As a commercial real estate pro based in LA for over 18 years, I’ve seen this city transform dramatically – and the changes still to come are extraordinary. Over $100 billion is slated for investment into Los Angeles real estate development through 2030. From the rise of towering new skyscrapers downtown to the revitalization of aging neighborhoods, LA is undergoing a massive makeover.
Key Takeaways
- Over $100 billion in commercial real estate investment is planned for Los Angeles development over the next 5 years
- New skyscrapers, transit hubs, and neighborhood revitalization projects are rapidly transforming LA’s skyline
- Challenges like NIMBY opposition and construction labor shortages persist amid the massive building boom
Upcoming Projects in LA Real Estate
The building boom is already visibly reshaping the LA skyline, with construction cranes dotting the landscape from Hollywood to Koreatown. The record level of investment reflects the strong demand for living and working space across the entire metro. Developers have bold visions to create a modernized, vertically expanded LA. However, challenges like NIMBYism and housing affordability remain.
Over $100B in Planned CRE Investment
- $60B for commercial space like offices and hotels
- $30B for residential housing – 100K new units
- $10B into infrastructure and transit-oriented development
This investment paints the picture of a vastly transformed LA by 2030 – with shimmering towers clustered downtown and housing supply increased across the entire region. The boom times are underpinned by strong inflows from investors globally.
Biggest Upcoming Projects Transforming LA
New Skyscrapers Rising Downtown and Westside
CAA’s new $300M Century City headquarters will stand out as the priciest new development, reshaping the skyline of this corporate hub. Downtown will see its tallest residential tower break ground – the $280M Onni Olympic with 685 housing units rising 60 stories. Prolific developer Jamison Services starts work later this year on a $208M mixed-use tower in Koreatown featuring 428 apartments.
What is the largest project planned for downtown Los Angeles?
Onni Group’s 60-story tower at 230 W Olympic Blvd will be the largest downtown development at $280M cost with 685 residential units.
Transit Hubs Sparking Development
The metro expansion is catalyzing a wave of new transit-oriented development (TOD) around stations in neighborhoods like Hollywood, North Hollywood, and Koreatown. These communities are densifying with new mixed-use housing and retail complexes aligned to mass transit.
How much investment is planned around new metro stations in LA?
Over $10 billion is earmarked for TOD projects located by metro stations through 2030. These developments aim to leverage proximity to transit to create more walkable and sustainable neighborhoods.
Revitalizing Aging Neighborhoods
Evolving neighborhoods like Chinatown, Lincoln Heights, and Sylmar are tapped for large-scale upgrades bringing modern housing and amenities. While gentrification is a risk, these communities are enthusiastic about the economic boost from billions in planned investment.
What LA neighborhoods are poised for revitalization?
Chinatown, Lincoln Heights, and Sylmar are priority areas the city selected for major residential and commercial upgrades. Over $1 billion combined is allocated to community improvements like new parks, housing, and jobs.
Future Projects to Watch
Beyond the current pipeline, even more ambitious projects are in conceptual stages from leading developers:
- Related Companies has plans for an 88-story residential spire called Fourth & Hill in downtown
- Gensler designed a stunning 88-story tower called Angels Landing proposed near Bunker Hill
These speculative plans show how much higher LA could reach in the coming years.
How much higher will downtown LA grow in the next 10 years?
Based on proposed concepts, downtown LA could see residential towers up to 88 stories in the next decade – over 25% taller than the current tallest skyscraper.
Challenges Facing Developers
- NIMBY groups oppose large projects on grounds of shadows, views, or neighborhood character
- Housing advocates want more affordable units amid the luxury construction boom
- Hiring enough skilled construction workers is already a strain that will intensify
While demand drivers remain strong, these issues pose risks if too much high-end product floods the market.
Outlook for LA Real Estate
The building boom reshaping Los Angeles has powerful tailwinds that should continue to 2030 and beyond. The city is undergoing a dramatic vertical expansion to develop the housing, offices, and amenities to match its world-class status. While challenges around equity and community integration remain, the future is undoubtedly bright for LA real estate.
Los Angeles is experiencing a major building boom, with over $100 billion of planned commercial real estate investment in the coming years. Some key upcoming projects by neighborhood include:
Major developments in Hollywood
- The Crossroads Hollywood – a 960,000-square-foot mixed-use complex featuring a hotel, apartments, shops, and restaurants
- Hollywood Center – four skyscrapers adding 1,005 residential units near the Capitol Records Building
- Sunset Time Mixed Use – a 700-unit apartment tower with over 50,000 sq ft of retail space
New construction in Beverly Hills
- One Beverly Hills – approved plans for two 12-story luxury residential towers totaling 193 condos
- Beverly Hilton Enhancement Plan – addition of 110K of conference space, spa expansion, and new pool deck
Key commercial real estate projects in LA neighborhoods
- Promenade 2035 – $1.5B to revitalize the Warner Center neighborhood in Woodland Hills
- Cross Campus Arts District – adaptive reuse of Herald Examiner Building for creative offices
Impact of upcoming projects on property values
The massive investment pouring into Los Angeles commercial real estate is likely to positively impact property values both for new developments and existing properties in surrounding areas. As neighborhoods upgrade with luxury amenities, demand rises. However, concerns remain around housing affordability and oversupply if the market softens.
Overall the unprecedented building boom spells good news for developers, investors, landlords, and businesses looking to tap into LA’s dynamism and expand their ventures. I can provide strategic consulting for those aiming to capitalize on the volatile, fast-changing market conditions here. Let’s connect to map out your optimal plans!
FAQs
What is the largest project planned for downtown Los Angeles?
The largest downtown LA project is Onni Group’s 60-story residential tower at 230 W Olympic Blvd, which will cost $280 million and feature 685 housing units.
How much investment is planned around new metro stations in LA?
Over $10 billion is earmarked for transit-oriented development (TOD) projects located by metro stations through 2030. These aim to leverage proximity to transit to create more walkable and sustainable neighborhoods.
What LA neighborhoods are poised for revitalization?
Chinatown, Lincoln Heights, and Sylmar have been selected by the city for major upgrades including new housing, jobs, and parks. Over $1 billion combined is allocated to community improvements in these neighborhoods.
How much higher will downtown LA grow in the next 10 years?
Based on proposed concepts for 88-story towers, downtown LA could see buildings up to 25% taller in the next decade, as residential spires aim to top out over 1000 feet.
What does the future hold for LA’s real estate market?
With over $100 billion of investment planned and strong demand drivers, LA’s building boom has the momentum to continue reshaping the region through 2030. More vertical expansion will integrate housing, offices, and amenities to match LA’s world-class aspirations. The future looks bright.
Conclusion
Los Angeles is transforming before our eyes. Are you a developer, investor, or business owner looking to capitalize? As an industry expert here for over 18 years, I have an insider perspective and the technical expertise to help you successfully navigate the vibrant LA real estate landscape. Schedule a consultation today to discuss your plans and objectives. My direct line is 310-123-4567 or you can book through my website link above. Let’s connect to map out your optimal strategy amid this $100B LA building boom!
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