Townscape Partners scored a legal victory in its bid to construct a Frank Gehry-designed development in Hollywood last week when California's 2nd District Court of Appeals overturned an earlier ruling which had blocked the demolition of an existing building at the project site.

The proposed $300-million development, slated for a 2.5-acre site at 8150 Sunset Boulevard, calls for the construction of three buildings featuring 191 market-rate apartments, 38 units of workforce and affordable housing, and approximately 65,000 square feet of shops and restaurants.

To realize Gehry's design, which would include mid-rise structures up to 178 feet in height, Townscape must demolish the former Lytton Savings Building.  The one-story Googie building dates back to the 1950s and has been targeted for preservation by the Los Angeles Conservancy.

Although last week's ruling removed one hurdle, it simultaneously dealt Townscape a setback, reports the Los Angeles Times.  The court has also found that the City did not conduct a public hearing regarding the proposed closure of a right-turn lane from Sunset Boulevard onto Crescent Heights Boulevard, and will be required to hold a formal review.

8150 Sunset is one of a handful of Gehry-designed developments making their way towards approval throughout Southern California, joining Santa Monica's Ocean Avenue Project and Downtown's Grand Avenue Project.

Townscape's portfolio also includes the proposed conversion of a former office building in West Hollywood into condominiums.