SAN FRANCISCO—Wouldn't it be convenient if someone had clear, intelligent answers to most of your CRE-related questions? Problem solved. Nina J. Gruen, a.k.a. Ms. Real Estate, a.k.a. the principal sociologist overseeing market research and analysis at Gruen Gruen + Associates, is here to answer readers' questions.

Have a question for Ms. Real Estate? Ask anonymously by clicking here.

Dear Ms. Real Estate:

I am an owner of an art gallery, which luckily survived the Great Recession. I created a website that currently is responsible for between 15 and 20 percent of my annual sales. My gallery, like so many others, has been priced out of downtown San Francisco. Luckily there are several San Francisco locations that are in the process of creating new art districts. My question is whether I should lease at the current more-than-reasonable rents or attempt to purchase a nearby property so that I don't find myself priced out again in the future.

—Fine Art Ambler of the FiDi.

Dear Fine Art Ambler,

Good question! Yes, it is well known that San Francisco office and retail rents have gone a bit crazy. While I'm not certain as to the specific location you are considering, successful art districts tend to experience the following pattern: Art galleries begin to move to a lower-priced neighborhood. Because of the burgeoning art agglomeration, an increasing number of customers travel to the new destination. Artists begin to move to the energizing arts neighborhood, frequently renting sufficient square footage to provide both residential and gallery space. The area begins to get a reputation for being cool – which in turn attracts non-artist residents. The increasing residential population in turn encourages new restaurants, retail and other services. And as the neighborhood continues to gentrify, prices increase.

The question you need to ask yourself is whether the location you have in mind to move your gallery to is likely to become a successful arts district. If the answer is yes, and if you can afford it, I would encourage you to purchase your gallery space. As an owner – even if there comes a time when you no longer wish to run an art gallery – you should be able to sell or rent the space at a more than reasonable return.

SAN FRANCISCO—Wouldn't it be convenient if someone had clear, intelligent answers to most of your CRE-related questions? Problem solved. Nina J. Gruen, a.k.a. Ms. Real Estate, a.k.a. the principal sociologist overseeing market research and analysis at Gruen Gruen + Associates, is here to answer readers' questions.

Have a question for Ms. Real Estate? Ask anonymously by clicking here.

Dear Ms. Real Estate:

I am an owner of an art gallery, which luckily survived the Great Recession. I created a website that currently is responsible for between 15 and 20 percent of my annual sales. My gallery, like so many others, has been priced out of downtown San Francisco. Luckily there are several San Francisco locations that are in the process of creating new art districts. My question is whether I should lease at the current more-than-reasonable rents or attempt to purchase a nearby property so that I don't find myself priced out again in the future.

—Fine Art Ambler of the FiDi.

Dear Fine Art Ambler,

Good question! Yes, it is well known that San Francisco office and retail rents have gone a bit crazy. While I'm not certain as to the specific location you are considering, successful art districts tend to experience the following pattern: Art galleries begin to move to a lower-priced neighborhood. Because of the burgeoning art agglomeration, an increasing number of customers travel to the new destination. Artists begin to move to the energizing arts neighborhood, frequently renting sufficient square footage to provide both residential and gallery space. The area begins to get a reputation for being cool – which in turn attracts non-artist residents. The increasing residential population in turn encourages new restaurants, retail and other services. And as the neighborhood continues to gentrify, prices increase.

The question you need to ask yourself is whether the location you have in mind to move your gallery to is likely to become a successful arts district. If the answer is yes, and if you can afford it, I would encourage you to purchase your gallery space. As an owner – even if there comes a time when you no longer wish to run an art gallery – you should be able to sell or rent the space at a more than reasonable return.