The company behind a proposed high-rise development at the intersection of Figueroa Street and Olympic Boulevard in Downtown Los Angeles will have more time to make the project a reality, according to a letter issued by the Planning Department.

In 2018, an affiliate of Shenzhen Hazens Real Estate Group secured approvals for a project that would replace the E-Central Downtown Los Angeles hotel at 1020 S. Figueroa Street with a 29-story, 300-room W Hotel and a 49-story, 435-unit condominium building. Plans also called for 80,000 square feet of commercial uses, centered around a 5,000-square-foot central plaza.

While a number of similar projects backed by Chinese developers managed to get off the ground at around the same time, the Shenzhen Hazens project was dealt a blow in June 2020, when former Los Angeles City Councilmember Jose Huizar, who represented the Downtown area and chaired the Council's Planning Committee, was arrested on charges that he had accepted bribes from developers in exchange for moving their projects forward.

The 1020 Figueroa development was one of several developments tied to the scandal. Jia Yuan USA Co., Inc., the Arcadia-based subsidiary listed as the project applicant, agreed to pay a more than $1 million fine to resolve its role under an agreement announced in October 2020. As part of that agreement, Jia Yuan USA Co., Inc. admitted that a company employee had provided monetary and in-kind contributions to U.S. political candidates, and that the company chairman had facilitated indirect bribe payments to Huizar, among other offenses.

Subsequently, members of the City Council sought to claw back approvals and block the construction of 1020 Figueroa. That effort fizzled shortly afterward, never reaching a full City Council vote.

Instead, Shenzhen Hazens will have multiple years to break ground on the project before its entitlements finally lapse. According to a letter issued this month by the Planning Department, the project's new deadline for completing its Transfer of Floor Area Rights payment has been extended to July 5, 2025. Likewise, its development agreement and project approvals will last until July 8, 2028.

Whether or not the project finds conditions hospitable for construction during the coming four years remains to be seen. Oceanwide Plaza, located directly south across 12th Street, was set to include a similar blend of commercial space, housing, and hotel rooms, but has sat unfinished for half of a decade. The property is to be auctioned this month.

Follow us on social media: 

Twitter / Facebook / LinkedIn / Threads / Instagram