Los Angeles Office Conversions Stalled—Financing Disappears for 22 Major Projects
Key Takeaways Financing issues have stalled 22 significant office-to-residential conversion projects in Downtown Los Angeles. The setback jeopardizes the delivery of nearly 4,400 much-needed new housing units and aggravates the ongoing housing crisis. Developers face a challenging environment marked by high interest rates, costly loans, and extensive permitting delays, leaving vast office spaces unused. Financial Uncertainty Puts LA Development Dreams on Hold The downtown Los Angeles office sector faces a shocking freeze, as financing vanishes for 22 major office-to-residential conversions . Developers confront rising interest rates, impossible borrowing costs, and suffocating permit delays . Hundreds of vacant office spaces stand idle. The promise of nearly 4,400 new housing units slips away, casting doubt over the city’s future. Which investor will move next? Barriers Blocking Los Angeles' Office-to-Housing Conversions How rapidly can Los Angeles adapt —or is it sta...