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The Real Deal Los Angeles

Blue Arch looks to build 15-story hotel in South Park

The 139-key construction would continue the steady pace of hotel development
By Dennis Lynch | June 08, 2018 10:00AM

1138 S. Broadway, where Blue Arch plans a 139-key hotel

Add another hotel to South Park’s hefty tally.

The latest is Blue Arch Investments’ plan for a 139-key hotel at 1138 S. Broadway. The hotel would be more than 67,000 square feet hotel and include a 125-seat restaurant.

The Miracle Mile-based firm also requested a permit to sell alcohol at a rooftop space with room for 200 seats.

The project would replace a two-story retail shop and parking lot between West 11th and West 12th streets about a half-mile from the Los Angeles Convention Center, which is set for a $1.2 billion renovation and expansion that includes an 850-key hotel.

The city set a goal in 2013 of constructing 8,000 new hotel rooms near the convention center by 2020, in a bid to increase and capitalize on tourism. Since then the number of rooms in the area available or under construction has doubled to around 5,000.

The city itself is doing its part to help with tax breaks to developers proposing large projects in the area, including for the 850-room hotel at the convention center itself. Last month, the City Council voted to provide Lightstone Group with $103 million in tax breaks to build its massive 1,153-room Fig+Pico hotel and mixed-use complex.

Councilmember Gil Cedillo introduced a motion earlier this week to rezone Sandstone Properties’ 2.6-acre property on West Pico Boulevard for hotel development.

Smaller projects are also in the works. Relevant Group is at the beginning stages of developing its 473-room Morrison Hotel a few blocks away from Blue Arch’s proposed hotel.