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# Summary of Residential Permitting in the City of Los Angeles in Q2 2024
July 18 2024
Written by CityWatch.
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LADBS REPORT - Using data from the Los Angeles Department of Building and Safety (LADBS), this report analyzes residential permitting trends in Los Angeles for the first two quarters of 2024, compared to the same period in 2023. It also assesses the impact of Executive Directive 1 (ED1) approvals on final permits.
Key Points
- Citywide Trends
- Total Units Permitted: 5,208 residential units (down 18.9% from 2023).
- ED1 Units Permitted: 588 units (up from 84 units in 2023).
- Challenges
- Economic Factors: High-interest rates, labor disputes, and Measure ULA's impact on development.
- Permitting Declines: Despite economic improvements, residential permitting remains slow.
- Council District Highlights
- District 1 (Councilmember Eunisses Hernandez): 407 units permitted (down 23.2% from 2023).
- District 2 (Council President Paul Krekorian): 202 units permitted (down 12.9% from 2023).
- District 3 (Councilmember Bob Blumenfield): 555 units permitted (up 28.2% from 2023).
- District 4 (Councilmember Nithya Raman): 195 units permitted (down 66.6% from 2023).
- District 5 (Councilmember Katy Yaroslavsky): 261 units permitted (down 10.9% from 2023).
- District 6 (Councilmember Imelda Padilla): 261 units permitted (up 48.3% from 2023).
- District 7 (Councilmember Monica Rodriguez): 327 units permitted (up 678.6% from 2023).
- District 8 (Councilmember Marqueece Harris-Dawson): 667 units permitted (up 13.4% from 2023).
- District 9 (Councilmember Curren Price): 251 units permitted (same as 2023).
- District 10 (Councilmember Heather Hutt): 700 units permitted (down 41.4% from 2023).
- District 11 (Councilmember Traci Park): 163 units permitted (down 14.2% from 2023).
- District 12 (Councilmember John Lee): 223 units permitted (up 46.7% from 2023).
- District 13 (Councilmember Hugo Soto-Martinez): 430 units permitted (down 47.4% from 2023).
- District 14 (Councilmember Kevin de Leon): 434 units permitted (up 28.4% from 2023).
- District 15 (Councilmember Tim McOsker): 132 units permitted (down 78.1% from 2023).
Analysis
- Unexpected Decline: Despite stable interest rates and rising employment, permitting rates have not improved significantly.
- Affordable Housing Shortage: The slow pace of permitting exacerbates the housing and homelessness crisis in LA.
- ED1 Program: Increased ED1 approvals but limited conversion to final permits indicates potential future growth.
Conclusion
The report highlights the slow pace of residential permitting in Los Angeles and the challenges faced by different council districts. Despite some districts bucking the trend, overall permitting rates remain low, signaling ongoing issues in housing development.
About the Authors
- Joshua Baum: Principal at Hilgard Analytics and Director of Public Policy & Community Development at Zenith Economics. [Hilgard Analytics](http://www.hilgard-analytics.com)
- Samuel Maury-Holmes: Founder at Zenith Economics, LLC. [Zenith Economics](http://www.zenithecon.com)
References
1. [LA Housing Permits Down 53% in 2023](https://la.urbanize.city/post/analysis-la-housing-permits-down-53-2023)
2. Mortgage Rates Surge Past 7%, Highest Since 2002
3. Hot Labor Summer by the Numbers
4. [Measure ULA Impact](https://labusinessjournal.com/special-reports/measure-ula/)
5. [Federal Reserve Meeting on Interest Rates](https://www.wsj.com/economy/central-banking/federal-reserve-meeting-interest-rates-inflation-6dcb05e8)
6. [Los Angeles Affordable Housing Data](https://laist.com/news/politics/la-loses-much-more-affordable-housing-than-it-gains)
7. [Racial Covenants in Los Angeles](https://www.latimes.com/opinion/story/2021-09-10/racial-covenants-los-angeles-pioneered)
8. [LA Department of Building and Safety](https://www.ladbs.org/)
9. [Executive Directive 1](https://planning.lacity.gov/project-review/executive-directive-1)
10. [Los Angeles City Council Guide](https://laist.com/news/politics/los-angeles-city-council-guide-elections-councilmember-2023)
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