LOS ANGELES | Politics, Economics, and Business Development

[Steve8263]

Originally Posted by SoCalKid

Just pure unadulterated NIMBYism at its worst. Voters shouldn't be trusted with these decisions.

In this case NIMBY's were not the problem. After it was approved by the city of BH one of the hotel unions (I don't recall but it was either UNITE or SEIU) funded the campaign for a ballot measure. Turnout was 20% and it lost by like 15 votes meaning basically 10% of the population voted to overturn the approval.

And now we have the same unions forcing wage increases that will have long lasting consequences such as this-

https://therealdeal.com/la/2025/05/16/hilton-universal-city-developer-kills-18-story-expansion/

Hilton Universal City developer drops 18-story expansion plan after City Council approves wage hike

[LosAngelesSportsFan]

This is what happens when you have a city council full of absolute morons that don't listen to anyone other than people in their echo chamber / pocket.

[Mslovelyla1993]

Originally Posted by Steve8263

In this case NIMBY's were not the problem. After it was approved by the city of BH one of the hotel unions (I don't recall but it was either UNITE or SEIU) funded the campaign for a ballot measure. Turnout was 20% and it lost by like 15 votes meaning basically 10% of the population voted to overturn the approval.

And now we have the same unions forcing wage increases that will have long lasting consequences such as this-

https://therealdeal.com/la/2025/05/16/hilton-universal-city-developer-kills-18-story-expansion/

Hilton Universal City developer drops 18-story expansion plan after City Council approves wage hike

It’s not fully approved yet, they have to vote on it again next week, so let’s hope something changes by then, this is beyond stupid especially right before the Olympics. This next go round of elections in 2026 needs big change, it’s getting ridiculous!

[scania]

Maybe I’m missing something…if this is about forcing these billionaires to pay higher wages, then I’m all for it…I’d much rather let a proposal sit, if the labor workers aren’t getting fair pay.

[LosAngelesSportsFan]

Originally Posted by scania

Maybe I’m missing something…if this is about forcing these billionaires to pay higher wages, then I’m all for it…I’d much rather let a proposal sit, if the labor workers aren’t getting fair pay.

Just getting this out there that my anger is not aimed at you...

Why should certain industries be cherry picked for a higher wage? Who says that $30 plus $6 health incentive is the right amount (other than the Labor union itself)? Why should the city do this when it means it will kill thousands of jobs (hotel restaurants, construction jobs, etc.) as well as billions in investment into the city? Why would anyone build a new hotel in LA city when they can go across a border to Culver city, Beverly Hills, WeHo, Glendale, Pasadena, Burbank, etc. and not have to deal with this nonsense? Why don't the morons on the city council learn from their past mistakes (ULA tax, restaurant min wage, etc.) that haven't panned out and have cost the city billions in new investment, housing units, new general tax money, jobs, you name it).

Just because something sounds nice in fantasy land, doesn't mean it works in real life. When you have everybody that's involved in the industry as well as economists, etc. telling you don't do this, perhaps the dumb fucks on the city council should listen instead of pander to the union.

[caligrad]

^^^ I will cosign with you on this one. It's ridiculous. We already have too many proposals sitting/canceled to be adding more to the list, in the name of trying to strong arm billionaires into doing the right thing, when in reality they can just go elsewhere, which they have been doing.

It may seem like just one project so its no biggie. In reality, it's a ripple effect, other projects will be canceled, current projects will be downsized, LA shoots itself in the foot again and will not see the benefits of 10s of thousands of jobs for workers across the city.

[Steve8263]

Indeed the reasons for capital flight from City of LA are many- CEQA ULA JJJ SEIU UNITE UTLA etc the list of acronyms goes on and on....

You can say billionaires need to pay their share but that's not how things work IRL. Developers need to make a project pencil out before a bank will lend them money to build.

And it's not just the endless proposals we hear about that never get off the ground. Potential new proposals will never bother to start the brutal years long process of even trying to get approvals.

As you travel around the city notice all the empty dirt lots in the throws of a housing shortage...

[JDRCRASH]

Another issue is that when historic buildings are completely/mostly demolished for a new project and then either A) the developer’s project doesn’t materialize or B) he just resells the property for a higher price, then what?? This scenario has played out again and again and again in this city over the years.

Case in point: Just the other day while visiting the Grove I drove by the old Fairfax Theatre site that was mostly demolished for what was supposed to make way for apartments. I saw a for sale sign, and now I know why:

https://www.bizjournals.com/losangeles/n...re-sale-alex-gorby-major-properties.html

At this point, why go through the trouble of saving facades of historic properties now if development becomes that much harder to pencil out in the future and they just sit there on an empty lot?

[ChelseaFC]

Originally Posted by LosAngelesSportsFan

Just getting this out there that my anger is not aimed at you...

Why should certain industries be cherry picked for a higher wage? Who says that $30 plus $6 health incentive is the right amount (other than the Labor union itself)? Why should the city do this when it means it will kill thousands of jobs (hotel restaurants, construction jobs, etc.) as well as billions in investment into the city? Why would anyone build a new hotel in LA city when they can go across a border to Culver city, Beverly Hills, WeHo, Glendale, Pasadena, Burbank, etc. and not have to deal with this nonsense? Why don't the morons on the city council learn from their past mistakes (ULA tax, restaurant min wage, etc.) that haven't panned out and have cost the city billions in new investment, housing units, new general tax money, jobs, you name it).

Just because something sounds nice in fantasy land, doesn't mean it works in real life. When you have everybody that's involved in the industry as well as economists, etc. telling you don't do this, perhaps the dumb fucks on the city council should listen instead of pander to the union.

I hesitate to get into politics, but this is another reason LA should have elected Caruso. People tend to be so absolutist about politics (who tf cares what he said about abortion in the 1980s, we live in California FFS), but they need to understand that no candidate is perfect.

Having someone with a proven track record of leadership at the CEO level and successful real estate development would hopefully be able to explain to the City Council why we should be making it easier to build and improve the city.

[Radio5]

Originally Posted by JDRCRASH

Another issue is that when historic buildings are completely/mostly demolished for a new project and then either A) the developer’s project doesn’t materialize or B) he just resells the property for a higher price, then what?? This scenario has played out again and again and again in this city over the years.

Case in point: Just the other day while visiting the Grove I drove by the old Fairfax Theatre site that was mostly demolished for what was supposed to make way for apartments. I saw a for sale sign, and now I know why:

https://www.bizjournals.com/losangeles/n...re-sale-alex-gorby-major-properties.html

At this point, why go through the trouble of saving facades of historic properties now if development becomes that much harder to pencil out in the future and they just sit there on an empty lot?

Came here to post that as well. So upsetting. I travel to a lot of cities and everytime I come back here there is staleness LA can't shake off that other cities do not have...austin, philly, chicago etc.

[caligrad]

The state is FINALLY doing something about CEQA, lets see what it does for construction timelines

https://www.msn.com/en-us/news/politics/...d=0a04ca8189784e34aaad9cd5dc56fc6c&ei=45

"Endless environmental Reviews and studies, lots of red tape, never ending lawsuits and timelines that stretch projects out 3/4 years, its been enough to completely discourage projects from even starting because of the fear of litigation".

Heres hoping for the best.

[Radio5]

Originally Posted by caligrad

The state is FINALLY doing something about CEQA, lets see what it does for construction timelines

https://www.msn.com/en-us/news/politics/...d=0a04ca8189784e34aaad9cd5dc56fc6c&ei=45

"Endless environmental Reviews and studies, lots of red tape, never ending lawsuits and timelines that stretch projects out 3/4 years, its been enough to completely discourage projects from even starting because of the fear of litigation".

Heres hoping for the best.

This would be huge. So much pent up demand if "they" would just allow us to build here. The city is feeling very flat these days. Coming back from Austin you can feel the momentum, excitement and pulse of the city...here, not so much.

[craigs]

Originally Posted by Radio5

This would be huge. So much pent up demand if "they" would just allow us to build here. The city is feeling very flat these days. Coming back from Austin you can feel the momentum, excitement and pulse of the city...here, not so much.

I feel that the city has become more dynamic lately. More and more people are coming back to work in the office (I'm up to three days a week downtown now).

[kittyhawk28]

Seriously, no updates to Oceanwide Plaza recently? I swear as time goes on my hopes for this project gets lower and lower. Its not dry like in Las Vegas, where the Fontainebleau could be left to the elements for over 10 years and still be saved.

[scania]

Originally Posted by Radio5

This would be huge. So much pent up demand if "they" would just allow us to build here. The city is feeling very flat these days. Coming back from Austin you can feel the momentum, excitement and pulse of the city...here, not so much.

You can never compare small cities to big cities. People live in NYC, and there are not as excited about things versus a place like Atlanta. One small thing and there is a buzz around the city. As in example, you have Waymo…people there were so excited about seeing Waymo and the thought that in a couple of years they might have Waymo on the streets. Here in LA, we’ve had Waymo for a few years now, and there isn’t a buzz, or this momentum that LA is going to the next level per se. That type of mindset doesn’t happen in places like NYC and LA.

[LAsam]

Originally Posted by kittyhawk28

Seriously, no updates to Oceanwide Plaza recently? I swear as time goes on my hopes for this project gets lower and lower. Its not dry like in Las Vegas, where the Fontainebleau could be left to the elements for over 10 years and still be saved.

That project has such headwinds working against it, it's not surprising. Since it stalled, Measure ULA was passed so whoever buys it will be penalized with a 5.5% tax if they want to sell it upon completion and stabilization. Add to that the recent increase in hospitality worker minimum wage for LA city, and that put even more pressure on the project since a big piece of it is a hotel. Not to mention increasing insurance and construction costs... and the fact that construction financing is still very expensive (if you can even get it for this project). Would you want to invest in this project? I don't think I would.

[SoCalKid]

Originally Posted by LAsam

That project has such headwinds working against it, it's not surprising. Since it stalled, Measure ULA was passed so whoever buys it will be penalized with a 5.5% tax if they want to sell it upon completion and stabilization. Add to that the recent increase in hospitality worker minimum wage for LA city, and that put even more pressure on the project since a big piece of it is a hotel. Not to mention increasing insurance and construction costs... and the fact that construction financing is still very expensive (if you can even get it for this project). Would you want to invest in this project? I don't think I would.

Exactly right. If you vote to drive investors away, they will park their money elsewhere. LA has hung a giant banner over the city saying "CLOSED FOR BUSINESS".

[ChelseaFC]

Originally Posted by SoCalKid

Exactly right. If you vote to drive investors away, they will park their money elsewhere. LA has hung a giant banner over the city saying "CLOSED FOR BUSINESS".

Congrats LA voters! You just won yourself an empty shell of a project in the middle of your downtown for the forseeable future because you were told you were really sticking it to the rich.

On the map linked below, I will be turning the project from u/c to proposed.

[Radio5]

Originally Posted by scania

You can never compare small cities to big cities. People live in NYC, and there are not as excited about things versus a place like Atlanta. One small thing and there is a buzz around the city. As in example, you have Waymo…people there were so excited about seeing Waymo and the thought that in a couple of years they might have Waymo on the streets. Here in LA, we’ve had Waymo for a few years now, and there isn’t a buzz, or this momentum that LA is going to the next level per se. That type of mindset doesn’t happen in places like NYC and LA.

I get what you're saying, but during the Garcetti years, there definitely was excitement and momentum because there was so much happening and it seemed limitless. We do have some big infrastructure/museums coming online which is great, but at street level it still seems stale. Hoping it changes in 2026 with new leadership.

[scania]

Originally Posted by Radio5

I get what you're saying, but during the Garcetti years, there definitely was excitement and momentum because there was so much happening and it seemed limitless. We do have some big infrastructure/museums coming online which is great, but at street level it still seems stale. Hoping it changes in 2026 with new leadership.

Yeah, but keep in mind…most of that was due to Huizar. Now he’s in jail for corruption.