A newly released study highlights a growing crisis in Downtown Los Angeles, where office vacancy rates have reached historic highs and could pose major financial consequences for the city and county if left unaddressed.
The report, released by Downtown Works, the nonprofit arm of the Central City Association (CCA), warns that inaction could result in a staggering $69.5 billion decline in assessed office property value over the next decade, according to BisNow.
Along with that drop, the city and county stand to lose an estimated $353 million in property tax revenue — funds that typically support essential services. The findings connect rising vacancy, now at 22% and projected to climb, with reduced property values and, in turn, shrinking revenue for Los Angeles’s General Fund.