LOS ANGELES | Downtown Project Rundown 6.0

[scania]

Those are not even the better views from that tower.

[BrandonJXN]

That corner balcony unit though. I would need a giant bean bag and probably some plants and I probably would never leave that space.

[Charmy2]

Originally Posted by BrandonJXN

That corner balcony unit though. I would need a giant bean bag and probably some plants and I probably would never leave that space.

That's literally my dream in life...

[citywatch]

Originally Posted by craigs

Roger Vincent
Los Angeles Times
May 2, 2024

By many measures, downtown Los Angeles’ newest apartment tower is over the top with such gilded flourishes as stone tiles from Spain lining the elevator cabs and hand-troweled Italian plaster on interior walls. Humming birds have somehow found the fruit-laden trees decorating the outdoor lounge on the 41st floor..

The developers of Figueroa Eight declined to say how many of its 438 units they’ve rented out so far, but said leases are on track with projections and that the tower is attracting strong interest.

Fig eight's website since the beginning has shown few floors with available units. I'm counting around 39 right now, which if accurate means the apt tower has filled up quite nicely. If so, Mitsui may feel more confident to start work on their 2nd apt tower a few blocks to the east.

[HusBy]

Originally Posted by Charmy2

That's literally my dream in life...

Imagine that dream + a big terrace facing that view… I want them to build their 8th & Grand tower so bad.

[wisheye]

https://commercialobserver.com/2024/05/graffiti-towers-for-sale/

Oceanwide Plaza is going on sale. Hopefully something comes through quickly. The latest estimate to finish construction is ~865M$, which is less than I would've thought.

[citywatch]

Community-based nonprofit Little Tokyo Service Center is partnering with Go For Broke National Education Center (GFBNEC) to build the Go For Broke Plaza and First Street North Residences, one of the City of LA’s largest 100% affordable housing developments, in the heart of historic Little Tokyo. This 100% affordable, mixed-use, transit-oriented development will create an unprecedented 248 affordable units, with 80 permanent supportive housing set-asides including for homeless veterans, many of whom receive services at the VA campus directly across the street.

With nearly one third of local businesses closing during the COVID-19 pandemic, another key component of this project is preserving the affordability of Little Tokyo for local and legacy small businesses, including 120+ year old Fugetsu-do Confectionary, Suehiro Cafe, and other longtime establishments.

Established in the 1890’s, Little Tokyo is the largest of only four remaining “Japantowns” in the US and the second oldest neighborhood in Los Angeles.

• Video Link

[LAsam]

Originally Posted by wisheye

https://commercialobserver.com/2024/05/graffiti-towers-for-sale/

Oceanwide Plaza is going on sale. Hopefully something comes through quickly. The latest estimate to finish construction is ~865M$, which is less than I would've thought.

The problem with Oceanwide Plaza is that not only do you need to spend the $865MM to finish (good luck getting financing for that)... but then your finished product is a bunch of luxury condos (good luck with that), two story retail (good luck with that), and a hotel (not so bad).

[craigs]

Originally Posted by wisheye

https://commercialobserver.com/2024/05/graffiti-towers-for-sale/

Oceanwide Plaza is going on sale. Hopefully something comes through quickly. The latest estimate to finish construction is ~865M$, which is less than I would've thought.

That article ends with a strange twist. It speculates that finding financing to finish the project will be hard because "office deals" are suffering nationwide and "office leasing" is suffering in LA specifically. I mean, that's true--but Oceanwide isn't an office project, and residential projects are hot.

Originally Posted by LAsam

The problem with Oceanwide Plaza is that not only do you need to spend the $865MM to finish (good luck getting financing for that)... but then your finished product is a bunch of luxury condos (good luck with that), two story retail (good luck with that), and a hotel (not so bad).

The recent LA Times article about "two downtowns" (office and residential) noted that downtown condos are selling well, in large part because they are 1) new, and 2) more affordable than similar units on the Westside. We know there is pent-up demand for new residential in LA overall, and that zoning and NIMBYs make it hard to meet that demand anywhere except downtown right now. If I had the funding I would buy and finish Oceanwide, but that's just me.

Question: can the new developer switch condos to apartments?

[LA21st]

Originally Posted by craigs

That article ends with a strange twist. It speculates that finding financing to finish the project will be hard because "office deals" are suffering nationwide and "office leasing" is suffering in LA specifically. I mean, that's true--but Oceanwide isn't an office project, and residential projects are hot.


The recent LA Times article about "two downtowns" (office and residential) noted that downtown condos are selling well, in large part because they are 1) new, and 2) more affordable than similar units on the Westside. We know there is pent-up demand for new residential in LA overall, and that zoning and NIMBYs make it hard to meet that demand anywhere except downtown right now. If I had the funding I would buy and finish Oceanwide, but that's just me.

Question: can the new developer switch condos to apartments?

I work in a large commerical real estate company. They think something will get done from this, just not what the plans will be.

[dax_gray]

Originally Posted by LAsam

The problem with Oceanwide Plaza is that not only do you need to spend the $865MM to finish (good luck getting financing for that)... but then your finished product is a bunch of luxury condos (good luck with that), two story retail (good luck with that), and a hotel (not so bad).

Retail is weird right now but I absolutely believe it can thrive if done well. Problem with LA's retail scene is that stores are standalone and difficult to get to. But if you look at clusters of retail areas like The Grove or Westfield CC they are always crowded as its now more about the experience. Hell, I was at Northridge mall this past weekend to do a return and it was packed. I imagine if Oceanwide retail is anything like Westfield CC it can succeed especially with its close proximity to Staples.

[craigs]

Oceanwide's unique location will likely work in its favor. Crowds of visitors walking to and from the arena, convention center, and LA Live are a great market--they often have time on their hands before and after their events, and money to burn. Meanwhile, food & beverage spaces can be easily filled before and after events and conventions. If Oceanwide were significantly farther north or east, retail would be a tougher sell.

[wisheye]

Originally Posted by craigs

That article ends with a strange twist. It speculates that finding financing to finish the project will be hard because "office deals" are suffering nationwide and "office leasing" is suffering in LA specifically. I mean, that's true--but Oceanwide isn't an office project, and residential projects are hot.

Yes I noticed that too. If Oceanwide yields high end apartments they will rent very easily I think.

Originally Posted by craigs

Oceanwide's unique location will likely work in its favor. Crowds of visitors walking to and from the arena, convention center, and LA Live are a great market--they often have time on their hands before and after their events, and money to burn. Meanwhile, food & beverage spaces can be easily filled before and after events and conventions. If Oceanwide were significantly farther north or east, retail would be a tougher sell.

The proximity to the CC is an important point. I go to some big conferences in the San Diego Convention Center and always hear people comment about how few dining/entertainment options are available in close proximity to LACC.

[DJM19]

Great news about oceanwide. I know rates are tough right now. But the right developer could get this project at a deep discount already 50+% built. And it is a unique situation. A prime location across from a major destination. I also think the city will be eager to see it cross the finish line by any means.

[craigs]

Speaking of Oceanwide, I snapped this from the 12th floor of the Hotel Figueroa one week ago today. The overhanging deck looks really cool from this angle:

[BrandonJXN]

The saga of Oceanwide Plaza would make for a great multi episode Netflix docu-series.

[Illithid Dude]

Originally Posted by LAsam

The problem with Oceanwide Plaza is that not only do you need to spend the $865MM to finish (good luck getting financing for that)... but then your finished product is a bunch of luxury condos (good luck with that), two story retail (good luck with that), and a hotel (not so bad).

They could easily convert the condos to apartments, as Metropolis did. The retail is a bit of an issue though, but we all knew they were overbuilding even back in 2018. Either way, I'd rather have vacant retail than a half finished building and who knows, maybe due to the desirable location the retail will be leased!

[JSW]

Originally Posted by Illithid Dude

They could easily convert the condos to apartments, as Metropolis did. The retail is a bit of an issue though, but we all knew they were overbuilding even back in 2018. Either way, I'd rather have vacant retail than a half finished building and who knows, maybe due to the desirable location the retail will be leased!

I'm no market expert, but in terms of condos being a tougher sell, down here in SD we actually have a luxury high rise that's been on pause with a hole in the ground for a year because the developer (Bosa) decided to switch the plan from apartments to 100% condos. Construction is now restarting.

[craigs]

Originally Posted by Illithid Dude

They could easily convert the condos to apartments, as Metropolis did. The retail is a bit of an issue though, but we all knew they were overbuilding even back in 2018. Either way, I'd rather have vacant retail than a half finished building and who knows, maybe due to the desirable location the retail will be leased!

If food and beverage qualifies as "retail" then a completed Oceanwide Center (or whatever it will eventually be called) should be able to fill up a lot of the space with restaurants and bars aimed at tourists, conventioneers, and weekenders. For example, it's easy to imagine a huge new downtown Din Tai Fung packing them in at that location. The new owners just need to be reasonable with the rents.

[citywatch]

laeater.com/Wonho Frank Lee

Downtown’s historic multi-level venue and cocktail destination Clifton’s Republic will reopen in early June 2024. Through a spokesperson, owner Andrew Meieran says Clifton’s will first reopen the stunning Pacific Seas tiki bar and gradually restart service at three remaining spaces with brunch, new food menus, and entertainment in the coming months. The reopening starts with a residency by the circus burlesque dance troupe AirOtic beginning this Friday, May 10.

Formerly called Clifton’s Cafeteria, the 16,000-square-foot cafeteria and dining emporium located on Broadway near Seventh Street first opened in 1935. The business struggled in later decades and was later purchased by Meieran, who conducted a massive renovation to the space and reopened it in 2015. Clifton’s Cafeteria again closed in 2018, though some bars remained open with inconsistent hours. It was later rebranded to Clifton’s Republic but remained closed throughout the COVID-19 pandemic, with hints of resuming operations in 2021 and also temporarily in 2022. Clifton’s now-third official reopening this June marks an important milestone for the 89-year-old venue.

Most of Clifton’s is still not fully operational at the moment; after Pacific Seas opens in June, staff will resume activity at Monarch Bar, Gothic Bar, and Forest Glen. Meieran also notes that more family-friendly programming is slated for the coming months.


laeater.com/Wonho Frank Lee


laeater.com/Wonho Frank Lee

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