Los Angeles’s City Councils Economic Development Committee is considering a plan that would contribute $138 million in financial assistance to the building of the Frank Gehry-designed Grand Avenue project. Under the proposed plan, Related Construction would be able to keep a majority of the hotel tax that would be created by building the project until 2043. Before the Economic Development Committee is the proposed $39 million subsidy for Metropolis, which is set to be constructed next to the 110 freeway and be home to a 19-story hotel and a 38-story residential high-rise.
Critics of the proposed subsidies for multi-million dollar hotels and high-rise residential complex say that city officials shouldn’t be giving away money that the city doesn’t have. They also add that the city of Los Angeles is neglecting its basic infrastructure needs such as maintenance of streets, sidewalks and traffic congestion throughout the city.
What do you think of the proposed subsidies total $180 million to build these two downtown hotels? Is this a case of politicians greasing the wheel and passing on subsidies to campaign donors? Do you feel “the basics have been neglected for too long, as Mayor Garcetti suggested earlier this year?
Curren Price, Los Angeles City Council member representing the 9th Council District, which includes Staples Center, L.A. Mart, and USC. He heads the city’s economic development committee, which is considering a plan to provide financial assistance to two major Downtown hotel projects
Laura Lake, a member of the board of directors at Fix the City, an advocacy organization dedicated to improving Los Angeles’ infrastructure