I have been under the impression that “stimulus money” was being provided for the sole purpose of job creation. As I drove to a dinner meeting last night I heard a radio commentator report that the Obama administration has just provided $10 million in “stimulus” money for the “W” hotel on Hollywood and Vine Streets in LA.
Juice readers will recall my posts of our successful efforts in saving Bernard Luggage from an eminent domain “taking” located right in the heart of this CRA/LA redevelopment project area. Amazing. I just spoke to Bob Blue, owner of Bernard Luggage, who confirms that the construction project is basically completed.
Hello. We currently have an 18.7 percent unemployment rate in the construction industry. However, the W and the adjacent Legacy apartment project is completed.
This redevelopment project does not warrant or deserve $10 million dollars in stimulus money.
The 305 room hotel is scheduled to open January 15, 2010. They also have 143 condo’s for sale of which one was just purchased by a member of the LA Lakers. These units sell for $600-700,000 to over one million dollars each. In fact the “W” even has a heliport on the roof for quick getaways.
Bob informs me that CRA/LA has already committed $6.5 million to Legacy Partners for subsidizing the 20 percent of their 375 apartments that are dedicated for affordable, low income families.
We read of phony job numbers yet this one is close both in distance and real involvement based on our legal and grass roots protests and picketing.
Following is part of yesterday’s LA Weekly commentary on this gift of public funds. The full story link is provided below:
“But Hollywood’s two biggest stimulus-money recipients, the very rich Legacy Partners Hollywood & Vine and the nonprofit Swansea Park Senior Apartments, are not creating any jobs with their federal stimulus funds.
Legacy Partners is the developer of the massive W Hotel project at Hollywood and Vine. The W project, which has been attacked for a deal in which the city allowed it to include very large billboard spaces, is nearing completion and does seem like a shovel-ready project. Yet according to the White House, the $10 million investment will create zero jobs.
Legacy Partners did not respond to interview requests regarding its take of federal stimulus funds in the amount of $10.2 million.”
http://www.laweekly.com/2009-11-19/news/hollywood-s-catered-stimulus/2
Juice readers. What’s your take on the selection, distribution and justification of stimulus funds?
As I send private property rights stories to colleagues across the nation here is part of an email response received yesterday:
“By intimation only- reflective of a majority, I’m sure. I’m still trying to figure out how they build $100 million into stimulus for Louisianna via a health care bill.”
Another email response to this post:
Larry, interesting and depressing.
“Who is the one who awards “stimulous money” anyway? The corruption involved in these awards, I am sure, is staggering. It seems every rock that one looks under, corruption is found. Lord, help us!”
Email form Bob Blue, owner of Bernard Luggage at Hollywood & Vine, the small guy who fought and won against CRA/LA who wanted to take his family business when it was not for sale.
“Hi Larry,
I was just going through my emails. I know that we already spoke on the phone. Basically I had to get a phone call from Orange County to find out about what had happened in Hollywood!
Thanks for the update and Jill Stewart and her team at LA Weekly are doing a very good job sheding light on LA City officials.
Thank you, Bob.”
Confirmation of condo purchase by Laker Sasha V
“By Lauren Beale
November 21, 2009
Lakers reserve guard Sasha Vujacic has purchased a unit at the W Hollywood Residences.
The condominium, in the $350-million development at the landmark intersection of Hollywood and Vine, has two bedrooms and 2 1/2 bathrooms in about 2,100 square feet. The purchase price was not available, but a comparable unit is listed at $2.1 million.
His west-facing condo has views of Century City, West Hollywood and Beverly Hills. He will be among the first owners to move in when the W Hollywood Hotel & Residences opens in mid-January.
Vujacic, 25, should feel right at home. He grew up in a condo in Slovenia, although perhaps not this posh. Amenities for the 143 residential units include concierge service, a rooftop fitness facility, a residents-only rooftop lap pool, valet and self-parking, and housekeeping services. The 15-story building has a restaurant, a nightclub and shops as well as 305 hotel rooms.
The shooting guard joined the Lakers in 2004 and last year signed a three-year deal worth $15 million.
Maranda Blanton, sales manager for the W Hollywood Residences, handled the transaction.”