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Tag: property

  • Gavin Newsom signs controversial bill regulating California warehouse development

    Gavin Newsom signs controversial bill regulating California warehouse development

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    Gov. Gavin Newsom has signed a controversial bill that establishes siting and design standards for industrial warehouses that, according to supporters, would better protect the health of nearby residents.

    The legislation comes as developers have converted large swaths of property along Inland Empire freeways into a logistics corridor for e-commerce, connecting goods shipped into Southern California ports with online shoppers across the nation. Although proponents of the developments say they bring jobs and infrastructure improvements, many residents living in the shadow lament the pollution, traffic and neighborhood disruption.

    Beginning in 2026, Assembly Bill 98 will prohibit cities and counties from approving new or expanded distribution centers unless they meet specified standards. New warehouse developments will need to be located on major thoroughfares or local roads that mainly serve commercial uses. And warehouses will need to be set back several hundred feet from so-called “sensitive sites” such as homes, schools and healthcare facilities.

    Additionally, if a developer demolishes housing to make way for a warehouse, the bill will require two new units of affordable housing for each unit that is destroyed. The developer will have to provide displaced tenants with 12 months’ rent.

    Assemblymember Juan Carrillo (D-Palmdale), co-author of the legislation, previously described the measure as a “very delicate compromise” that resulted from lengthy negotiations among a group that included labor, health, environmental and business representatives.

    While some labor organizations supported the bill, environmental, community and civic groups statewide objected to the secrecy in which the bill was crafted in the final days of the session and said it fails to hold warehouse developers to higher standards.

    Several cities also opposed the legislation, which, according to an analysis by the Senate Appropriations Committee, requires general plan updates that could result in one-time costs for cities and counties ranging from tens of millions to potentially hundreds of millions of dollars.

    Environmental advocates are especially concerned about the bill’s setback requirements for projects involving warehouses 250,000 square feet and larger that are within 900 feet of homes, schools, parks or healthcare facilities.

    In those cases, the bill requires that truck loading bays are located at least 300 feet from the property line in areas zoned for industrial use and 500 feet from the property line in areas not zoned for industrial use. Warehouses would also need to comply with design and energy efficiency standards.

    Advocates argued the bill would simply enshrine current warehouse development practices into law and undermine local efforts to advocate for the much bigger setbacks recommended by state agencies.

    In a 2022 report on best practices for warehouse projects under the state’s environmental laws, the state attorney general’s office recommends locating warehouse facilities so that their property lines are at least 1,000 feet from the property lines of sensitive sites such as homes and schools. It cites the state Air Resources Board, which in 2005 estimated an 80% drop-off in pollutant concentrations at approximately 1,000 feet from a distribution center.

    This article is part of The Times’ equity reporting initiative, funded by the James Irvine Foundation, exploring the challenges facing low-income workers and the efforts being made to address California’s economic divide.

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    Rebecca Plevin

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  • Trump, in Rancho Palos Verdes, says his golf course is ‘very solid’ despite nearby landslide

    Trump, in Rancho Palos Verdes, says his golf course is ‘very solid’ despite nearby landslide

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    Standing on his golf course less than a mile from the Rancho Palos Verdes landslide zone where hundreds of homes are without gas and electricity, former President Trump on Friday called his property “very solid” and called on the government to help the troubled city.

    “It’s a very wealthy area, but you also have people living here that are elderly and have fixed incomes and have houses that are gonna be, ya know, shoved into the Pacific Ocean if something’s not done,” the former president said.

    Trump spoke to reporters at a campaign-related news conference at his seaside Trump National Golf Club Los Angeles, which he bought from bankrupted developers in 2002 after the 18th hole slid into the ocean.

    The landslide-prone city is under a state of emergency issued by Gov. Gavin Newsom this month because of extreme land movement triggered by back-to-back rainy winters. Neighborhoods near the golf course are under a city-issued evacuation warning, with the land moving about nine to 12 inches a week.

    Before he began his lengthy remarks at an outdoor lectern — the Pacific Ocean behind him with Catalina Island visible after the morning fog cleared — Trump invited Rancho Palos Verdes Mayor John Cruikshank to speak.

    “Obviously, I’m a tiny bit nervous. This is a very big deal,” Cruikshank said as he held a red “Make America Great Again” hat in his hands.

    Rancho Palos Verdes Mayor John Cruikshank holds a “Make America Great Again” hat while listening to former President Trump speak at a news conference at Trump National Golf Course on Friday.

    (Christina House/Los Angeles Times)

    Cruikshank told the Times on Thursday that he had, for several days, been trying to get on the Republican presidential nominee’s schedule. He had hoped to talk to Trump about the landslide before the news conference and had not expected to speak.

    At the lectern, Cruikshank pleaded for help for the city of 40,000 people.

    “We believe we can solve the problem, but we really need the assistance of the state of California and the federal government,” he said. “We have solutions out there for that, but the problem is bigger than the city of Rancho Palos Verdes.”

    Trump, who is actively pursuing long-held plans to build up to 23 homes on the property, has struggled over the years to get city approvals for development, in large part because of the area’s instability.

    The original owners of the property, then called the Ocean Trails Golf Club, went bankrupt after the 18th hole fell into the Pacific during a 1999 landslide while the course was still under construction. Trump bought the property in 2002 for $27 million.

    He brought up the club Friday while attacking the leaders of San Francisco, who he said have allowed the city to decline. Trump compared costs at his club with an infamous $1.7-million public toilet that opened this year in San Francisco.

    “They built a toilet for $1.7 million, and it’s not even nice. I saw pictures of it. I built this whole thing for less than that,” he said, sweeping his hand in reference to his property.

    As for landslides, Trump said they “are something that can be taken care of.”

    “This area’s very solid,” he said of his property. “But if you go down, a couple miles down, you’ll see something that’s pretty amazing. The mountain is moving, and it can be stopped, but they need some help from the government. So, I hope they get the help.”

    Trump did not indicate if he was referring to the state government or federal government.

    City officials say the golf club is about a half-mile from the active slide area.

    Trump repeatedly trashed the Golden State but praised his club, saying he never has to advertise because “it’s always loaded up with golfers” and is “one of the best courses in the world.”

    He added: “I have the ocean. Pebble Beach has the bay. The ocean’s better than the bay.”

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    Hailey Branson-Potts

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  • Homebuyers beware: How to avoid properties with high landslide risk

    Homebuyers beware: How to avoid properties with high landslide risk

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    The landslides that have forced authorities to shut off power and gas to hundreds of homes in Rancho Palos Verdes over the last two months highlight the risk of living on land susceptible to shifting and eroding with little warning.

    Deep-seated landslides can occur weeks or months after heavy rainfall, when water has time to percolate down to weak zones of rock, creating a landslide plane under the weight of the overlying rock and soil, according to the California Geological Survey.

    These types of landslides generally occur on moderately steep slopes.

    If you are in the market to buy a home, experts say there are a few ways to determine whether you are buying a property with a high risk of landslides.

    What causes landslides

    Landslides are part of the natural process that erodes mountains and moves sediment to the ocean through river systems. “It’s important to the basic erosion process,” said Jonathan Godt, the landslide hazards program coordinator for the United States Geological Survey.

    “Over the human lifespan, we’re just a blink of an eye in geological time, so [landslide] issues or those processes don’t penetrate our consciousness until something like the unfortunate situation in Rancho Palos Verdes happens,” he said.

    In 2011 the California Geological Survey created a map that shows that a majority of the state’s coast is at risk of landslides.

    Homes built decades ago on ancient landslides that were at one time dormant are “fine for periods of time, [but] sometimes there are changes,” Godt said.

    Several factors can alter a landslide’s active status, such as rainfall and earthquakes, but the warning signs are hard to see because they are “well beneath our feet and kind of hidden,” he said.

    When properties in these areas are for sale, it’s up to buyers to gauge the land movement risk of the property they’re interested in.

    If the seller or their agent knows that the property is on a seismic hazard zone that is subject to strong ground shaking, soil liquefaction or landslide, the information must be disclosed, according to the state Department of Real Estate.

    But buyers are also responsible for conducting their own research.

    Online research into a property’s landslide risk

    At least two websites, Realtor.com and Redfin.com, provide information on the property’s natural disaster risk. Near the bottom of the listing there’s a section that breaks down the property’s risk of flooding, fires, heat, wind and air. Unfortunately, landslides and land movement are not factors that are disclosed.

    Instead, potential buyers should conduct a Google search of the neighborhood alongside the words “landslide” or “natural disaster.” If there has been previous landslide activity, news articles about those problems probably will surface, said Timothy D. Stark, professor of civil and environmental engineering at the University of Illinois.

    For more scientific data, buyers can turn to three landslide maps created by the California Geological Survey. The Reported Landslides Database has reports of landslides from local governments, the National Weather Service and citizen scientists. The Landslide Index allows users to request reports and other documentation of landslides in a specific area. The California Deep Landslide Susceptibility and Landslide Inventory includes a map of the state that marks areas of landslide susceptibility in dark red.

    The California Department of Conservation also published a 2023 California Landslide Response report that included a page showing where deep-seated landslide activity might occur after the 2023 storms.

    Stark also suggested using Google Earth Pro to look at aerial images over time to look for land movement.

    When you look up an address or a neighborhood on Google Earth Pro, it will automatically show you the current image. To view past images, click the View tab and then Historical Imagery or click on a small clock icon above the 3D Viewer. You can then zoom in or out to change the start and end dates.

    As you look at the surface of the area you’re researching, Stark said to look for ground surface features such as drops in nearby hillsides or reddish areas (that have exposed or no vegetation) that indicate steep slopes — all potential signs of prior slope movement.

    Looking for signs of past or potential landslide activity

    Other signs of landslide risks can be spotted with the naked eye when visiting a property you are looking to buy.

    When you’re visiting the neighborhood, take a look at the surrounding properties.

    If the house is near or around hills, check out the hill or slope itself. A sign of land movement is if the ridge at the top of the hill is flat and then has a steep curve, a drop or cracks, suggesting a previous landslide.

    Check the base of the hill; if the ground is heaved up, that’s a sign of movement.

    Consider how close the hill or slope is to the property you’re interested in. If there is sudden land movement or a landslide, the higher the nearby hillside, the farther a landslide can travel, Stark said.

    Other signs of past land movement in the area might include:

    • Misaligned fencing, pavement, guard rails, utility poles, trees or walls.
    • Visible cracks on the ground.
    • Water and sewer lines that are above ground.
    • A cracked or buckled roadway.
    • Offset yellow or white lines on the roadway.
    • Houses in the neighborhood that are supported by wooden boards or railroad ties.
    • Houses that have cracks or are leaning.

    You can also check whether land is moving by taking a photograph of the offset marked lines on the ground or a crack in the pavement and revisit the same site a week or two later to see if there’s any visible difference, Stark said.

    If you decide to make an offer for a home and start escrow, a home inspector can help you determine if past land movement has affected the property.

    Stark said home inspectors will complete a home assessment and look at the walls, drywall and foundation for any types of cracks that suggest land movement. Inspectors will also look at whether the walls are straight and the floor inside the home is level.

    Inspectors can also suggest if a geotechnical engineer is needed to conduct soil samples of the home. These tests can detect the behavior of the ground under varying conditions.

    Insurance coverage for landslides?

    Natural disasters such as earthquakes, flooding and landslides typically are not covered by a general homeowners insurance policy.

    However, homeowners can buy a non-standard policy, called a Difference in Condition policy, that’s often used to cover earthquake damage.

    Jerry Becerra, president of Heffernan Barbary Insurance Services, said it’s possible to find a DIC policy covering earthquakes where the definition of earth movement is broad enough to include landslides. But he said such a policy could be pricey.

    “Presuming you can find a DIC earthquake policy to cover a building located in an area prone to earth movement, the pricing would reflect the exposure,” Becerra said.

    Underwriters rely on maps that show soil conditions, proximity to earthquake faults and other factors to determine rates, he said.

    If the area is known to have a lot of earth movement, he said, it’s possible no company would be willing to provide coverage.

    “I would not take a guess on actual pricing, but I expect it to be more than 1% of the coverage value and subject to high deductibles,” Becerra said.

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    Karen Garcia

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  • Half a house, half a million: A tree-crushed home hits the market in Monrovia

    Half a house, half a million: A tree-crushed home hits the market in Monrovia

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    A few months after being toppled by a towering pine tree, a Monrovia home — or what’s left of it — is up for grabs for $499,999.

    The humble bungalow made headlines when it was crushed by a tree in May with two renters and two dogs inside. None were injured, but the tree took out their car, a fence and most of the roof.

    What’s left of the property looks like a postapocalyptic set piece complete with missing walls, loose wires and no ceilings. Some would call it unsalvageable; listing agent Kevin Wheeler quipped that it’s an “open-concept floor plan.”

    According to the listing, the home holds one bedroom and one bathroom in 645 square feet, but those are based on measurements taken before it was destroyed. Wheeler said the electricity is turned off, but the plumbing still works.

    The back door, which the renters escaped through after the tree came down, still stands.

    Monrovia rules state that demolitions on properties more than 50 years old require a review. But since the house was destroyed by an act of God, a review isn’t required, according to Wheeler. So house-hunters can buy what’s left of the home and fix it up without dealing with some of the red tape typically required during rebuilds.

    “There’s been a lot of interest so far because demand is so high and inventory, especially at this price, is so low,” Wheeler said.

    He added that multiple people tracked down the homeowner with low-ball offers to buy the home days after it was crushed.

    “They were trying to buy it for $250,000 or $300,000,” he said. “But market comparisons for similar properties in Monrovia put the value at $500,000.”

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    Jack Flemming

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  • In key congressional race, Republicans criticize Democrat’s Central Valley real estate deal

    In key congressional race, Republicans criticize Democrat’s Central Valley real estate deal

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    When the federal government closed Castle Air Force Base in Merced County in the 1990s, the dilapidated buildings and vast expanse of aging tarmac left behind seemed more like a liability than an opportunity.

    But by 2018, the old runways that once carried B-52 bombers had found a new and unexpected customer: Google, which was testing its experimental self-driving vehicles there, far from the prying eyes of Silicon Valley.

    At the urging of then-state Assemblyman Adam Gray, California gave Merced County $6.5 million that year to expand the self-driving testing program at the old base.

    A few years later, Gray invested there, too.

    In 2022, a company in which Gray is a minority owner bought four apartment buildings on the former base from Merced County, according to a Times review of business filings, property records and Gray’s financial disclosures. Gray’s link to the real estate deal has not been previously reported.

    The sale closed for $600,000 in August 2022, records show, and the property is now valued at more than $2.5 million. Gray’s representatives said that the investment shows his interest in providing affordable housing, and that renovations have been so costly that he has yet to make money.

    Nonetheless, the real estate deal in rural Atwater, Calif., has come under scrutiny as Gray, a Democrat, fights to unseat first-term Rep. John Duarte (R-Modesto). The race in California’s 13th Congressional District is a bitter rematch of 2022, when Duarte beat Gray by the second-closest margin in the nation: 564 votes.

    The race is among the handful of contests across the U.S. that are seen as pivotal in determining which party controls Congress after the November election.

    Republicans have questioned the timing of Gray’s purchase, which closed four months before he left the Legislature and less than a year before California officials awarded nearly $50 million in new funding for the site. The 2023 grant from the California State Transportation Agency helped Merced County build out a rail hub on the base site to handle cargo loaded onto trains from the ports of Long Beach and Los Angeles.

    “Gray’s self-serving scheme reveals his true colors as a Sacramento politician who lines his own pockets at the expense of Valley families’ trust and hard-earned dollars,” said Ben Petersen, a spokesman for the National Republican Congressional Committee, which works to elect Republicans to the House of Representatives.

    Petersen accused Gray of “mixing taxpayer money with personal profit” and said the apartment deal should be investigated.

    Far from Gray lining his pockets, his campaign and company said, the old Castle Air Force Base apartments have required so much renovation that Gray has actually lost money.

    Ben Rodriguez, Gray’s campaign manager, said the allegations were false and “intended to distract voters from John Duarte’s disastrous record.”

    “While Adam Gray has brought back real help for families across this district, Duarte is making things worse for families every day he spends in Congress,” Rodriguez said.

    Gray is a minority owner in Gemenii LLC, the company that owns the apartment complex at the base. Gemenii is a subsidiary of a family-owned residential and commercial construction company of which Gray is also a member, the firm said.

    Gray learned about the Castle Air Force Base apartments about six months before the sale, when “partners that own other properties at Castle” approached him with the idea of renovating the 80-unit complex to provide affordable housing, the company said.

    The four spartan buildings, once barracks for airmen, were in disrepair, and three were vacant. Merced County had classified the property as surplus and assessed the buildings and the 5.3 acres of land beneath them at $400,000 to $600,000, the company said.

    When the county received “no other competitive offers,” the firm said, Merced County sold the buildings for $600,000.

    The firm has since spent millions on renovations, “exactly as intended by Merced County when the property was sold in an open and public sale process,” company attorney Richard Marchini said in a written statement.

    Gray was still representing the Modesto area in the state Assembly when the sale closed.

    A Google Waymo autonomous vehicle navigates the roads inside the company’s facility on the property of the former Castle Air Force Base, which is now a municipal airport, in Atwater, Calif. in 2017.

    (San Francisco Chronicle / Hearst Newspapers via Getty Images )

    Gray has a 30% stake in the firm that owns the apartments, the company said. His name does not appear in the company’s state business filings.

    Gray first disclosed his investment in his 2022 Form 700, the financial disclosure that California lawmakers are required to file annually with state ethics officials.

    Government experts said it did not appear that Gray’s real estate deal broke the law.

    But, they said, elected officials who invest in real estate must be aware of the appearance of conflicts of interest, particularly when investing in their districts.

    Dan Schnur, the former head of the California Fair Political Practices Commission, said that Gray’s real estate investment at the site being bookended by the award of taxpayer funds seemed “suspicious.”

    “Everyone deserves the benefit of the doubt, but the best way to receive the benefit of the doubt is to earn it,” Schnur said. “A public servant ought to be aware of how these things might be perceived.”

    After Gray lost his run for Congress in 2022, he filed a federal financial disclosure with the House in which he did not disclose the real estate investment or his stake in the LLC that owns the buildings.

    His campaign said that Gray did not mention the apartment complex investment because there was no revenue to report, but that he disclosed his position in the parent company.

    In a new filing made public this month, for Gray’s second run for Congress, he said he received between $100,000 and $1 million from the LLC that owns the apartments in 2023, and between $50,000 and $100,000 in the first half of 2024.

    Those figures represent the company’s total revenue, rather than Gray’s, and were listed “out of an abundance of caution,” the campaign said.

    Gray has not received any income from the business in 2023 or 2024, the campaign said, and the investment has not made a profit.

    The former air base, now called Castle Commerce Center, covers about 3 square miles. It’s home to miles of empty roads, as well as dozens of private and government tenants, including a federal prison, a post office, Merced’s commercial airport and Waymo, Google’s autonomous vehicle company.

    After Gray helped secure the $6.5-million grant for the self-driving car testing site in 2018, Merced County converted vast stretches of unused tarmac at the base into a testing hub. There are now full intersections with traffic lights and signage and a 2.2-mile test freeway with on- and off-ramps where vehicles can practice driving in urban environments.

    The site, operated by an Ohio-based company, has hosted two dozen companies from Silicon Valley and major automotive firms.

    In the midst of that boom, Merced County’s supervisors continued selling portions of the base as surplus land. That included the 5.3-acre site and the 80-unit apartment complex, which the board sold on a 4-0 vote in May 2022 to Gemenii.

    At the time of the sale, the land was valued at $465,000, and the structures were valued at $135,000, according to tax records provided by the company.

    The company took out an $885,000, 30-year mortgage at the end of 2022, and a $3-million, 15-year mortgage in June of this year, to finance renovations at the building, the company said.

    Two buildings have been gutted and renovated so far, a process that included asbestos removal and replacing windows and appliances, the company said.

    The renovated buildings are now valued at more than $2 million, while the underlying land value has risen by $9,300, according to tax bills provided by the company.

    The increase in value is “directly connected to the material financial efforts of Gemenii to revitalize the property,” the firm said. Any developments at the air base site, the company said, “have had no impact on the property’s value.”

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    Laura J. Nelson

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  • San Jose office building lands artificial intelligence tech company

    San Jose office building lands artificial intelligence tech company

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    SAN JOSE — An eye-catching San Jose office building has landed a big lease with a cutting-edge tech company in a deal that offers a hopeful counterpoint to the dismal swaths of empty spaces in the Bay Area.

    A large new tenant has agreed to take some space at One Santana West, a new office building at 3155 Olsen Drive across the street from the Santana Row neighborhood in San Jose, according to executives with Federal Realty Investment Trust, the principal owner and developer of Santana West.

    One Santana West office building (foreground left), located at 3155 Olsen Drive in San Jose across the street from Santana Row (background). (Federal Realty Investment Trust)

    The disclosure of the rental agreement came during a conference call that Federal Realty’s top officials held with Wall Street analysts to discuss the real estate firm’s financial results for the April-through-June second quarter.

    “Lease-up at Santana West continues with a newly signed deal with an AI-powered cloud database provider for 24,000 square feet on the first floor of the state-of-the-art building,” Donald Wood, Federal Realty chief executive officer, said during the conference call.

    The tech company’s deal extends what appears to be brisk leasing activity at One Santana West, which totals roughly 376,000 square feet.

    “Active negotiations with other prospective tenants for much of the remainder of the building should enable us to continue to report on new deals,” Wood said during the conference call.

    Before the lease with the artificial intelligence tech company, One Santana West had enticed two other companies to sign rental agreements.

    — PwC, a professional services titan, signed a lease during the spring to occupy 141,000 square feet.

    — Acrisure, a fast-expanding financial technology and insurance company, leased 29,000 square feet in late 2023.

    Newmark, a commercial real estate firm scouting for office tenants for Santana Row, has used the array of amenities at the destination neighborhood to entice tenants to sign up for spaces in One Santana West.

    “The leasing at Santana West with this new AI-based tech company is going to bring us well above 50%,” said Dan Gee, Federal Realty’s chief financial officer, referring to the amount of the building that is rented.

    Federal Realty didn’t disclose the name of the tenant that took the space.

    The rental agreement materializes at a time when office vacancies throughout the Bay Area have reached or are near all-time highs.

    “This is an important sign for the San Jose office market,” said Bob Staedler, principal executive with Silicon Valley Synergy, a commercial real estate firm. “Every lease matters to dig out of the huge number of vacant square feet of existing office space.”

    One Santana West appears poised to land even more tenants that collectively could take big chunks of additional space in the office building.

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    George Avalos

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  • Los Angeles County agrees to buy downtown skyscraper

    Los Angeles County agrees to buy downtown skyscraper

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    The county of Los Angeles has tentatively agreed to buy the Gas Company Tower, a prominent office skyscraper in downtown Los Angeles, for $215 million in a foreclosure sale.

    The price is a deep discount from its appraised value of $632 million in 2020, underscoring how much downtown office values have fallen in recent years.

    The Board of Supervisors must still approve the deal, which county real estate officials quietly but aggressively negotiated. If completed, the purchase could move workers and public services out of existing county offices, including the well-known Kenneth Hahn Hall of Administration, which dates to 1960, according to multiple people familiar with the transaction who requested they not be named in order to discuss the confidential negotiations.

    The county has begun the due diligence process of examining the property for possible structural problems or other issues before finalizing the transaction, which could take two to three months to complete, the sources said.

    In a statement to The Times, the county said that it had submitted a nonbinding “letter of interest” for the tower.

    “Because we are seeing once-in-a-generation price reductions for commercial real estate in the downtown area, as responsible stewards of public funds, the County is doing its due diligence and evaluating the possibility of acquiring property in the Civic Center area, such as the Gas Company Tower,” the statement said.

    Supervisor Janice Hahn, who is the daughter of longtime supervisor Kenneth Hahn, said in a separate statement to The Times that she is not fully on board with the acquisition.

    “I am uncomfortable with the County moving forward purchasing this skyscraper until I understand the CEO’s full plan which I have yet to see. I am definitely against moving County services away from Los Angeles’ only Civic Center,” she said.

    The Gas Company Tower represents “a generational investment opportunity to acquire a trophy asset at an exceptional basis,” Andrew Harper, a broker with the real estate firm JLL, said in May when JLL was hired to market the property. JLL declined to comment Tuesday on the pending sale.

    The 52-story tower at 555 W. 5th St. was widely considered one of the city’s most prestigious office buildings when it was completed in 1991. It has about 1.4 million square feet of space on a 1.4-acre site at the base of Bunker Hill.

    In recent years the downtown office market has turned against landlords as many tenants reduced their office footprint in response to the COVID-19 pandemic, when it became more common for employees to work remotely.

    Last year, the owner of the Gas Company Tower, an affiliate of Brookfield Asset Management Ltd., defaulted on its debt and the property was put in receivership, in which a court-appointed representative took custody of the building to help creditors recover funds they lent to Brookfield. The building has roughly $465 million in outstanding loans.

    Elevated interest rates have weighed on prices by making it difficult for building owners to refinance debt and pushing them into quick sales or foreclosures. Some downtown L.A. office tenants have expressed concern in recent years that the streets feel less safe than they did before the pandemic and have left for other local office centers including Century City.

    The Gas Company Tower was renovated in 2023 and the tower currently is more than half leased to tenants including Southern California Gas Co., financial consulting firm Deloitte and law firm Latham & Watkins, according to real estate data provider CoStar.

    Office vacancy in downtown Los Angeles was more than 30% in the second quarter, real estate brokerage CBRE said, more than triple the level typically considered to be a healthy balance between tenant and landlord interests.

    Falling office values downtown are catching the attention of buyers seeking to grab property at a low point in the market, said Petra Durnin, a real estate analyst at Raise Commercial Real Estate who is not involved in the deal.

    “Unfortunate situations can create opportunities for others with the cash,” Durnin said. “Downtown has been through boom and bust cycles before and always reinvented itself.”

    A nearby 52-story office tower formerly owned by Brookfield at 777 S. Figueroa St. is set to be sold at the significantly discounted price of $120 million, or $117 a square foot, the Commercial Observer reported. It came close to selling for about $145 million a few months ago but the deal fell apart.

    In its statement to The Times, the county said it was eyeing the Gas Company Tower as an alternative to seismically retrofitting its downtown properties. The county owns 33 facilities that engineers say are vulnerable to collapse during a major earthquake, including the Kenneth Hahn Hall of Administration, which has been the headquarters of Los Angeles County government for six decades, home to the offices of hundreds of employees and the five county supervisors.

    Last year, the county pledged to upgrade all 33 vulnerable buildings within the decade, an ambitious undertaking that experts say would cost hundreds of millions of dollars.

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    Roger Vincent, Rebecca Ellis

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  • Pasadena’s Ambassador Auditorium, ‘Carnegie Hall of the West,’ goes up for sale

    Pasadena’s Ambassador Auditorium, ‘Carnegie Hall of the West,’ goes up for sale

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    The storied Ambassador Auditorium in Pasadena, which was long considered one of the region’s top classical music venues, is for sale after being owned by a local church for the last two decades.

    Harvest Rock Church is asking $45 million for the 1,200-seat auditorium near the Old Pasadena district that has also hosted jazz greats including Ella Fitzgerald, Dave Brubeck and Dizzy Gillespie. It has been called “the Carnegie Hall of the West” by fans.

    The evangelical Christian Harvest Rock Church is based on the property and uses the auditorium for services. It also rents the venue to the Pasadena Symphony and the Colburn Orchestra as well as other performers that the church finds compatible with its religious mission.

    The church recently paid off its mortgage on the property, Pastor Che Ahn said, and decided to sell it to make a move to a bigger facility somewhere in the Los Angeles region.

    The lobby of the Ambassador Auditorium in Pasadena includes a chandelier composed of 100 custom bulbs and 1,390 crystals in three tiers of polished bronze.

    (Ambassador Foundation of Pasadena)

    “We’re hoping that someone will buy it to really restore it to the original purpose and intent of that building,” he said.

    The Ambassador Auditorium was intended to be a showplace for live performances when it opened in 1974. The Times called it “A new Taj Mahal for the arts.”

    It was also the centerpiece for Ambassador College, operated by the Worldwide Church of God on a 40-acre campus near the intersection of Colorado and Orange Grove boulevards that has been largely redeveloped in recent years.

    Harvest Rock Church and Maranatha High School bought a 13-acre portion of the campus site with five buildings including the auditorium from Worldwide Church of God in 2004 for an undisclosed amount. The auditorium controlled by Harvest Rock Church is assessed at $13.5 million, public records show.

    Ambassador College founder Herbert W. Armstrong was a televangelist who set out to call attention to his ministry by building a lavish auditorium where he could broadcast services and host high-profile nonreligious events, including an opening performance by the Vienna Symphony Orchestra on April 7, 1974.

    The auditorium made a big impression on local music aficionados, said Donna Perlmutter, who was a music critic at the Los Angeles Herald Examiner newspaper when it debuted.

    “We were, at the time, bowled over by the presence of it,” she said. “It was to compare with any marvelous auditorium in Europe.”

    That it had been created by a bombastic radio and television evangelist known for making dark end-times prophesies seemed unusual, she said.

    “It was almost comical to think of who it was who erected this magnificent place,” Perlmutter said of Armstrong. “It was such a weird juxtaposition.”

     The stage of the Ambassador Auditorium in Pasadena.

    Jazz greats who have performed in the 1,200-seat Ambassador Auditorium in Pasadena include Ella Fitzgerald, Dave Brubeck and Dizzy Gillespie.

    (Ambassador Foundation of Pasadena)

    The acoustics are “optimal,” she said. “It bears a bright, undistorted sound. No singer could want more.”

    The hall’s design by the architectural firm Daniel, Mann, Johnson & Mendenhall (DMJM) strived for a mid-century version of glamour, with a main lobby chandelier composed of 100 custom bulbs and 1,390 crystals in three tiers of polished bronze.

    Finishes include walls of Brazilian rosewood and rose onyx, African shedua wood railings and ceilings adorned with hand-rolled 24-carat gold leaf.

    The auditorium is set in a 500,000-gallon water pond that holds a 37-foot solid bronze egret sculpture designed by British sculptor David Wynne, who also famously made a bronze sculpture of the Beatles’ busts in 1964 and is said to have introduced them to Maharishi Mahesh Yogi.

    Potential buyers of the auditorium include the city of Pasadena, private investors, or a group of investors seeking “to acquire a landmark with profound historical significance,” said real estate agent Isidora Fridman of Compass, who has the listing with Lauren Rauschenberg. The property at 131 S. St. John Ave. will officially go on the market July 9, Compass said.

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    Roger Vincent

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  • Zoning revamp looks at chickens, donation bins and EV chargers

    Zoning revamp looks at chickens, donation bins and EV chargers

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    SALEM, N.H. — The Planning Board will talk about chickens, donation bins and electric vehicle charging stations as its next meeting on July 9 to flesh out some hot topics for zoning ordinances and possible amendments to existing ones.

    “We’ve been talking about some of these for a while so it will be a good opportunity to dive in and make a determination how to handle them,” Salem Planning Director Jacob LaFontaine said.

    The Planning Board will first decide if it wants to move forward with either an amendment or create a zoning ordinance at the workshop. The recommendations then need to go before the Town Council in two public hearings before they are approved or denied.

    The ordinances do not need to be voted on during the March election.

    “Salem has traditionally had a strong agriculture tradition, but over the last 50 years, it’s been built out.”

    LaFontaine said the focus will look at determining the appropriate lot acreage needed to keep chickens and explore how surrounding communities are handling the issue.

    The town’s zoning ordinance regulates what areas of town residents can keep livestock and chickens, the land needed for that use and conditions for enclosures and coops where they are kept.

    LaFontaine said it’s an ordinance which comes up for discussion every few years, but one gaining more attention now as residents become interested in homesteading. Under Salem’s ordinance, residents need to have one acre of land and be in a rural zoning district.

    “There have seen people interested in homesteading and they’ve been disappointed when we have to notify them that they’re not permitted to keep chickens,” LaFontaine said.

    The zoning ordinance originally required two acres of land to keep chickens, but was reduced in 2016.

    Planning Board talks have revolved around allowing chickens on properties outside of the rural district, opening up residential and recreational districts with one acreage for use. But the board didn’t move forward with the change.

    While the Planning Board will discuss possible amendments to how the ordinance stands, it won’t give roosters a break. Roosters, along with pigs, are two animals which Salem does not allow residents to own.

    “It’s tough to be a rooster in Salem,” LaFontaine said.

    “We do receive a lot of complaints involving chickens, but they are almost solely because of roosters,” LaFontaine said. “The majority of complaints are regarding the noise.”

    Donation bins will also be on the table during the Planning Board workshop.

    LaFontaine said he believes the board is more open to potentially allowing them, or accommodating them, in town. The goal would be to regulate the amount of bins on a property and their location and to set policies in place for property owners to manage the bins so they don’t overflow.

    Right now, if someone wants a donation bin on their property, they need to go before the Planning Board with a request under public matters.

    But the planning director said he thinks the best move would be to adopt regulations surrounding donation bins.

    “It just makes the process predictable for the applicants and property owners, staff and the community,” LaFontaine said.

    He said the ideas of adopting regulations also apply to other areas of business and interest in town and finding consistency across the board on how to accommodate them.

    They could benefit food trucks and electric vehicle charging stations, the latter being a more emerging technology.

    Charging stations are found at The Mall at Rockingham Park and throughout Tuscan Village as well as dealerships in Salem. Nouria was approved for two charging stations, but did not install them. The gas station at The Salem Depot was also approved for one.

    Charging stations aren’t included in the town’s zoning ordinance, but again, LaFontaine said it’s about planning for the future and making the process to set up potential charging stations more predictable with set regulations. Changes could regulate how and where EV charging stations can be accommodated. Zoning could also regulate digital technology with the chargers, like TV screens similar to ones viewed when pumping gas now, LaFontaine said.

    “I don’t think we’d want to see something like that along Route 28,” LaFontaine said.

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    By Angelina Berube | aberube@eagletribune.com

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  • L.A. City Council declares Marilyn Monroe house a cultural landmark, saving it from destruction

    L.A. City Council declares Marilyn Monroe house a cultural landmark, saving it from destruction

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    After a year-long battle, Marilyn Monroe’s Brentwood home has been saved from destruction.

    On Wednesday, the L.A. City Council unanimously voted to designate the Spanish Colonial-style residence as a historic cultural monument, protecting it from being razed by its current owners.

    “We have an opportunity to do something today that should’ve been done 60 years ago. There’s no other person or place in the city of Los Angeles as iconic as Marilyn Monroe and her Brentwood home,” Councilmember Traci Park said in a speech before the vote.

    Park, who represents the council’s 11th district, where the property is located, added that she’s planning to introduce a motion to evaluate tour bus restrictions in Brentwood after neighbors complained about unwanted traffic around the estate. She also floated the idea of moving the home to a place where the public could more easily access it.

    “To lose this piece of history, the only home that Monroe ever owned, would be a devastating blow for historic preservation and for a city where less than 3% of historic designations are associated with women’s heritage,” Park said.

    The battle over the home on 5th Helena Drive has been brewing since last summer, evolving into a greater discussion of what exactly is worth protecting in Southern California — a region chock-full of architectural marvels and Old Hollywood haunts swirling with celebrity legend and gossip.

    Monroe fans claimed the residence is an indelible piece of Hollywood history; the actress bought the house for $75,000 in 1962 and died there of an apparent overdose six months later, making it the last home she ever occupied.

    The homeowners claimed the house has been remodeled so many times over the years that it bears no resemblance to its former self. They also said it has become a neighborhood nuisance as tourists and fans flock to take pictures outside the property.

    The saga started when heiress Brinah Milstein and her husband, reality TV producer Roy Bank, bought the property for $8.35 million and immediately laid out plans to demolish it. They owned the property next door and wanted to expand their estate.

    An aerial view shows the Brentwood house where actress Marilyn Monroe died.

    (Mel Bouzad / Getty Images)

    The couple obtained a permit but soon ran into opposition, as historians, Angelenos and Monroe fans jumped in to protest the planned demolition. Councilmember Park said she received hundreds of calls and emails urging her to take action.

    The next day, she held a news conference, while sporting red lipstick and short blond hair in a nod to Monroe, giving an impassioned speech urging the City Council to designate the home as a landmark.

    In the months after, the landmark application slowly advanced, first receiving approval from the Cultural Heritage Commission and then from the Planning and Land Use Management Committee.

    In the meantime, Milstein and Bank were barred from demolishing the home. Milstein addressed the Cultural Heritage Commission directly in January in an effort to sway its decision.

    “We have watched it go unmaintained and unkept. We purchased the property because it is within feet of ours. And it is not a historic cultural monument,” she said at the time.

    In an attempt to halt the landmark designation process, they sued the city in May, claiming that officials acted unconstitutionally in their efforts to designate the home as a landmark and accusing them of “backdoor machinations” in trying to preserve a house that doesn’t meet the criteria for status as a historic cultural monument.

    “There is not a single piece of the house that includes any physical evidence that Ms. Monroe ever spent a day at the house, not a piece of furniture, not a paint chip, not a carpet, nothing,” the lawsuit says.

    A judge denied the claim in June, calling the suit an “ill-disguised motion to win so that they can demolish the home and eliminate the historic cultural monument issue,” according to ABC 7.

    The City Council vote was originally set for June 12, but Park requested a postponement, citing the recent court decision and pending litigation, as well as ongoing discussions between the city attorney’s office and the property owners.

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    Jack Flemming

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  • A house under $500,000 in the Bay Area? The catch is there’s a tenant until 2053

    A house under $500,000 in the Bay Area? The catch is there’s a tenant until 2053

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    Imagine the first morning you wake up inside your new house in the Russian Hill neighborhood of San Francisco.

    An AI robot rolls in to deliver you breakfast in bed. You’re feeling good. The year is 2053.

    You made the right decision.

    Nearly 30 years ago, you purchased the three-bedroom, one-bath house on North View Court for way under its market value — at just $488,000. But there was a catch — you couldn’t move in for 29 years, because a tenant had a long-term rental agreement that lasted into the second half of the 21st century.

    That’s a possible future for anyone seriously interested in the new listing from Park North Real Estate brokerage.

    Long lines formed to tour the occupied house, according to KFSN-TV. While it is not clear who the tenant is or how exactly they negotiated their 30-year-lease, Park North did say the owner of the house died recently at the age of more than 100.

    The tenant also pays well below market rate rent — just over $400 per month for the spacious house.

    “Tenant’s current lease appears to grant tenants strong long-term rent rate amount restrictions, unconventional method of rental payment, and possible occupancy rights until 2053,” the brokerage wrote in the listing. “Seller & listing agent do not guarantee access to the home and STRONGLY recommend buyers review the seller disclosure package/addenda and confer with a San Francisco landlord/tenant attorney BEFORE making offer.”

    Douglas Lee, a real estate agent with Compass, said the house in San Francisco is an ideal spot for someone to “land bank” — meaning someone who doesn’t intend to use or develop the property until many years out.

    “You sit and wait until that tenant either dies, vacates or the lease ends,” Lee said. “Once that happens, you realize a ton of your potential. That’s a really good purchase for trust fund people. If you’re buying it for your kid who is like zero or 1, in 18 years you know that this thing will be about ready to realize.”

    The Edwardian-style home on the hill is not the brokerage’s only strange and cheap listing. The company also features what it referred to as a “fire sale” for a $188,000 condo. The catch?

    “Property is gutted down to the studs due to fire. Outstanding opportunity for a Contractor, Investor or Homeowner who is willing to pay CASH. Please use caution when viewing as there are exposed construction materials. No access to the private deck as slider is damaged from fire,” the brokerage wrote.

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    Noah Goldberg

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  • Cold War CIA director’s longtime mansion sells for $30 million, smashing San Marino record

    Cold War CIA director’s longtime mansion sells for $30 million, smashing San Marino record

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    San Marino just saw its priciest home sale ever. A palatial estate built for former CIA Director John McCone has traded hands for $30 million — or $7.5 million more than the asking price.

    It eclipses the previous record held by the USC presidential mansion, which sold for $25 million in 2021.

    An industrialist and California native, McCone built the estate in 1957, a year before serving as chair of the Atomic Energy Commission. He was CIA director under President John F. Kennedy from 1961 to 1965, helming the organization during the Cuban missile crisis and the early part of the Vietnam War. He also headed the controversial commission that investigated the roots and causes of the Watts riots in 1965.

    McCone owned the home for more than 20 years, selling it for $1.45 million in 1979.

    Sprawled across more than five acres and hidden behind 20-foot privacy hedges, the property holds three homes that combine for nine bedrooms and 15 bathrooms. Pathways meander through the grounds, which include waterfalls, streams, a greenhouse, workshop, rose garden and 50-foot-long swimming pool.

    Inside the neoclassical-style mansion, vast living spaces feature 15-foot ceilings, carved wood doorways and ornate mantels. Marble patios overlook rolling lawns outside.

    “Showings lasted up to four hours,” said Compass agent Brent Chang, who handled the sale. He listed the property in May for $22.5 million and said buyer interest was extremely high.

    Chang, who also handled the $25-million sale of the USC presidential mansion, said the home became a hot spot for U.S. politicians and international dignitaries during McCone’s ownership, including President Eisenhower and members of the Kennedy family.

    At $30 million, it’s the priciest sale not only in the history of San Marino but in the entire San Gabriel Valley, which has seen only five home sales north of $15 million.

    Nicholas Borrelli of Coldwell Banker George Realty represented the buyer, whose identity remains unclear.

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    Jack Flemming

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  • The ‘Home Alone’ house is on the market  — without the booby traps — for $5.25 million

    The ‘Home Alone’ house is on the market — without the booby traps — for $5.25 million

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    The house made famous by the 1990 blockbuster film “Home Alone” has hit the market in Winnetka, Ill., with a $5.25-million asking price.

    The 671 Lincoln Ave. residence, 20 miles north of downtown Chicago, was the site for the Christmastime comedy in which 8-year-old Kevin McCallister (Macaulay Culkin) defends the family home from burglars (Joe Pesci and Daniel Stern) after being left behind when his family leaves on vacation.

    Dawn McKenna Group calls the listing “a rare opportunity to own one of the most iconic movie residences in American pop culture.” Built in 1921 and boasting 9,126 square feet of living space, the abode features full amenities — five bedrooms, six full baths, a home cinema, full gym and an indoor half-court for basketball — minus the movie’s trademark booby traps.

    The current owners bought the home in 2012 for $1.59 million and renovated it in 2018, preserving its exterior and memorable features like the staircase McCallister slides down in numerous scenes, Dawn McKenna Group said online.

    Trip Advisor lists the “Home Alone” property as “#1 of 20 things to do in Winnetka.” While a wrought-iron fence keeps tourists off the property, it’s possible to take a street-view selfie. The owners have not been shy about their famous home: In 2021, they offered up the place for just $25 a night on Airbnb.

    Right next door, at 681 Lincoln Ave., fans will find Old Man Marley’s house from the same movie. It was listed for sale at $3.1 million in 2014, though it’s unclear whether the property ever changed hands. Roberts Blossom, who played Marley in “Home Alone,” died in 2011.

    Don’t have a spare $5.25 million to spend on your “Home Alone” experience? Try the 2006 game released for PlayStation and defend against a home invasion yourself. Or pick up a “Home Alone” Lego set. Created in 2021, the 3,955-piece set includes a Kevin McCallister figurine and a tree-house zip line that can be used to facilitate his escape.

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    Jireh Deng

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  • Illegal hostels are popping up in L.A. neighborhoods, to some residents’ ire

    Illegal hostels are popping up in L.A. neighborhoods, to some residents’ ire

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    In a mostly quiet neighborhood of older homes and small apartment buildings, some residents have drawn their own no-go zones around what might sound like a crash pad for traveling backpackers: hostels.

    At least two of them have popped up on West View Street in Mid-City Heights in the past few years, with more in surrounding neighborhoods.

    Residents say they’ve seen strangers smoke marijuana and drink alcohol outside the newly built buildings. They say the properties draw drug deals and a frequent police presence. A few months ago, a woman ranted in the street outside one of the properties for hours, at times alleging someone stole something from her.

    Adriana Marcial said one night her husband caught two men having sex in front of the home they share with their two children. When he startled the men, she said they left and entered one of the hostels.

    “About a year ago, we stopped walking through there,” said Marcial, 38. “You get that vibe of feeling unsafe.”

    Long associated with backpackers and young travelers, hostels typically offer cheap dorm-style beds and a shared kitchen. They can be a social place to meet people from around the world and, at times, the start of an alcohol- or drug-fueled night.

    In Europe, such facilities often are located in bustling corners of the city. But in Los Angeles, hostels are opening for business within residential neighborhoods they’re not allowed in, drawing the ire of some Angelenos who say a revolving cast of characters has brought an increase in noise and crime.

    With beds as cheap as $25 a night, the properties also serve as an option for people struggling to make ends meet, providing a relief valve in an expensive city where thousands sleep on the streets.

    According to the Department of City Planning, hostels are banned in low-density residential neighborhoods like Mid-City Heights. The budget-stay properties can operate in high-density residential neighborhoods like parts of Koreatown, but need a special permit to do so.

    A recent Times search of an online booking site found seven Los Angeles hostels advertised in low-density residential areas where the planning department says the facilities aren’t allowed.

    The numbers could be greater. According to an October motion from Councilwoman Heather Hutt, there were at least 28 illegal hostels operating in Council District 10 alone. The district includes Koreatown and parts of South L.A., as well as Mid-City Heights and the larger Mid-City neighborhood.

    Some people who stayed at one hostel described it as a quiet, affordable place as they traveled L.A. or sought a full-time job. Others were students or had low-wage work.

    “Everyone here is trying to get by,” said Chris Smoot, who had been staying in a West View Street hostel for three weeks. The 44-year-old was trying to find work and establish permanent housing so he could bring his family out from Florida.

    Hutt’s motion paints a more ominous picture, saying neighbors have complained that a variety of crimes are “radiating from these properties” —including battery and drug use — and that the police department has experience “heightened” calls for service.

    In approving the motion in December, the City Council ordered multiple departments to create a plan to crack down on illegal hostels, which the motion said two departments have been unable to do so, in part because of jurisdictional issues.

    The council also established an enforcement task force specifically for Mid-City.

    Devyn Bakewell, a spokeswoman for Hutt, said the task force’s work is ongoing and that the city attorney has issued “citations to certain addresses and has put several locations on notice about illegal land use.”

    In Mid-City Heights, residents say officials should have — and still need to — act faster, noting at least one hostel still appears in operation.

    Neighbor complaints also extend to two other newly built buildings that house short-term residents, which they say shouldn’t be in a neighborhood with children.

    One is a sober-living home owned in part by a man named Nathan Young, according to his attorney Marc Williams. Young and others were sued last year by insurance company Aetna, which alleged they ran sober-living homes in Los Angeles and Orange counties that were “little more than drug dens.”

    In a statement shared by Williams, Young denied Aetna’s allegations and said the sober-living home in Mid-City Heights is “dedicated to housing families with a parent in addiction recovery” and it has been successful in rebuilding lives.

    Neighbors say they’ve seen people from the facility drinking alcohol and smoking marijuana in public and one neighbor said he saw what appeared to be a Nazi SS flag draped from a window on the site.

    Young said they had the offensive flag taken down immediately after hearing of it and that “idea that we encourage the use of drugs and alcohol is ridiculous and diametrically opposed to our mission.”

    The other property is leased by a homeless-services provider who previously provided housing on site to people exiting jail and prison, according to the Los Angeles Homeless Services Authority, which funded the program.

    LAHSA said that this use stopped in September and that the service provider, Abundant Blessings, told the agency that a County Department of Mental Health-funded program has operated on site since.

    A spokesperson with the mental health department said they found no record of a department program operating at the address and that the department does not have a relationship with Abundant Blessings.

    Alex Soofer, executive director for Abundant Blessings, declined to comment, including to say what his organization currently uses the property for.

    Barbara Matson lives behind that property with her husband and 8-year old daughter. Last year, she said, she awoke around midnight to a man throwing furniture.

    “I am free,” Matson recalled the man screaming and using profanities. “I wasn’t sure if . . . he might jump over my fence.”

    Matson said she no longer hosts backyard birthday parties for her daughter.

    The uses Mid City-Heights residents cite as concerns exist in a type of housing that’s grown increasingly common in some Los Angeles neighborhoods where single family homes sit on lots the city has long zoned for a few more units.

    There, developers are knocking down small, old houses and building multistory box-like structures with as many as five bedrooms. At some developments, there are two new duplexes on a lot, while others have a new single-family home on one side and a duplex on the other.

    In some corners of South L.A., landlords specialize in renting these new properties to large families on a permanent basis.

    Near USC, the housing style is used for student housing and has led to concern developers have displaced long-term residents.

    Some in Mid-City Heights said since the new buildings went up in their neighborhood they’ve noticed an increase in strangers — some of them aggressive — walking the streets, but don’t always know where they come from. They also say they’ve found more syringes, condoms and other trash.

    With more duplex developments underway, neighbors have concerns. They said they would welcome it if people looking for a permanent home moved into the buildings, but want temporary stays ended.

    “We are being oversaturated,” said Roxana Brusso, who has owned a home in the neighborhood since 2008. “The city is asking us to sacrifice our safety, quality of life and property values.

    Marcial put it this way: “You just never know who is coming. Maybe it’s not always bad people, but it’s not always good people.”

    The city has taken some action against the West View Street hostels.

    In 2023, the Department of Building and Safety cited a newly built duplex for use as an unapproved hostel and the building appears to no longer be used as such, according to neighbors.

    On the other side of the street and a few doors down, LA Modern Hostel received the same citation more than a year ago. Two Times reporters booked beds there in early May.

    Located at 2125 S. West View St., the hostel sits inside a white single-family house with gray trim. Built in 2021, the three-story box sits on the front of a 6,000 square-foot lot. In the back is a duplex, built the same year.

    Written reviews on the website Hostel World are mostly negative and describe a difficult check-in process, with one person saying they never got inside and were forced to “walk all night.”

    Another reviewer described a dirty bathroom and a room where “it seemed nobody had personal hygiene skills.”

    So far this year, city records show police were called to the address to investigate reports of two disturbances, a theft, an instance of vandalism and a battery.

    In a three-day span last year, police responded to reports of an assault with a deadly weapon, a prowler, a burglary and a disturbance.

    LAPD Officer Hector Marquez said issues — including loitering, theft allegations and disputes — have spilled into the neighborhood from the property and disrupted residents’ quality of life, but there’s been no evidence of violent crime.

    On a recent Thursday, the hostel was calm. At check-in, a worker told Times reporters there were no drugs, alcohol or weapons allowed. Smoking was to be in the back of the lot — in an outdoor common area behind the duplex.

    Inside the single-family house at the front of the property, there were six numbered rooms across two floors. Room 2 had four bunk beds accommodating eight twin mattresses, some which had towels or sheets draped to carve out privacy.

    At the back of the lot behind the duplex, people lingered outside for hours on black patio furniture. As the night progressed, some returned from work, with one man dressed in a button-down shirt and khakis finding solace in a cigarette, dragging it with a worn expression. Other guests discussed sports betting over Modelos and marijuana blunts.

    Past midnight, a group gathered inside in the ground floor common area. Some read, while others watched videos or tackled schoolwork.

    In several emails, a man identifying himself as the property’s owner thanked The Times for its reporting and said his “tenants” have agreed to close the “boarding house” before a June hearing date and convert it into family living.

    According to the planning department, boarding houses — defined as a dwelling unit with no more than five guest rooms — are allowed in many low residential zones like Mid-City Heights. A hostel, according to city code, is any dwelling unit that is advertised as such or listed with a “recognized national or international hostel organization.” There’s no stated guest room limit.

    The person who checked Times reporters into LA Modern Hostel — which had six numbered rooms, has hostel in its name and is advertised that way on websites like Hostel World — did not respond to a voice mail and text seeking comment.

    In a brief interview in the outdoor common area, a man who described himself as a music producer and declined to give his name said his stay has been quiet and relatively affordable. But he added if someone built a hostel next to his house, he — like some Mid-City Heights residents — would wonder who was passing through.

    There may have been a second hostel on the same property.

    One of the units in the duplex between the common area and LA Modern Hostel has been advertised as LA Modern Hostel 2 — located at 2123 S. West View St.

    A year ago, someone who lived in a nearby house with a similar address posted video from their security camera on Nextdoor. In the video, a man rings the doorbell and says he’s there to check into LA Modern Hostel 2.

    The Nextdoor poster tells the man he has the wrong address and is on West Boulevard, not West View.

    The man insists he’s correct and threatens to report the poster, who closes the door, prompting the man to repeatably bang on it.

    “I am calling the police!” the man yells. “Open this f——- door!”

    While appearing to call the police on the phone, the man repeatably calls the poster a gay slur in a raised voice, interspersed with expletives. He then leaves.

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    Andrew Khouri, Anthony De Leon

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  • Las Vegas’ Mirage Resort to close after 34-year run. Volcano to go dormant

    Las Vegas’ Mirage Resort to close after 34-year run. Volcano to go dormant

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    Once hailed as “Las Vegas’ first 21 Century resort,” The Mirage Hotel & Casino confirmed Wednesday that its iconic volcano outside of its front entrance is going dormant less than a quarter of a century into the new millennium.

    Owner Hard Rock International announced the hotel will cease operations on July 17, with bookings being accepted until July 14. The iconic resort — sporting a jungle-fantasy theme —was perhaps best known for its exploding 54-foot man-made volcano, magicians Siegfried and Roy, and its white tigers and dolphins.

    “We’d like to thank the Las Vegas community and team members for warmly welcoming Hard Rock after enjoying 34 years at The Mirage,” said Jim Allen, Chairman of Hard Rock International in a statement.

    The resort is expected to be redeveloped into the Hard Rock Hotel & Casino and Guitar Hotel Las Vegas, with the volcano giving way to a nearly 700-foot guitar-shaped hotel. The project is expected to open in spring 2027. A similar 638-room hotel stands in Hollywood, Fla.

    The Associated Press reported that more than 3,000 employees will be laid off. Hard Rock acknowledged it would pay roughly $80 million in severance packages for union and nonunion labor.

    The Culinary and Bartenders Union accounts for about 1,700 Mirage workers. It announced Wednesday that its workers have two options.

    The first was a severance package of $2,000 for every year of service plus six months of pension and health benefits. The second option gives employees a lesser, undisclosed amount while maintaining seniority rights for the duration of the property’s closure along with 36 months of recall rights for jobs at the new hotel.

    “Culinary Union members at The Mirage have a strong union contract, ensuring that workers are protected, even as the property closes its doors entirely for three years from July 2024 – May 2027,” said Ted Pappageorge, Culinary Union secretary-treasurer, in a statement Wednesday.

    The new hotel is projected to employ nearly 7,000 employees, according to Hard Rock management, while 2,500 construction jobs are expected during the rebuilding process.

    Hard Rock said that all reservations beyond July 14 would be canceled and that guests should contact the guest services department or booking agency for a refund.

    The Mirage’s closure is the second on the strip this year.

    In April, the 66-year-old Tropicana closed its doors to make way for a 30,000-seat stadium that is expected to serve as the home of the Oakland A’s.

    The Mirage’s opening by casino tycoon Stephen A. Wynn in 1989 was hailed as the ushering of a new era of resorts. It was the first strip hotel to open since the MGM Grand in 1973.

    Wynn shelled out $600 million, then the most expensive casino project, for the sprawling 103-acre property.

    The Mirage was the first fully integrated hotel, according to Alan Feldman, a Distinguished Fellow at UNLV’s International Gaming Institute.

    Integration meant operating and treating all facets of the resort, including casino, food and beverage, retail, entertainment and convention space, with equal importance, according to Feldman, who rose to become an executive with the Mirage and stayed from 1989 to 2019.

    Feldman said hotel owners previously cared first about the casino and “everything else was last.”

    “They gave away entertainment, food and rooms as long as someone came and played,” said Feldman. “The Mirage was the first to believe you could actually make money in these areas if you invested enough.”

    Its glistening 30-story white-and-gold towers were said to make neighboring Caesars Palace look “retiring by comparison.” Traffic occasionally backed up on the strip as engineers tested gas-flared flames 40 feet into the air every few minutes.

    “People just got out of the cars and went over to see what was going on,” one limousine driver said at the time.

    The hotel included a 20,000-gallon fish tank at its reception desk and 3,049 rooms.

    Its animals — and its white tiger habitat — brought the resort fame and infamy, including in 2003 when a tiger critically injured magician Roy Horn.

    The Mirage’s opening kicked off a resort building and remodeling spree that included the debut of the Circus Circus’ Excalibur in June 1990, the $250-million renovation of Caesars Palace and the opening of Treasure Island in 1994.

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    Andrew J. Campa

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  • Graffitied skyscraper in downtown Los Angeles poised for sale

    Graffitied skyscraper in downtown Los Angeles poised for sale

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    Oceanwide Plaza, the bankrupt, unfinished development in downtown Los Angeles that became a canvas for trespassing graffiti artists, is officially on the market.

    The Chinese owners of the stalled residential, hotel and retail complex towering over Crypto.com Arena have hired real estate brokers to sell the property to buyers who could restart the project after work stopped in 2019. Taggers recently covered its outer walls with graffiti visible from far away.

    Likely bidders for the property include large institutional investors such as Blackstone Inc. and BlackRock, and cash-rich overseas sovereign wealth funds from the Middle East, Asia and Europe, property broker Mark Tarczynski said.

    “I think there’s a broad range of buyers,” he said, “but the pool of buyers is small because of the size of the project.”

    Tarczynski is part of a team from real estate brokerage Colliers and Hilco Real Estate that will market the property, which fills a large city block on Figueroa Street across from the arena and LA Live.

    An April appraisal by Colliers submitted in a bankruptcy case involving the project estimated the as-is market value at nearly $434 million, Bloomberg said. Colliers also projected a cost of $865 million to complete the buildings, which are 60% finished.

    Real estate developments stall from time to time as developers run out of money; but rarely do they fail in such a high-profile manner as Oceanwide Plaza, which was supposed to be a glamorous addition to the skyline and center of activity in the bustling sports and entertainment district of downtown’s South Park neighborhood.

    Beijing-based Oceanwide Holdings bought a sprawling parking lot across from the arena in 2014 and soon set to work on a three-tower complex intended to house luxury condominiums and apartments, and a five-star hotel supported by upmarket stores and restaurants. It was also to include a massive electronic sign intended to help bring a Times Square flavor to Figueroa Street.

    The international company ran into financial problems that coincided with a Chinese government decision to restrict the flow of outbound investment. Work stopped on Oceanwide Plaza in early 2019 as contractors building it stopped getting paid.

    In February, general contractor Lendlease filed a petition for the involuntary Chapter 11 bankruptcy of Oceanwide Holdings to force a sale of the property and pay creditors who were demanding almost $400 million. Major creditors include Lendlease and EB-5 visa investors, who helped fund construction. Oceanwide also owes back taxes to Los Angeles County and money to repay the city for security put in place in response to the graffiti and other incidents including BASE-jumping paragliders leaping form the towers.

    The city allotted nearly $4 million to remove graffiti and secure the property in February. The property is now surrounded by a tall metal fence.

    While some real estate observers have speculated that it might make sense to raze the towers to make way for a different development, Tarczynski predicts that the next owner will finish the existing project.

    “It’s about two-thirds of the way done, with about $1.2 billion already invested in it,” he said. “Why would you tear down a perfectly good project? It’s unimaginable.”

    Oceanwide’s location in the center of downtown’s sports and entertainment district should help entice investors to finish the complex, Tarczynski said.

    “Every bit of the potential synergy between Crypto.com Arena, LA Live and Oceanwide Plaza still exists,” he said, “and there is a huge demand for housing and also hotel demand. This remains an attractive project.”

    The brokerage team expects to distribute financial information and other facts about the project to qualified buyers early next month and call for offers by the end of July, Tarczynski said. “We hope to be in escrow by October.”

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    Roger Vincent

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  • Homeowners sue L.A. for right to demolish Marilyn Monroe’s house

    Homeowners sue L.A. for right to demolish Marilyn Monroe’s house

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    In January, fans and conservationists celebrated when the Los Angeles Cultural Heritage Commission recommended landmark status for Marilyn Monroe’s home, a crucial step in saving the residence from being demolished.

    The new owners of the Brentwood property were less ecstatic. They sued the city of L.A. on Monday for the right to demolish it, claiming that city officials acted unconstitutionally in their efforts to designate the home as a landmark and accusing them of “backdoor machinations” in trying to preserve a house that doesn’t meet the criteria for status as a historic cultural monument.

    The lawsuit comes from heiress Brinah Milstein and her husband, reality TV producer Roy Bank, who bought the Spanish Colonial-style home last summer for $8.35 million and immediately laid out plans to raze it. They owned the house next door and hoped to combine the two properties to expand their place, according to the lawsuit.

    Monroe bought the house in 1962 for $75,000 and died there six months later after an apparent overdose at the age of 36. The phrase “Cursum Perficio” — Latin for “The journey ends here” — was adorned in tile on the front porch, though its origin is a mystery.

    An aerial view of the house where Marilyn Monroe died is seen on July 26, 2002, in Brentwood.

    (Mel Bouzad / Getty Images)

    Fans and conservationists claim the residence is a part of Hollywood history and a physical reminder of Monroe’s legacy.

    Milstein and Bank disagree. Their lawsuit claims that the home has had 14 owners since Monroe’s death and has been substantially altered, with over a dozen permits issued for various remodels over the last 60 years.

    “There is not a single piece of the house that includes any physical evidence that Ms. Monroe ever spent a day at the house, not a piece of furniture, not a paint chip, not a carpet, nothing,” the lawsuit says.

    The house isn’t visible from the street, but that hasn’t stopped it from becoming a tourist hot spot. Fans and tour buses flock to the property to snap pictures of the privacy wall, which the lawsuit claims is a nuisance to the neighborhood.

    The battle over the home has been brewing since September 2023, when the city issued a demolition permit to Milstein and Bank on Sept. 7. The public outcry was swift, and L.A. City Councilmember Traci Park said she received hundreds of emails and phone calls urging her office to initiate the process of declaring the home a historic cultural monument in order to save it.

    Park held a news conference titled “Marilyn Monroe Home Preservation” the next day, delivering an impassioned speech while wearing red lipstick and short blond hair in a nod to Monroe.

    After the speech, the City Council voted to begin the landmark consideration process, nullifying the demolition permits. The council will vote to officially on whether to declare the house a historic cultural monument this summer.

    The goal of the lawsuit is to cancel that vote and restore the right to demolish the property.

    While addressing the Cultural Heritage Commission in January, Milstein suggested relocating the home rather than designating it a landmark. It’s unclear whether that option is still possible.

    “In the eight years that we have lived next door, we have seen the property change owners two times,” Milstein said while addressing the commission. “We have watched it go unmaintained and unkept. We purchased the property because it is within feet of ours. And it is not a historic cultural monument.”

    The process of protecting potentially historic homes has been a hot topic in recent weeks. It most recently surfaced when Chris Pratt and Katherine Schwarzenegger demolished the Zimmerman House, a beloved Midcentury home designed by Craig Ellwood, to build a modern mansion in its place.

    The demolition sparked an outcry among locals and architecture enthusiasts, who questioned why the city allowed the Midcentury “time capsule” to be torn down.

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    Jack Flemming

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  • As court overturns a lot-splitting law, SB 9, one early adopter asks why

    As court overturns a lot-splitting law, SB 9, one early adopter asks why

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    Sam Andreano is currently putting the finishing touches on his split-lot property in Whittier. He’s a guinea pig for state Senate Bill 9, a housing law that allows homeowners to divvy up their properties and build two or even four units on a once-single-family lot.

    Andreano, 59, was one of SB 9’s earliest adopters. He bought a single-family home for $790,000 in 2021, split the property in half and sold the existing home on half of the original lot for $777,777 in 2023 — essentially coming out with an empty lot for a little over $12,000, around what it would have cost in the 1970s.

    Then, Andreano spent around $400,000 building a home onto the back half of the original lot. He estimates it’ll be worth around $850,000 when it’s finished next month.

    The project was an absolute success; Andreano added density to a single-family lot and came out well financially.

    That’s why he was so shocked when an L.A. County judge struck down the law last month.

    Superior Court Judge Curtis Kin determined that SB 9 is unconstitutional because it doesn’t provide housing restricted for low-income residents, which he said was the law’s stated purpose. For now, it affects five cities: Redondo Beach, Carson, Torrance, Whittier and Del Mar. But the ruling clears the way for the law — one of many designed to alleviate California’s housing crisis — to be invalidated in cities across the state.

    Few took advantage of the law, especially compared with other state laws created to increase density. A study from Bay Area NPR affiliate KQED-FM found that 16 California cities — including San José, San Francisco, Long Beach and Sacramento — approved just 75 split-lot applications and 112 applications for new units under SB 9 from 2022 to 2023, while approving 8,800 accessory dwelling units during the same stretch.

    Andreano thinks he knows why. He said some property owners he spoke to were hesitant to build SB 9 projects because they were afraid it would be overturned, and now their fears have come true. His project is fine because the property has already been divided, but he said others still applying will surely lose money due to the ruling.

    “You have to pay the architect, the engineer and others. Then the ruling comes down saying it’s overturned, and you’re out $50,000,” he said.

    Andreano was able to push his project through before the court decision because he moved quickly. He bought the Whittier property in December 2021 with the intention to split it up under SB 9 and officially started his application four months later.

    The process took two years, hundreds of phone calls and tens of thousands of dollars.

    The law allows a single-family-zoned lot to be split into two, and owners can build either a single-family home or a duplex on each lot, for a total of up to four units. But it requires the two lots to be split somewhat evenly, with a maximum difference of 60-40, and also requires each new lot to be at least 1,200 square feet.

    Under these restrictions, the ideal properties for SB 9 are big lots with small houses. So Andreano specifically bought a property that would work well under the guidelines: a 1,200-square-foot house on a 6,232-square-foot lot. Big(ish) lot, small house.

    He had to file two applications: one with the L.A. County Department of Regional Planning, and one with the Whittier Public Works Department. He addressed easements, sewer lines, power lines, where water would flow when it rains, etc.

    Then he brought in an architect, which cost about $20,000; a grading engineer, which cost around $15,000; a soil engineer, which cost around $8,000; and a surveyor, which cost around $5,000. The L.A. County Fire Department did three inspections, which cost around $1,500 each, and he also spent around $3,000 on application fees.

    “It was a lot of back-and-forth,” he said. “I’d submit my application, and the city would ask for revisions on A, B and C. Then I’d submit the revisions, and they’d ask for revisions on D, E and F.”

    He’s in the final stages of finishing the back house, bringing the timeline of the project to roughly two years. He said it’s definitely been worth it.

    The property now features two single-family homes separated by a fence: a 1,200-square-foot front house with three bedrooms and 1.5 bathrooms on a 3,349-square-foot lot, and an 1,100-square-foot back house with three bedrooms and two bathrooms on a 2,893-square-foot lot, where he plans to live. The lot-size split is 53.65% to 46.35%, well within the 60-40 restrictions.

    “People want to buy houses, and this is a way to increase density while also letting people work out the details on their own,” he said.

    Andreano hired Dennis Robinson, owner of Custom ADU Builder, to build the back house. Robinson has constructed seven SB 9 projects, and he’s completing seven more.

    Robinson handles both ADUs and SB 9 projects and said each type has it own perks.

    “ADUs are faster and cheaper, and you save around $20,000 in the permitting process alone,” he said. “But if you want to add multiple units to your property, SB 9 is better.”

    Robinson was surprised when the law was overturned. He was about to break ground on a project in Long Beach, where a family wanted to expand its garage into a 1,000-square-foot home and add a unit above, but now it’s in jeopardy.

    If the ruling is appealed and upheld, it would expand to affect California’s 121 charter cities, including Long Beach, Los Angeles and San Francisco.

    The law was declared unconstitutional on the grounds that it didn’t provide housing for low-income residents, but Andreano said that if he had to sell or rent the home as low-income, he would’ve lost money.

    “That affordability factor makes sense for a 100-unit condo, where a developer can set a few units aside for low income, but it doesn’t work for an individual home,” he said. “The goal for SB 9 should be to add housing in order to make the market more affordable in general.”

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    Jack Flemming

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  • Chris Pratt, Katherine Schwarzenegger could’ve given Craig Ellwood teardown ‘some honor,’ architect’s daughter says

    Chris Pratt, Katherine Schwarzenegger could’ve given Craig Ellwood teardown ‘some honor,’ architect’s daughter says

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    Chris Pratt and Katherine Schwarzenegger demolished a famed midcentury home designed by late architect Craig Ellwood to make room for a new, modern mansion.

    That’s not how Erin Ellwood, Craig Ellwood’s daughter, said she would have gone about it.

    “I think it would have been really cool to keep it and do something … add to it in a really interesting, innovative way,” Ellwood told The Times on Monday. “But you know, maybe this just isn’t their style. I mean, it clearly isn’t if they’re building a farmhouse.”

    Ellwood, an Ojai-based interior designer, spoke to The Times about her father’s late ‘40s Brentwood commission, known among locals as the Zimmerman House after original owners Martin and Eva Zimmerman. The property, which she described as a “time capsule” because of its Midcentury Modern aesthetic, was purchased last year and set for demolition seemingly without reason. In recent weeks, several reports revealed that the Marvel star and Schwarzenegger purchased the lot for $12.5 million and that their new mansion — to be designed by Ken Ungar — was the reason for the teardown.

    On X (formerly Twitter), the celebrity couple quickly faced ire from architecture enthusiasts and other critics. “Wow,” wrote one user who shared an Architectural Digest article. “Wow as in, this is really bad.”

    “Chris Pratt bought a BEAUTIFUL 1950s mid century modern house designed by THE Craig Ellwood and demolished it to build a s— McMansion,” one X user wrote on Friday. “My mid century modernist heart is shattered.”

    “Imagine tearing this historic house down to build a ‘modern farmhouse’ McMansion,” a second user wrote on Saturday.

    As more reports about the Ellwood razing surfaced, handfuls of social media users also revived “Worst Chris,” a dig that stemmed from a viral tweet about the Hollywood Chrises (Chris Hemsworth, Pratt, Chris Pine and Chris Evans).

    Representatives for Pratt and Schwarzenegger did not immediately respond to The Times’ request for comment on Monday.

    Like Pratt’s online critics, Erin Ellwood said she only learned about the reason for the demolition earlier this month. But she told The Times that she understands “it comes with the territory.”

    Throughout his decades-long career, Craig Ellwood brought his indoor-outdoor living approach to several properties across Southern California, including his beachfront Hunt House in Malibu. The Zimmerman house, with its floor-to-ceiling glass windows and open floor plans, was designed early in her father’s career and wasn’t the best representation of his work, Ellwood said.

    “It doesn’t break my heart,” she added of the raze.

    Still, the home, sold to “The Man from U.N.C.L.E” creator Sam Rolfe and wife Hilda Rolfe in 1975— stands for a timeless architectural movement. Erin likens her father’s lasting Midcentury designs to “the Chanel of architecture.”

    “There’s certain fashions that will never go away. They’ll always stay strong,” she said.

    The couple’s modern farmhouse aesthetic may not be Erin’s preferred style, but she said she understands why Pratt and Schwarzenegger would want the Zimmerman House plot: proximity to Schwarzenegger’s mother, Maria Shriver. The former first lady of California reportedly lives across the street from the property.

    “I don’t feel bitter. I understand the love of family, I understand wanting to be close to my mother or my mother in-law,” said Ellwood, whose late actor mother Gloria Henry also lived by Shriver. “I understand being a multimillionaire and wanting to build exactly what I want and keep my family close. I get all that. Unfortunately, it involved tearing something down.”

    Razing the Zimmerman House is not just “so brutal,” but wasteful in a variety of ways, Ellwood added. She lamented that the home did not have some kind of ceremonious sendoff — final tours for architecture students, a celebratory cocktail hour, donation of materials for architectural studies — before it was torn down.

    “Is there something more creative that could’ve been done in the process of taking it away that could’ve given it some honor?” Ellwood asks.

    She was speaking to The Times on what would have been her father’s 102nd birthday. She says Craig Ellwood “stood for innovation and a new way of California living.”

    “I think what people are responding to is [the home] is like this time capsule,” she said. “I think that’s what hurts people so much — is that there aren’t that many great ones.”

    With the Zimmerman House now a pile of rubble and Pratt and Schwarzenegger’s new mansion reportedly still in early construction, Ellwood said she hopes the couple considers giving back to the architecture community amid the backlash.

    “They’ve got money,” she said. “It would behoove them to do something kind to the world of architecture.”

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    Alexandra Del Rosario

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  • Neighbor heard odd noises amid heist of up to $30 million from Sylmar vault

    Neighbor heard odd noises amid heist of up to $30 million from Sylmar vault

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    It was a strange mechanical sound — a kind of rhythmic whirring — and it wouldn’t quit.

    At the time, the resident of Tahitian Mobile Home Park in Sylmar didn’t think much of the weekend racket, which seemed to be coming from a neighboring industrial building and may have lasted two hours or more, she said.

    Now, though, after learning that the warehouse behind the park was breached by thieves who stole as much as $30 million in a Sunday night heist, the woman has fixated on that odd noise — and what it may have been.

    “That sound is embedded in my head,” said the woman, who requested her name not be published over privacy concerns. “My mind is still going crazy over what happened. I know it’s just money, but they’re invading your space.”

    The elaborate Easter heist is believed to be among the biggest in L.A. history. It occurred at a Roxford Street facility where cash from businesses across the Southland is handled and stored by GardaWorld, a security services company. In a display of uncommon sophistication, thieves breached the single-story building via its roof to gain access to its vault — and avoided the property’s alarm system, according to sources with knowledge of the investigation of the theft.

    Montreal-based GardaWorld did not learn of the crime until opening the vault on Monday. The company did not respond to requests for comment.

    George Alhosry, who owns the Kwik Market & Deli on Roxford, said the store’s Wi-Fi was down much of Sunday. “We couldn’t access the Lotto,” he said, adding that mobile phone calls failed in the area, too.

    It’s unclear whether that was connected to the heist. But Wi-Fi jammers have become a common tool of theft gangs during their burglaries of homes in Southern California because they knock out many security cameras that could capture video or stills of them or their vehicles.

    Authorities have so far said little about the mysterious heist, which is being investigated by the FBI and Los Angeles Police Department. The Times previously reported that there was also an effort by the thieves to breach the side of the GardaWorld building. It’s unclear whether this was part of their attempts to enter or exit the warehouse. A KABC-TV News video aired Wednesday night showed a large cut on the side of the structure that was covered by a piece of plywood. By Thursday afternoon, the wall appeared to be patched up.

    The crime has rattled Sylmar, where residents and merchants near the GardaWorld building told The Times they were shocked that such an audacious heist occurred in their midst.

    Yet some locals were more focused on street crime than a high-dollar heist that appeared to bear the hallmarks of a silver screen spectacle. Take Victor Benitez, who said that the particulars of the heist seemed to be plucked from a 1980s action movie. Standing near a shabby section of San Fernando Road, where shaggy palm trees wore their browning fronds like beards, he lamented that prostitution and violent crime are problems in the area.

    “Five weeks ago, the police brought a dog in, they searched the area for an active shooter — but it wasn’t in the news,” said Benitez as a train rumbled by on adjacent tracks. “I would not recommend living here.”

    Damage to a wall at the GardaWorld building in Sylmar appeared to be repaired on Thursday.

    (Myung J. Chun/Los Angeles Times)

    Sandi Gomez, a resident of the mobile home park whose property offers a view of the GardaWorld building, said she didn’t notice anything amiss over last weekend. She said she told FBI agents the same thing when they visited her Monday afternoon and asked if she “saw or heard anything suspicious around 4 a.m.” Sunday.

    Gomez was asleep at the time.

    The FBI agents also wanted to know about a security camera mounted on a portion of her home that faces the GardaWorld property. Gomez said she explained to the agents that the camera only offers a live view and doesn’t record footage. The next day, she said, LAPD investigators walked the area.

    The mobile home park is a dense neighborhood of tightly spaced trailers lining numbered avenues. On Thursday afternoon, stray cats stalked a weedy patch at the back of the property, which is separated from the GardaWorld building by fences, unkempt foliage and a line of trees.

    A representative of the mobile home park declined to comment.

    The burgled facility, hemmed in on one side by the active train tracks, is owned by World Oil Corp. GardaWorld has been the sole tenant there since the warehouse was built in 2000, according to real estate data firm CoStar.

    World Oil did not respond to requests for comment.

    The GardaWorld episode comes nearly two years after another high-profile Southern California heist: the multimillion-dollar theft of jewelry from a Brink’s big rig at a Grapevine truck stop. There’s debate about the value of those pilfered goods, with estimates ranging from less than $10 million to more than $100 million. The July 2022 crime remains unsolved.

    Rooftop burglaries have been extremely rare in Los Angeles — but there have been some notable ones in recent years. Last summer, burglars broke into Lincoln Fine Wines in Venice via a hole they cut in its roof. The thieves went on to steal about 800 bottles worth about $600,000 — making it one of the biggest wine crimes in California history.

    That incident occurred at the start of the Fourth of July weekend, similar to the Easter thievery at the GardaWorld property. Scott Andrew Selby, co-author of “Flawless: Inside the Largest Diamond Heist in History,” said burglars sometimes strike on and around major holidays.

    “This crew, like others, picked a holiday with fewest eyes paying attention,” he said.

    Times staff writers Ruben Vives and Roger Vincent contributed to this report.

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    Daniel Miller, Richard Winton

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