A key Los Angeles City Council committee wants developers to pay more for their upcoming projects.
The city’s Planning and Land Use Management Committee voted Tuesday in support of a plan to build affordable housing with fees collected from new constructions, Los Angeles Times reported.
If approved, developers would have to pay between $3 to $5 per square foot for commercial development, and $8 to $15 per square foot for residential projects, depending on the neighborhood. Small multifamily project developers will pay $1 a square foot in lower markets. The money will go towards the Housing Impact Trust Fund.
The linkage fees would only impact developers, not renters or buyers, according to a city report. But some opponents suggest the fee will lead developers to charge higher rent, pushing more Angelenos out onto the street.
Mayor Eric Garcetti proposed the linkage fees several years ago, and the plan was first filed in early 2016. The full fee will be effective as early as late 2018 if passed by the full City Council. [LAT] – Naiwen Tian