Home builders have a message for the city of Los Angeles: it’s been a good run, but we’re moving on.
Large and small developers who for years have built single-family homes, condominiums and apartments in the Valley and in L.A., have pulled out of deals to buy land and build projects and are investing in other cities instead. They say the Measure JJJ ballot initiative that was approved by voters in November, which mandates that builders of most large projects include affordable housing and pay prevailing wage on construction sites, has turned developing into a high-cost endeavor that delivers low- to no-value returns.
“There’s going to be no production because of JJJ,” said Randy Johnson, who handles land acquisition as executive vice president for L.A.’s largest landlord, Brookfield Asset Management Inc. of New York.
Read the full story in the July 24 issue of the San Fernando Valley Business Journal.