downtown los angeles, south park

Rumor Mill: Hilton Buying Downtown LA Parking Lot for Future South Park Hotel

A surface parking lot at the SE corner of Olympic and Grand is currently in escrow with the purported buyer being Hilton Hotels

A surface parking lot in South Park at the SE corner of Olympic and Grand is currently in escrow with the purported buyer being Hilton Hotels

An ugly surface parking lot at the SE corner of Olympic and Grand, adjacent to the infamous and now defunct Crash Mansion night club, may have a much brighter future ahead reborn as a potential mixed-use hotel development, improving and activating this anti-pedestrian intersection. Several sources have informed me that the 58,000 square foot lot is currently in escrow and point specifically to Hilton as the purported buyer. The South Park site, located a stone’s throw from LA Live/Staples Center, is definitely hot on the hotel industry radar. In fact, at one point, even Four Seasons was apparently kicking the tires a bit.

“The [parking] lot was closed and there were two rigs drilling away last Thursday [May 2, 2013],” a local source writes in an email. “I have to assume they were doing soil testing. Usually diligence of that matter is done during escrow so Hilton probably hasn’t closed the deal yet.”

Last year, the lot was being heavily marketed for a potential residential or hotel development site. At a floor-to-area ratio (FAR) of 6:1, the parcel is entitled for a high-rise building up to 33 stories with over 25,000 square feet of ground floor retail space. According to public records, the current 266 parking stalls only generate about $300,000 of annual revenue.

There are currently two Hilton brands in Downtown LA including the boutique Hilton Checkers in the Financial District and DoubleTree by Hilton in Little Tokyo. In addition to the familiar Hilton Hotel brand, Hilton Worldwide includes the uber-luxury Waldorf Astoria chain “inspired by New York’s legend,” the contemporary luxury of Conrad, and the extended-stay brands of Home 2 and Embassy Suites.

Because Marriott now dominates South Park with pretty much all their brands (Ritz Carlton, JW Marriott, Courtyard and Residence Inn under construction, and the recent announcement of Renaissance coming in 2016), it is expected that one of Marriott’s largest competitors, Hilton Worldwide, would be eager to capture some of that market share as Downtown LA gets hotter and hotter for visitors (read: hotel guests) who are attracted back to LA’s burgeoning urban center.

Again, time will tell.

Loading
Center map
Traffic
Bicycling
Transit
Google MapsGet Directions

12 Comments

  1. dtla says

    they are actually doing a lot of work on the roof of the old Crash Mansion since last week…it doesn’t look like they’re demolishing it though.

  2. brudy says

    Let’s hope another parking lot soon bites the dust. Those few blocks along Olympic are particularly barren.

  3. Hunter says

    generally, most hotel companies are managers and do not own their own properties. would be great if there does end up being a hotel on this site, but the more likely scenario is a developer purchasing the site and potentially branding as a hilton versus hilton themselves actually being the purchaser

  4. Tony Villarogosa says

    You guys all all so misinformed.

  5. taffy says

    The reno on Crash Mansion isn’t just the roof. The ground-floor storefronts are all boarded up and are clearly under renovation. There are also, as of today, trees showing through the roof.

  6. If it’s 33 stories but a FAR of only 6, does that mean there will still be extensive surface parking? Or am I misunderstanding how much setbacks and the like reduce FAR? Do you happen to know comparable FAR’s and heights of some other buildings in dtla?

  7. shannon says

    I live across from the Crash mansion at packard lofts… I’ve been taking pictures of the demo. They are totally gutting it. I think it’s a tear down, maybe they are recycling the materials….

  8. sebastian says

    Since we’re all talking about hotels, what’s the status on the L.A. Central project. Brig any news on that.

  9. Simon Ha says

    I can tell you it’s not a hotel…

    Find out what’s going on in downtown before it happens.

    Every month, I will be posting information regarding planning applications regarding new bars, restaurants, new developments, and other planning issues on DLANC.org

    http://www.dlanc.org/planning-and-land-use/meeting-390

    This month:
    1. Chapman Market – extension of liquor sales hours to 2am
    2. New restaurant at 601 W. 5th
    3. Panini Cafe – continuation of beer and wine sales
    4. Grand Central Market – beer and wine sales for the market vendors and 2 new bars
    5. 1111 Wilshire – ‘Plan Check’ restaurant

    It would be great to get community feedback on these issues.

Comments are closed.