LA City Council committee votes to charge developers linkage fees

Charges would range from $1 to $15 per square foot

Aug.August 23, 2017 01:00 PM
(credit: Getty Images)

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

Related Article

From left: Jose Huizar, Huang Wei, Mohamed Hadid, Robert Herscu, Raymond Chan, and Arman Gabay, with Los Angeles City Hall (Credit: iStock and Getty Images)

Real estate’s role in LA corruption scandals

From left: Governor Gavin Newsom, Assemblymember David Chiu, Senator Holly Mitchell, and Senator Nancy Skinner (Credit: Getty Images)

Here are the key housing and rent control bills state lawmakers are debating

Assemblymember Phil Ting

Statewide pot shop bill gets smoked

Assemblymember David Chui

Opponents of statewide bill to cap rent increases call it “disincentive” to build

Councilmen Blumenfield and Cedillo with City Hall

City Council’s plan to restrict developer donations faces Council pushback

Inglewood Mayor James T. Butts

Inglewood spent millions soundproofing wealthier homes from LAX noise

State Senator Anthony Portantino and Glendale

Strength in the suburbs: Homeowners played central role in opposing housing bill

LAplus' Mark Vallianatos

Housing construction in LA is down, and developers blame Measure JJJ