Updated, Tuesday, November 22nd, 2016, 4:05 p.m.: The budget for the Related Company’s massive Grand Avenue Project has jumped by around $200 million.
The cost of the Frank Gehry-designed, two-tower development — dubbed Parcel Q — has stretched from $750 million to $950 million, according to a staff report prepared by L.A. County’s Chief Executive Office for the Board of Supervisors, Urbanize reported. The Supervisors approved the updated development and financing agreement for the project Tuesday.
Related has reportedly brought in an unidentified Chinese investor to fill the financing hole.
A series of final approvals for the project is expected to come in the weeks ahead from the Grand Avenue Authority board, as well as from the Los Angeles City Council and the board of the CRA’s successor agency. Depending on the approvals, the groundbreaking date could be pushed back one year to Nov. 1, 2018, the letter from the L.A. County Chief Executive Office revealed.
The amended plan calls for a reduction in the number of units in the 38-story residential tower from 450 to 429 and a net decrease of 32,000 square feet in the planned retailed area. Under the new plan, no less than 20 percent of the project’s affordable units would be reserved for households earning 40 percent or less than the Los Angeles area median income.
Across the street, Related California finished a 19-story apartment complex, dubbed the Emerson, in 2014. [Urbanize] — Cathaleen Chen
Correction: A previous version of this story stated the developer was Related California. It is the parent company, Related Group of Companies, in a public private partnership. The allotment of affordable housing at the proposed project would be at least 20 percent, not 15 percent. The story has also been updated to reflect that the Board of Supervisor’s approved the updated development Tuesday.