Original Article – https://www.latimes.com/business/newsletter/2022-02-26/real-estate-newsletter-20220226-hot-property
Los Angeles must rezone to accommodate an additional quarter-million new homes by mid-October after state housing regulators rejected the city’s long-term plan for growth, Liam Dillon and David Zahniser write.
The likelihood that L.A. will be able to accomplish in months a task that would normally would take several years is very low, but the cost of failure could be high, experts say.
If city leaders do not fix the housing plan or complete the rezoning by the new deadline, they could lose access to billions of dollars in affordable housing grants, officials with the state Department of Housing and Community Development said in a letter this week.
Without the money, the production of new housing for low-income and homeless residents throughout L.A. would take a massive hit at a time when more than 41,000 people are homeless and soaring rents and the COVID-19 pandemic are making it harder for Angelenos to stay in their homes.