Wilshire Grand Redevelopment
HR&A assessed the economic and fiscal impacts of the Wilshire Grand Tower to justify public investment in the tallest building in Los Angeles.
For Hanjin International and Thomas Properties Group, HR&A prepared the detailed economic and tax revenue analyses components of a proposal to replace Los Angeles’ obsolete Wilshire Grand hotel with a 2.4 million square foot, mixed-use development. The development, located in Los Angeles’ central business district, will house a five-star luxury hotel, Class-A office space, 100 condominiums, and retail to draw international businesses to downtown Los Angeles. Once completed in 2017, the 73-story Wilshire Grand will be the first high-rise office building constructed in Downtown Los Angeles in over 20 years.
Our analysis demonstrated that the new development would generate sufficient net new revenues to justify a subvention agreement, with the City committing 50 percent of the project’s transient occupancy tax revenue for a fixed period of time to aide development feasibility. HR&A participated in working group sessions with senior City staff and the City’s outside real estate advisor to confirm analysis assumptions and results.