Hollywood Projects
 

Peterson Building

7001 Hollywood Boulevard, Hollywood, CA

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The Petersen building is a two-story historic commercial building located at the northwest corner of Hollywood Boulevard and Orange Avenue. It is owned by the CIM Group. The property owner proposes to add nine floors to the building and create an eleven-story hotel with 300 rooms. Agency staff has reviewed the design concept but the project description has not been finalized. Agency staff will assist CIM in the environmental analysis process, obtaining entitlements and identifying parking. Total projected expenditures in the next five years are $100,000 including Agency labor costs.

Hollywood & Vine

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Currently under development, the Hollywood & Vine community calls for an exciting, mixed-use project offering 262 luxury apartments, a 300-room hotel (with 96 luxury condominiums to be operated by W Hotels) and over 60,000 square feet of street level retail space. Supporting these diverse uses will be two to three levels of subterranean parking.

Two, 12-story buildings facing Hollywood Boulevard will house the hotel and condominiums. The base of these buildings will be devoted to retail stores, restaurants and an MTA station. These steel frame, high-rise buildings will total approximately 297,000 square feet.

A third, five-story building ? fronting on Vine Street, Selma Avenue and Argyle Avenue ? will provide 262 luxury apartments situated above 55,000 square feet of retail space.

Hollywood & Vine, which will be available for leasing in 2007, is being developed by Legacy Partners and Gatehouse Capital.

The Broadway Building

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The Broadway Hollywood building was originally constructed in 1927 as the Broadway Department Store. It is a 10 story concrete and steel structure that was designed in the Classical Revival Style. In 1939 Donald Parkinson designed a 8 story addition to the west of the original structure. Interestingly, this addition was not designed to match the original building, but has it?s own identity as a Streamline Moderne structure. Over the years the building has been converted into office space for a variety of tenants.

The proposed renovation and reuse of this property, coverts the existing buildings into luxury residential condominiums with parking on the basement and mezzanine levels and retail/restaurant uses on the street level. The residential portion of the project includes a historically sensitive addition on the 1940?s building which will bring it?s height in line with that of the original structure. The units will range from 850 square feet to 2000 square feet; the majority will be one level with some rising up to three levels. The design concept within the units is one of open and flexible space. There are bedroom locations highlighted on the plans, but dividing walls will not be constructed in order to allow the future owners the utmost flexibility of lifestyle. The roof area will be developed with an exercise room, Jacuzzi, swimming pool and cabanas. The layout will highlight the spectacular views of the Hollywood Sign and Hollywood Boulevard to the west. The construction on this project is anticipated to begin Spring of 2005.

Major Mixed-Use Project Planned for Pantages Area

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After turning away developers for more than two decades, the family that owns the Pantages Theatre is planning a $300 million entertainment-themed development that would surround the Hollywood facility.
A deal with an unnamed New York developer could be reached within weeks for a mixed-use project that would contain entertainment, housing and subterranean parking, among other possible features, said Neil Papiano, an attorney representing Nederlander Producing Co. of America Inc.

It would dovetail with other large housing, retail and hospitality developments already under way in the area surrounding the intersection of Hollywood Boulevard and Vine Street.

James M. Nederlander, who runs the family company that owns the Pantages and several acres of surface parking lots along Hollywood Boulevard, wants to redevelop the stretch east of Vine Street as an entertainment and theater destination, said Papiano, a partner at Iverson Yoakum Papiano & Hatch.

Until now, no developer’s proposal has measured up to his vision. But nearby projects have taken root, and changed the outlook for the type of project Nederlander has in mind.

Adjacent to the site, Dallas-based Gatehouse Capital Corp. and Foster City-based Legacy Partners Inc. are seeking final approvals to develop a $325 million complex of housing and retail anchored by a nearly 300-room W Hotel. Condo conversions at the Equitable Building and the Hollywood & Vine Plaza are also under way.

In April, Nederlander hired the New York-based real estate investment firm Holiday Fenoglio Fowler LP to recruit developers, and the proposal from the New York developer has emerged as a frontrunner. A contract could be in place within six to eight weeks, Papiano said.

The developer’s proposal calls for a $300 million mixed-use project with shops, restaurants, housing and an expansive underground parking garage, according to attorney Benjamin Reznik, a partner with Jeffer Mangels Butler & Marmaro LLP, who is representing the New York developer.

Nederlander, whose company owns 26 theaters worldwide, is also interested in a boutique hotel and possibly a second live theater for plays. Papiano said Nederlander recognizes that putting all those pieces together into one development may not be feasible yet.

Reznik said neither the hotel nor the live theater is in the developer’s current proposal but he said each could still be added. “Right now everything is conceptual to make sure everything is economically viable,” he said.

Both attorneys said their clients believe a deal could be reached between the Nederlanders and the developer within weeks. “I personally believe we could have an agreement by the end of the year,” Papiano said. “That being said, (Nederlander) has waited this long so I don’t think we’re in any sort of rush either.”

Nederlander, who runs the company with his son, is not interested in selling any of his property and, because he wants to retain control over the development of the site, he will only consider entering into long term land leases. He did not respond to a request for an interview.

Beyond the surface parking lots, the Nederlanders own a patchwork of properties extending east along Hollywood Boulevard from the Pantages that includes the Henry Fonda Music Box Theatre and the Hollywood Palladium.

The family also owns the Wilshire Theatre in Beverly Hills and has a long-term lease with the city of Los Angeles to operate and manage the Greek Theatre in Griffith Park. Though the company is mostly based in New York, it is co-headquartered in Hollywood, the site of its concert promotion division.

Over the past six years, Nederlander has had about five serious offers to develop its Hollywood Boulevard parcels. Two years ago, a developer proposed building a Hard Rock hotel. Last year another developer wanted to blanket the lots with condominiums and apartments.

But Nederlander feels housing should be off Hollywood Boulevard, Papiano said, toward the rear of any proposed development. Anything on the boulevard “should all be entertainment-related or commercial-related.”

Until now, this agenda may have been economically unfeasible. But with the large number of apartments and condominiums under development nearby, an active restaurant and club scene, and the W Hotel going up across the street, that situation has changed, Papiano said.

“I get the feeling people out there looking at this feel more confident of what he has in mind than they did previously,” he said. “The kinds of proposals we get now are much closer to his original vision.”

Because so many developers had unsuccessfully courted the Nederlanders, builders and civic leaders said they had written off any construction for decades. For that reason, officials at the city’s Community Redevelopment Agency were surprised when Joseph Morningstar, a senior managing director at Holiday Fenoglio Fowler, notified them Nederlander had retained the firm. So were officials in the office of Councilman Eric Garcetti, whose 13th District includes the site.

“It’s more than they have ever done before,” said Josh Kamensky, Garcetti’s press deputy. “No one has been courted by more convinced suitors than the Nederlanders. Now, however, they are the ones pitching the idea of developing those parcels so there’s a sense it’s more serious than it has ever been before.”

Helmi Hisserich, deputy administrator for the CRA’s Hollywood region, said Nederlander had always wanted to develop the area to build more parking for the Pantages and give theatergoers more activities once shows let out.

Hisserich said construction on the Hollywood & Vine project that features the W Hotel could begin in 2006 and take two years to complete. She said it was feasible Nederlander could begin construction on a project by that time as well.

“It’s doable, totally doable,” she said. “We’ve always anticipated there would be higher density development at Hollywood and Vine.”

Still, Papiano said Nederlander hasn’t signed an agreement and could still decide to hold off on developing the land. “He takes the long view,” Papiano said. “He didn’t buy all this land to develop it and make some quick money. He’s in it for the long haul.”

Hollywood & Orange Building

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From The Blvd.
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East to West
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Rooftop
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Upper Deck
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North to South Grand Passage
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A design collaboration by JAG and Roto Architects, the proposed Hollywood Orange is an ambitious retail center development, sited at the corner of Hollywood Blvd. and Orange, on the west side of the famed Grauman's Chinese Theatre

The program includes multi-level retail, and a rooftop dining terrace with a view of street activity below. The contemporary design of glass and steel has a transparent facade and an open court, promoting fluid interactivity with the street.

God I hope they change the designs for Hollywood/Orange.

And we really need to get the Peterson Building up and renovated soon! It is a key building in expanding the revitalization of the boulevard.

Thanks for the compilation!

Agreed about the Hollywood & Orange Building. That does not seem like appropriate design for the area.

Ditto. It makes Hollywood and Highland look like Rockefeller Center.

Thanks for the list. cant wait to see all these under construction. The Hollywood/Vine + Sunset/Vine area is going to be off the hook in a few years.

^ Don't forget

Hollywood/Vine + Sunset/Vine + Hollywood Blvd down to Hollywood/Highland filled with shops and things to do!

As for the Hollywood & Orange building... I kinda like the dramatic affect this building would add to Hollywood.

I was also glad to read about the addition of 9 floors to the Peterson Building, an eleven story hotel on that corner would rock!

Its great that developers are looking up to the sky!

Anyone have timelines for these projects, like the Orange and Peerson? I know the orange porject has been mentioned a few times in the past as well but i have never sen anything anywhere else.

LAB, that would be the ultimate goal, to have the whole street be poppin and developed with bars, clubs, resaurants, housing, etc

IMO, the best thing about Hollywood's resurgence is the residential component, because it will act as insurance for the area during tough economic times and slow tourist seasons. Mid- to high-rise residential will also bring higher standards for the look and feel for the street.

What I like is that much of the new development is not geared strictly for tourists in the way the Hollywood & Highland complex was originally. The only way to truly revitalize areas like Downtown and Hollywood is by first creating an environment that is attractive to the locals. Once that happens the tourists will follow.

It looks like they've dusted off the plans for that tinkertoy Hollywood & Orange Complex once again. The first time the owners of that parking lot tried pushing that idea, it was met with fierce and vocal opposition from local preservationists. It may have its place, but not next to Graumman's Chinese.

yeah, that thing should not be next to the Chinese theater. It looks too out of place.

I wasn't sure which thread to resurrect...

BIG CHANGES AT HOLLYWOOD & HIGHLAND

I was at their website just looking for some news. They'd set up a page giving some details about the improvement projects.

http://www.hollywoodandhighland.com/bigchanges.html

* For one thing, it seems they are now branding themselves as "Hollywood & Highland Center."

* Virgin Megastore (with a stage for live performances)

* Escalator from street to Central Courtyard

* Escalators from Central Courtyard to 3rd and 4th floors. (DUH!!! should have been done originally)

* Improved storefronts (not sure why or where)

* Improved signage (to curb confusion through the maze that is H&H)

* Recent new stories: Lucky, American Eagle, BCBG.

* New stores in the future: Neighborhoodies, Quizno's, Virgin Megastore.

It needs it. Poor H+H was poorly designed by Trizec...instead of open and inviting, it's cold and confusing. Such great potential too!

It'll always have its place due to the prime location, but think of what it COULD have been....sigh.

OMG!!! Neighborhoodies??? I love that brand!

Bernd: the only way they were able to make H+H a reality in Hollywood at that time was to design exactly such a *stand-alone* complex...

funny how times change in new Hollywood--

According to the website, the Neighborhoodies store at H+H is already open.

Cool, thanks! Looks like it's in that alley of shops leading to the Kodak.

June 01, 2005

Background: Christopher A. Joseph & Associates prepared the environmental documentation for the Hollywood and Vine Project.

Lead Agency: City of Los Angeles
Project Applicant: Legacy Partners and City of Los Angeles

Daily News
June 1, 2005


Looking to add to the glitz and glamour of the restored Hollywood area, the Los Angeles City Council on Tuesday approved a $325 million public-private partnership to build a 296-room W Hotel as well as condominiums, apartments and retail space.

In its 13-0 vote, the council agreed to put $4.8 million of public funds into the project -- mostly for land acquisition costs in the Hollywood and Vine area. It is in addition to some $40 million already spent on various projects in Hollywood.

"People ask me, why we're doing this, what is the value to the city when we are already seeing good development," said Councilman Eric Garcetti, who represents the area.

"Well, the answer is that for a $40 million investment we have leveraged $1 billion in economic development. And that's more tax dollars into our coffers to hire police, to build parks, to provide services."

The Metropolitan Transportation Authority controls about 75 percent of the land needed to accommodate the project -- the MTA has a Red Line subway station at the intersection -- and the total public investment would be about $4.8 million, mostly for land acquisition, according to the city's Community Redevelopment Agency.

Legacy Partners would develop 350 apartments, including 74 units reserved for low-income renters.

Gatehouse Capital and its equity partner, HEI Hospitality Fund Acquisition, would build the W Hotel, a boutique chain owned by Starwood Hotel & Resorts Worldwide.

The only other W Hotel in the Los Angeles area is in Westwood. The brand is known for chic, modern rooms and amenities such as spas and personal trainers.

The city's past investments in Hollywood have had mixed success, with its biggest failure at the Hollywood and Highland Development, with the original developers selling out for a fraction of the initial cost, and the city losing money on its investment in a parking structure.

Garcetti said the city has learned from its mistakes and has done well overall with its participation in Hollywood.

Still, some owners of small businesses oppose the project, which would abut a $300 million mixed-used project planned by The Nederlander Organization.

Robert B. Blue, whose family trust owns the vintage 1929 Herman Building at 1642 N. Vine Street, said the development would kill his business, Bernard Luggage, at the same location since 1950.

"It is very hard for a business to stay in business after moving from a long-term, established location," he told the council.

"The developers for this project are big boys and girls and can perform the project on a smaller scale, or on the same scale, without taxpayer handouts and government assistance. Just follow the leads of the neighbor across the street, the Nederlander family."

Leron Gubler, head of the Hollywood Chamber of Commerce, defended the project.

"We believe this is a real win-win project for Hollywood and Los Angeles, a tremendous public-private opportunity," he said. "We're having a $325 million project with relatively low public investment. It will be the catalytic project for the Hollywood and Vine area."


(Excerpt copyright 2005 Daily News)

How come owners of really nice businesses often are the first to abandon ship, or go bust after a short while, while the owners of no BFD stores end up as hangers-on or nuisances? Blue's store may not be as bad as the bail bond businesses that have become common sights in Little Tokyo over the past few yrs, which some ppl in that hood have complained about, but he's prob not much better either.

Only problem I have with this proj is now that I've heard it has reached a final stage of planning, I grow even more impatient to see it finally under actual construction. I can put up with only so many Ralphs type delays, & I remember several months ago thinking the owners of H & V already had started work on the site near Hollywood & Vine.

I think the design is kind of aggressive for that particular site, next to Grauman's. However, my biggest worry is that the combination of the bldg's look, which may make too many ppl go HUH??!!, & the ability of the hood to support X amt of new retailing could result in H&O becoming a future trouble point on the street. IOW, it could become like one of those mini malls or shopping ctrs in the burbs that are always struggling to survive & attract shoppers. Regardless, I wish the owner would hurry up & get rid of one of the deadzone parking lots on the blvd, which has no business still being there yrs & yrs & yrs after the devlpt of Graumans theater.

Let's not forget the horrible Galaxy Theater strip-mall thing (I think that's what it's called), to the left of Chinese Theater. I remember going there when it first opened, wondering if people would ever go there. They never did.

The Galaxy is the ugliest building in LA. it kills the area and should be torn down and rebuilt as something more attractive and with more of a street presence.

Correct me if I'm wrong, but I thought I read CIM recently bought the Galaxy building too. I don't think they're renewing any leases either, last time I passed by the place looked really empty, whereas before there was a gym and some stores.

I could be completely off, though.

The building would be okay with just a face lift that opened it up and made it inviting. It's a prime location. And the Knitting Factory is a great venue!

Anyone know what's going on with the 1960's era office building and adjacent empty lot on the southeast corner of Franklin & Vine? It looks like the whole block has been walled off in preparation for demolition/construction.

Do you mean Franklin and Highland?

NEW YORK, June 6 /PRNewswire/ -- Hooray for Hollywood! W Hotels
Worldwide, the fastest growing luxury hotel brand in the world, announced
today plans for a new W Hotel & Residences in the Hollywood district of Los
Angeles. Starwood Hotels and Resorts Worldwide, Inc. (NYSE: HOT), W's parent
company, entered into an agreement with HEI Hospitality, a hotel investment
and operating company, and Gatehouse Capital, a Dallas-based real estate
investment firm, who will jointly develop the property, which will be operated
by Starwood.
Located at one of the world's most famous intersections at Hollywood and
Vine, the W Hollywood Hotel & Residences will neighbor the world-famous Kodak
theatre, home to the Oscars. The hotel will feature approximately 300 rooms
and 150 W Residences, a signature restaurant, a rooftop bar, branded 9200-
square-foot spa and 25-yard lap pool.
"Hollywood has long been considered the heart of all that entertains us.
It's only fitting that we chose to build a W there," said Ross Klein,
President of W Hotels. "Our brand's heightened sense of style, design and
'Whatever/Whenever' service will mix with Hollywood's authentic buzz to create
the perfect L.A. escape."
The fifth residential project announced by W Hotels, the W Hollywood will
feature 150 luxurious residences, including one, two and three bedroom units
with spectacular views of the "Hollywood Sign". Residents will have all the
benefits of being attached to a W Hotel, including signature amenities enjoyed
by hotel guests and exclusive access to a private rooftop pool and fitness
center. Owners will have access to the hotel's facilities, including 24-hour
room service, daily housekeeping and concierge services.
"A project like this comes along once in a lifetime", says Marty Collins,
President of Gatehouse Capital, "and we look forward to greatly enhancing the
social design and economic fabric of Hollywood which has enthusiastically
endorsed our efforts. We fully expect to produce something entirely different
than anything currently in the market."
"We are excited to partner with Gatehouse and Starwood to undertake what
will be a very exciting mixed-use development," said Gary Mendell, Chairman
and CEO of HEI. "We believe that the combination of the W Hotel, W
Residences, and highly branded retail will make this Hollywood location highly
appealing to hotel guests and homebuyers alike."
The W Hollywood will offer W Hotel's signature Living Room experience, a
place where guests, residents and L.A. insiders will sip and socialize on the
adjoining outdoor terrace and rooftop club. The hotel's other distinctive
elements include substantial luxury retail space, 16,000 square feet of
meeting, banquet and pre-function space and Wired, a full-service business
center open 24 hours. Guest rooms and suites (including spa suites) will
indulge guests with W's signature beds with feather-top mattress, 350 thread-
count Egyptian cotton sheets and goose down comforters.
The W Hollywood, scheduled to open in 2008, will be the second W property
in Los Angeles, the first being the W Los Angeles - Westwood. Since its
opening in April of 2000, the 258 all-suite hotel has become the most sought-
after venue for Hollywood premieres and after parties. It's also home to the
newly-opened Nine Thirty restaurant and a spectacular 4,000-square-foot
sundeck graced with colorful cabanas which has served as the backdrop for
countless movie scenes and celebrity photo shoots.

About W Hotels:
W Hotels is a global lifestyle brand with 20 properties in vibrant cities
around the world. Inspiring and indulging its guests with thoughtful,
refreshing and stylish experiences, signature restaurants, bars and
destination spas, W has become the fastest growing luxury hotel brand in the
world. Each hotel offers a unique mix of innovative design, comfort and
cultural influences from fashion to music to art and everything in between.
Recent openings include W's first property in Asia, W Seoul - Walkerhill,
which opened in August of 2004 and its first property in Canada, W Montreal,
in October of 2004. Residence properties, offering the W lifestyle at home,
have been announced for Dallas, Fort Lauderdale, Scottsdale and Hoboken. In
addition, there are more than a dozen W Hotels in the development pipeline in
city and resort destinations. For more information, visit
http://www.whotels.com.

About Gatehouse Capital:
Gatehouse Capital Corporation, founded in 1995, is a boutique real estate
investment and advisory services firm based in Dallas, Texas. The company is
a disciplined low volume, high margin real estate development firm that
specializes in highly designed upscale hotel and upscale lifestyle centers
with a hotel component. Gatehouse uses "best of class" institutional partners
to design, build and operate its properties. Gatehouse developments include W
San Diego, W Silicon Valley and W Dallas Victory Hotel and Residences, the
first W Residences. Gatehouse is the largest third party developer of W
hotels. For more information, please visit: http://www.gatehousecapital.com.

About HEI Hospitality:
HEI Hospitality, headquartered in Norwalk, Connecticut, is a leading
hospitality investment firm which currently owns and operates 25 first-class
and full-service hotels throughout the United States under such well-known
brand names as Marriott, Sheraton, Westin and Hilton. For more information,
please visit http://www.heihospitality.com


SOURCE W Hotels Worldwide
Web Site: http://www.whotels.com http://www.gatehousecapital.com
http://www.heihospitality.com

^Hey has this Hollywood and Vine project broke ground already? The website says early 2005 but I dont remember seeing any construction last week when I drove by that area. Maybe I missed it.

Oops, my bad. Yes I meant Franklin and Highland.

Located at one of the world's most famous intersections at Hollywood and Vine, the W Hollywood Hotel & Residences will neighbor the world-famous Kodak theatre, home to the Oscars...

Is my geography off, or is this statement completely wrong?

The W and the Kodak are a mile apart. Creative marketing, is my guess.

Oh, that is soooo wrong.

As for franklin and highland. I haven't heard anything. The empty lot there has been fenced off for over a year now, but just recently, they extened the fence to include the building next door.

I too thought a few months ago that the proj already was under construction, but the press releases I read at the time either were being too optimistic or I misinterpreted them. I think what's really been referred to up until now is that the proj is at the point of being planned, meaning the devlpr is working on paperwork & financing. IOW, the owner prob is still months & months away from even signing on a proj contractor, much less bringing in actual bulldozers & cranes. LAB said he believed the proj won't be under actual construction until next yr.

^Well that answers that. Thanks citywatch. What about that slender tower on Sunset thats been fenced off for a while? Its supposed to be converted to residences right? Any info, renderings, website on that project?

^ You can expect that tower to remain dormant for at least a year.

GlobeSt.com UPDATE: W Hotel Confirms Hollywood Site
By Bob Howard
Last updated: June 7, 2005 01:17pm

HOLLYWOOD-The W Hotel & Residences chain has confirmed that it plans to join the $326-million Hollywood and Vine redevelopment project with a property to be jointly developed with HEI Hospitality and Gatehouse Capital. The property will include approximately 300 rooms and 150 W Residences, a restaurant, a rooftop bar, a 9200-sf spa and a pool.


GlobeSt.com reported last month that HEI had proposed the new W property, but the deal was considered a proposal only. The W chain’s parent company, Starwood Hotels and Resorts Worldwide Inc., has now signed a formal agreement with Norwalk, CT-based HEI and Dallas-based Gatehouse. The hotel will be operated by Starwood and is scheduled to open in 2008.

The Hollywood and Vine retail and housing project is one of the highest profile redevelopments in the city and is being developed under the aegis of the Los Angeles Community Redevelopment Agency. The project area is a 4.6-acre site on the block bounded by Hollywood Boulevard on the north, Argyle Avenue on the east, Selma Avenue on the south and Vine Street on the west. It is near the Hollywood/Vine Metro Rail Station and landmarks like the Kodak Theater, home of the Academy Awards show.

The hotel will be the chain’s second in Los Angeles. Its 150 residences will include units of one, two and three bedrooms with views of the Hollywood Sign. Residents of the units will have access to the hotel, including the private rooftop pool and fitness center, 24-hour room service, daily housekeeping and concierge services.

Is that the one that caught fire last week?

I can't wait for this project to "break ground"~ Thanks for the update LAB

This isn't about Hollywood per se, but the Miracle Mile hood is sort of like the southern flank of Hollywood, & so it & hoods farther north, closer to Hollywood Blvd, go hand in hand.

The last few sentences should be interesting to ppl who are following talk about extending the Red Line through mid Wilshire, & news on how inflation in the cost of devlpt locally & worldwide is slowing down timetables & proposals:


LA Business Journal, June 13, 2005

Transformation of Miracle Mile

By ANDY FIXMER 

L.A.’s Miracle Mile is attracting several large-scale projects that could reshape the corridor of museums and office towers. The city of Los Angeles has approved six Miracle Mile projects that would add 757 units of housing and more than 100,000 square feet for ground-floor shops and restaurants.

“It’s just ripe for development,” said Renee Weitzer, chief planning deputy for Councilman Tom LaBonge, whose 4th Council District includes the Miracle Mile. “There hasn’t been any good retail there and there’s a lack of restaurants, but the people living there really want those things.”

Some residents, however, are becoming uneasy about the impact that the development could have. Just to the north is Third Street, where the confluence of the Grove shopping center and several residential developments has added to the area’s congestion. There are also environmental concerns, given the area’s large deposits of methane gas. While some urban planners salute the trend among developers to move inward instead of sticking to the outlying suburbs, there is general concern among homeowners groups and others about the inevitable effect of the additional population. The development activity has also spurred new design guidelines.

“There is no elasticity,” said Bart Reed, executive director of the Transit Coalition, which advocates building more subway and light rail lines. “There is no more room on these streets.”

Rickie Avrutin, who lives in the same house on Curson Avenue where she grew up, worries about the high cost of rents, given the lack of affordable housing in the neighborhood. And she’s also concerned about the projects’ impact on the area. “The street I live on is a narrow street that is now used as a thoroughfare, even with the speed bumps.” Said Avrutin, a neighborhood council member. “It is bumper to bumper during rush hour.”

Weitzer downplays the potential for problems. “As these things come online, people are getting anxious about the added traffic,” she said. “Wilshire is still a good street. You know, there’s going to be traffic in this city and we try to mitigate it whenever we can.”

Running between La Brea and Fairfax avenues, Miracle Mile is home to the Los Angeles County Museum of Art, the La Brea Tar Pits and a bustling office district serving as a base for numerous media companies. But the strip offers few amenities for residents in the neighborhoods to the north and south. Office workers clog the artery during the day but leave it relatively empty at night. City planners have pushed for more housing, especially projects with shops and restaurants on the ground floor. That’s where planners believe the added traffic and density can be more easily absorbed.

“We’ve been looking for a site close to the Miracle Mile for a long time,” said Larry Scott, senior vice president in the Newport Beach office of AvalonBay Communities Inc., which is developing a six-story, 123-unit building with 10,000 square feet of retail. “It has very desirable characteristics.”

AvalonBay intends to rent apartments for about $1,500 a month for a one-bedroom to $3,000 for a three-bedroom unit. “We think those are very attainable rates for that area,” he said. “There’s a lot of demand from people who want to live there.”

Retail rise and fall

The Miracle Mile was developed in the 1920s as Wilshire Boulevard was being extended from downtown to the UCLA campus in Westwood Village and on to the ocean. As the rise of the automobile began to decentralize business in Los Angeles, downtown realtor A.W. Ross developed the commercial strip on the site of a vast oil field. By the end of World War II, Ross’s development attracted upscale department stores, including Desmonds, Broadway, Phelps-Terkel and May Co. But the district began to lose its luster as new areas further west began to open.

“It was what they called a red-line district,” said developer Jerry Snyder, who bought a number of properties in the area in the 1980s. “Lenders wouldn’t lend there and people were moving out.”

Still, Snyder thought the area’s central location could bring people back. He revamped the Museum Square building, home to the Screen Actors Guild, and across the street, built the 1 million-square-foot Wilshire Courtyard buildings, where the Los Angeles Business Journal is located. Snyder also bought and renovated the former CalFed tower at Wilshire Boulevard and Masselin Avenue, which he sold earlier this year to Arden Realty Inc. for about $93 million after signing a large lease to Viacom Inc. that brought the building to nearly full occupancy.

Starting at the intersection of Wilshire Boulevard and Highland Avenue and moving west, some of the large projects under way include:

• Chandler Partners has nearly completed construction on a two-building, 104-unit apartment complex at Wilshire Boulevard and Detroit Street that includes an existing ground-floor store in its design.

• Legacy Partners last month received approval to build a 197-unit condo that includes nearly 34,000 square feet of ground floor retail. The developer could begin construction this summer, which first requires razing the site – a former Office Depot store.

• Publicly traded apartment developer BRE Inc. has approvals for a 288-unit, six-story building on a city block bounded by Wilshire Boulevard, Eighth Street, Hauser Boulevard and Ridgeley Drive.

• J.H. Snyder Co. is building a one-story replacement building for Office Depot at the northeast corner of Wilshire Boulevard and Masselin Avenue.

• Developer David Schwartzman has approvals to convert a small office building at Wilshire Boulevard and Ogden Drive into 45 apartments, though it’s unclear if he will proceed or convert the project to for-sale units.

Construction can be long and costly because of the high water table and deposits of methane gas and crude oil. Developers have to build extra-thick reinforced foundations to withstand pressure from the water table. They also have to install special methane gas venting systems. The gas is filtered and then siphoned through a vent in the roof of the building. “It’s not like an oil refinery where you have a constantly burning flame that burns off the gas,” said Scott, the AvalonBay developer, who said the building’s residents wouldn’t notice the methane being vented from underneath the building. “You won’t smell or see it.”

Still, as AvalonBay was digging out the site for the building’s foundation and underground parking, the developer had to pump out ground water. The water was laced with sulfur, and when it mixed with the air released a rotten smell. Many Miracle Mile office buildings have to regularly pump oil out their elevator bays and underground garages. The weight of the buildings often pushes oil to the surface.

“It’s just one of the quirks,” Snyder said. “Every now and then you have to bring in someone to pump out the tar.”

Those conditions can lead to budget overruns. Even Snyder is having trouble with his Office Depot development, where the cost of construction has doubled to $7 million.

^ I wonder if LA is the only city in the world that seems to let "little" obstacles get in the way of development.

I mean, all I hear is "Let's stop development because of the potential traffic increases!" Well, how about something a little smarter fuckers? How about SMART GROWTH? How about continuing with development but adding mass transit to the picture? Where's the demand for that?

So there are some methane gas pockets? Did obstacles like bedrock stop NYC from building their subway? Did an ocean stop Hong Kong from building the world's most advanced airport? Did England and France give a damn that an channel separated them?

We here in LA had better start demanding the best. I forget where I read it, but some pundit stated that LA used to be a city with endless bounds and great ambitions, now we're a mediocre society that gets excited over small "achievements." The city is only as good as its people. That's why I'm SOOOOOOOOOOOOOOOOOOOOOOOOOOO glad AV is our mayor because AT LEAST he's been TRYING to live a little larger than people who say "Oh, it can't be done because of this or that." To those I say "SHUT THE FUCK UP!!"

In the same issue of the LA Business Journal, there was an article about architect firms switching from designing office buildings to residential buildings, because of the change in demand for the two.

Anyway, it spotlighted the firm that designed the MGM Tower, Fox, and SunAmerica buildings in Century City. Basically, the guy who designed those has been hired to design the Nederlander development at Hollywood/Vine -- you know, the development across the street from the W Hotel development and next to the Pantages Theatre.

They asked him for a description of the plans, and he said it was too early, but that he had a lot of ideas. He seemed excited about it.

He's also designing 2 (or 3?) residential towers in Century City, near the MGM Tower. That project was further along, and the reporter saw a big model of the project in the architect's office, noting that the towers were 4 feet tall in the model.

I read this at work (free newspapers!), so I don't have the article...

If the people care so damn much about the traffic then they should be living anywhere near wilshire in the first place. I dont even know how they would be able to notice an increase, the street is always going to be like that and they will have to adapt or move on out.

The problem isn't just them. They have a right to be concerned about their quality of life, which like most angelinos has been eroded by congestion. Many of these guys have seen wilshire grow from a suburban street into an urban thoroughfare. They aren't urban planners and should'nt be expected to be. The problem of our inability to build rail stems from their attitudes, attitudes which in turn ultimately stem from their built environment.

we're witnessing a failure of american democracy. It's human nature to shoot ourselves in the foot because frankly, individuals can't know what's best for society. LA's homeowners associations and the free market that led to sprawl is testament to this.

DJM had a good point.

Then edluva came with an even better synopsis.

You guys made my day just knowing other people are that intelligent.:)

Even if we build rail, I dont see that making the traffic less of a problem on that street. It seems inevitable that the street will only get worse with time and a subway under it will slow down the problem but not stop it. We are a car culture.

Obviously, the only way LA has to grow is UP. There are several options that we can use to accomodate the growth:

1) We can build more freeways at a cost of tens of billions of dollars. These freeways will do nothing to lure us out of our cars, will increase pollution, and eventually will fill up with more of the aforementioned cars. Neighborhoods will be destroyed and divided.

2) We can do nothing at all. We've seen years of doing too little and doing nothing. We've gone as far as we can with this. "If you don't build it, they won't come" obviously hasn't been the case with LA. We didn't build "it" [or we built very little of "it" --infrastructure, that is] and they still came. Homes are unaffordable, traffic is horrible, quality of life is down the toilet.

3) We can put a moratorium on growth. High cost of housing, overcrowded conditions, economic stagnation.

4) We can build more mass transit. The only way to get people out of their cars is to build more subways, light rail, and commuter rail. Each individual project as a single entity may not be the all-encompassing solution to the problem of traffic, but taken as part of the whole, it puts a significant dent in the problem. Every mile of rail laid adds exponentially to the trips taken on transit. It helps make rail travel more convenient for people along the route. A subway extension along Wilshire will not only be useful for those that commute to Wilshire, but it connects that region with the rest of the Metro Rail system. Someone living or working there can now travel to/from Long Beach, Pasadena, East LA, Woodland Hills, Norwalk, Hollywood. This is the only real way to accomodate the growth that LA will experience over the next couple decades.

It isn't about solving traffic DMJ. It's about providing an ALTERNATIVE to the car. Do you think the subway has solved the traffic problems in Manhattan? No. But people can still get around easily with the subway, which is what LA needs.

which is exactly why I hate these nimbys. They complain about new development because of traffic and then they complain about developing public transit (or dont use it).