The proposed 55-story hotel adjacent to the convention center is getting closer to becoming a reality. City Council advisors, Bill Fujioka and Gerry Miller have recommended the Council approve $266 million in public subsidies to get the hotel built.
The hotel is seen as a lynchpin to getting more conventions into the city, and will also be a focal point of the LA Live project. Phil Anschutz (pictured above), the Denver billionaire, part owner of Staples Center, and owner of LA Arena Land Co. has already obtained $180 million in private loans needed for the project, but says the City's aid is necessary to make the project go.
However, a chorus of moans and groans from other Downtown hotels has just started, as they wonder where their hand out is. Lawsuits are sure to follow. Milk will be spilled. And hands will be wrung. We're betting the hotel is delayed a year, construction costs go up, and the project requires an even greater subsidy. Next.
· Council Is Urged to OK Hotel Deal [LA Times]
· Convention Center Hotel and the first death knell to the white elephant [Downtown Central City East Blogger]