Posted on: Wednesday, September 5, 2001

$1 billion development plan for Los Angeles approved

Bloomberg News Service

LOS ANGELES — The Los Angeles City Council unanimously approved plans for a $1 billion project surrounding Staples Center in Los Angeles, including a 1,200-room hotel, a live theater, shops and 800 housing units.

At a hearing, representatives of chambers of commerce, property owners, labor and neighborhood groups and homeless shelters said the 27-acre project would help revive the area south of the downtown financial district.

L.A. Arena Co. LLC, controlled by Denver billionaire Philip Anschutz, Fox Entertainment Group and developer Edward Roski Jr., plans to start construction next year, said Timothy Leiweke, the company's president.

The developers still must arrange financing for the hotel, which is expected to include a public subsidy. Leiweke wouldn't estimate the size of the subsidy, saying an independent consultant is evaluating potential financing.

"The hotel is a priority," Leiweke told the council. "Additional issues have to be addressed with it, including the financing, which will take place in the next few months."