TrojanDLA's Blog: Downtown Los Angeles Living

An article in the New York Times today reveals that major banks are demanding a government bailout: "Bank of America, which is in the process of acquiring Countrywide Financial and has potentially huge exposure, has circulated a proposal to create a new federal agency that would buy vast quantities of delinquent mortgages at a deep discount and replace them with fixed-rate federally guaranteed loans. The bank warned that tightening credit conditions were leading to 'escalating levels of delinquency and default among borrowers' and 'an unprecedented number' of homes that would enter foreclosure.'" www.nytimes.com/2008/02/22/business/22homes.html

This argument is sheer nonsense. How is increasing credit liquidity related to Mr. Joe being unable to pay his…

Most definitely the construction slow down is GREAT for LA, at this time. The reasons are simple: just keep pace with demand, but do not flood the market like San Diego did. Fortunately, it is pure luck and coincidence that LA did not suffer from the overbuilding of San Diego and Miami. LA simply came too late to the party, and by the time all these projects were stuffed through the pipeline, and believe me, they were FORCED into that pipeline, the credit crunch hit and developers were without money for groundbreaking.

A few of the high profile projects now on hold include Park Fifth, Grand Avenue Project, L.A. Central and the Herald Examiner refurbishment. That's over 1000 residential units right there. On the other hand, completed projects such as…