Despite a well-documented shortage of housing, Los Angeles continued to dig the hole deeper in 2024.
A new report from Hilgard Analytics shows a 23 percent drop in citywide residential permitting during 2024 compared to 2023. Just 8,706 residential units received building permits last year, versus 11,311 in the prior year - a decline of 2,605 new homes. Those figures take into account the total of new single-family and multi-family residential units permitted, but excludes accessory dwelling units.
"Even with possible tailwinds in 2025, such as further interest rate cuts by the Federal Reserve, rumors of a proposal to reform Measure ULA, and the CHIPs plan that is currently going through the approvals process at LA City Hall, Los Angeles will continue to grapple with deep-rooted issues," writes author Joshua Baum. "The persistent shortage of deed-restricted affordable housing, the lingering effects of redlining, exclusionary zoning policies, and the intensifying impacts of climate change evident in the devastating fires that have displaced residents in areas like Pacific Palisades, all ensure that the city’s housing and homelessness crises will remain critical challenges well beyond this year."
The amount of new housing development varied from community to community, with permitting down year-over-year in 10 of 15 Los Angeles City Council districts.
The steepest declines were seen in:
- Council District 1 (covering communities such as Echo Park, Chinatown, Westlake, and Pico-Union) where just 553 residential units were permitted in 2024 versus 1,172 units in 2023;
- Council District 4 (Encino, Los Feliz, Silver Lake, and Sherman Oaks) with 269 units in 2024 and 582 units in 2023);
- Council District 10 (Koreatown, West Adams, Mid-City) with 719 permitted units in 2024, down from 1,415 units in 2023;
- Council District 13 (Hollywood, Echo Park, Silver Lake), with 473 homes permitted in 2024 versus 1,976 permitted in 2023; and
- Council District 15 (Harbor Gateway, San Pedro, Watts), where permitting dropped to 293 units in 2024 from 851 units in 2023.
Districts showing increases in residential permitting include:
- Council District 5 (Beverly Grove, Palms, Pico-Robertson, Westwood), where 499 homes were permitted in 2024, up from 398 units in 2023;
- Council District 6 (Van Nuys, Sun Valley, North Hollywood, Panorama City) which saw a 244 percent increase from 331 units in 2023 to 1,139 permitted units in 2024;
- Council District 7 (Sylmar, Pacoima, North Hills), where permitting jumped 539 percent from just 72 units in 2023 to 460 units in 2024;
- Council District 9 (Exposition Park, Central-Alameda), which saw a 28 percent jump from 786 permitted units in 2023 to 1,009 units in 2024; and
- Council District 12, which saw the slight jump from 281 units permitted in 2023 to 289 units in 2024.
Increases were particularly notable in Council Districts 6 and 7, working class San Fernando Valley areas which have struggled to attract private investment in the past.
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