populated area of San Pedro. Situated adjacent to Terminal Island and the Port of Los Angeles, the area bustles with commercial activity. It is home to a variety of interesting attractions such as the Battleship USS Iowa Museum, the Los Angeles Maritime Museum, and the Frank-Gehry designed Cabrillo Marine Aquarium. Notably, this area was formerly home to the popular Ports O’ Call Village, where tourists often visited for popular waterfront shopping and restaurants, which was demolished in 2019 to make way for a new development called the West Harbor (further discussed below).
The median sale price of single family homes sold in Central San Pedro within the past 3 months was $662,500, with the average price per square foot at $661.19.
Coastal San Pedro (Blue)
The southern region of San Pedro is known as Coastal San Pedro. With beautiful views of the ocean and famous attractions such as the Fort McArthur Museum, Korean Friendship Bell, and Point Fermin Lighthouse, the area boasts some of the largest and most expensive homes in the area. This is particularly true at the western border of San Pedro and Palos Verdes, where homes rarely sell for less than $1.5m. White Point Beach and Wilders Addition Park add to the attraction of this neighborhood.
The median sale price of single family homes sold in Central San Pedro within the past 3 months was $1,062,500, with the average price per square foot at $672.89.
New Developments In San Pedro
As mentioned above, the most notable new development coming to the San Pedro real estate market is the West Harbor development, which is currently under development and slated to open in 2024. Sitting on 42 acres where the former Ports O’ Call Village was located, the development promises to revitalize the area with numerous restaurants, food stalls, and retail shopping. It will also feature a three-acre pedestrian promenade and an open-air museum.
San Pedro Real Estate Trends
Part of the attraction of the city of San Pedro and the San Pedro real estate market is its relative affordability, in comparison to the rest of Los Angeles County. As shown below, the median sale price of single family homes in San Pedro (dark blue) has historically tracked slightly below the median sale price of homes in the City of Los Angeles (light blue).
Median Single Family Home Sale Price
Even when viewed from the lense of average price per square foot of homes, San Pedro remains relatively affordable in comparison to the City of Los Angeles.
Median Sold Price Per Square Foot
The Future Of San Pedro Real Estate
With the new West Harbor development set for opening next year, and the current relative affordability of the San Pedro real estate market, it is highly likely that San Pedro will see an influx of demand in the near future. Combined with an influx of business that the 2028 Olympics will bring to the Los Angeles area, and as a result an increase in commercial activity at the port, San Pedro looks set to bloom into a high-demand coastal neighborhood. Of course time will only tell, but all signs appear to point to solid returns for investors.
If you would like to further discuss the San Pedro real estate market, or how Esquire Real Estate Brokerage can help you in the Southern California real estate market, please call us at 213-973-9439 or send us an email at firstname.lastname@example.org.