Desperate to build hotel capacity in the neighborhood surrounding the Los Angeles Convention Center, the city has granted hundreds of millions in tax breaks to hotel developers. Some are asking the city to rethink the subsidies.
David Zahniser reports on Los Angeles’ ongoing practice of granting tax breaks to developers of hotels. The city, which first started granting tax breaks for hotel developers in 2005, has granted as much as $508 million in tax benefits over the coming decades.
In question is Greenland US Holding Inc, the developers of Metropolis, a proposed 350-room hotel development adjacent to L.A. Live and the Los Angeles Convention Center. The developers are asking for $92 million in tax subsidies to make the deal pencil out.
“Convention Center Executive Director Robert ‘Bud’ Ovrom, although a longtime champion of city subsidies, questioned whether L.A. should provide the taxpayer support in this case. Greenland is planning only 350 hotel rooms, even though the city has granted permission to develop nearly five times that amount, he said,” writes Zahniser.
“Financial help might make sense, Ovrom said, if Metropolis offered 900 rooms, a number that would help the city attract more national conventions and mean more local jobs.”
The hotel tax issues, especially with reference to the Metropolis development, speaks to Los Angeles' current, difficult situation in the downtown neighborhood of South Park. The city is desperate for hotel room capacity and density near the convention center and L.A. Live, but is also concerned that the once-in-a-generation opportunity to build on the neighborhood of South Park’s current surface parking lots should be built to the maximum allowance of the zoning code.
FULL STORY: L.A. should be more selective with hotel tax breaks, some say
LA Officials Struggle to Enforce Short-Term Rental Rules
Hundreds of rent-controlled units are being illegally rented out as short-term rentals, pushing out long-term renters and exacerbating the city’s housing crisis.
Reducing Car Trips in L.A.: Transportation Demand Management Ordinance Could Be Expanded
The proposed expansion would affect smaller multi-family developments and include incentives for reducing travel during peak hours and encouraging transit, walking, and biking.
South L.A. Housing Project First to Use New 'Transit Oriented Community' Incentives
The city's new guidelines incentivize the development of affordable housing near transit.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Chicago’s Ghost Rails
Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.
Amtrak Cutting Jobs, Funding to High-Speed Rail
The agency plans to cut 10 percent of its workforce and has confirmed it will not fund new high-speed rail projects.
Ohio Forces Data Centers to Prepay for Power
Utilities are calling on states to hold data center operators responsible for new energy demands to prevent leaving consumers on the hook for their bills.
MARTA CEO Steps Down Amid Citizenship Concerns
MARTA’s board announced Thursday that its chief, who is from Canada, is resigning due to questions about his immigration status.
Silicon Valley ‘Bike Superhighway’ Awarded $14M State Grant
A Caltrans grant brings the 10-mile Central Bikeway project connecting Santa Clara and East San Jose closer to fruition.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
Caltrans
City of Fort Worth
Mpact (founded as Rail~Volution)
City of Camden Redevelopment Agency
City of Astoria
City of Portland
City of Laramie