About Those Tax Breaks

A Los Angeles Times story raises questions about LA's tax breaks to downtown developers at a time when the city is facing even more possible furloughs and budget cuts. The deal with J.W. Marriott allows developer AEG to keep as much as $270 million in city taxes, while the Wilshire Grand tax deal would see the city lose up to $250 million, according to the paper. (The city also won't make a cent off the unprecedented amount of advertising planned for the Wilshire Grand.) And more deals are likely coming: The developer of the forthcoming Marriott Courtyard and Residences say they will ask for some type of help. Backers of the tax deals, including Councilwoman Jan Perry, who is exploring a run for Mayor, say these new hotels need "public support," while a consultant hired by the city argues these tax breaks are still needed to encourage revitalization. [LAT]