A new high-rise complex that would transform a key intersection in Hollywood may get a different look as developers contemplate making it mainly apartments instead of offices.
The $500-million project was proposed two years ago by entertainment business manager Thomas St. John in partnership with Philip Lawrence, the owner of former Hollywood recording studio Record Plant.
They asked Los Angeles city officials to approve a 13-story indoor-outdoor complex at the northeast corner of Sunset Boulevard and Highland Avenue that would contain offices for rent and a top-flight recording studio aimed to please the tastes of the biggest names in the music industry. It was to be known as the CMNTY Culture Campus.
That vision may still come to pass, developers said, but now they also want the city to approve another large-scale project for the two-acre site that would be mainly residential.
The unusual dual-track proposal reflects how much demand for office space has fallen since the pandemic drove many businesses to work from home, while apartments continue to attract renters. It may take at least two years to reach the point construction can begin, at which time the developers will read the market and decide between housing and offices, they said.
“Due to the ongoing uncertainty in the office market arising from COVID-19 and recognizing the urgent need for more housing in Los Angeles, we began to explore a residential option,” St. John said. “By entitling two options, we will be better positioned to ensure that we can deliver a viable project at this site once all approvals have been secured.”
Both designs are by HKS, the architecture firm that designed SoFi Stadium in Inglewood.
St. John recently brought in Lincoln Property Co. to act as co-developer. The Dallas-based real estate company is leading the development of several projects in the Los Angeles region that together represent more than 3.8 million square feet of new space, the company said.
In Hollywood, the new residential proposal calls for 734 apartments in two towers of 34 and 38 stories, said Rob Kane, a senior executive vice president at Lincoln Property. The configuration includes a five-level garage for 834 cars.
It’s too early to say what percentage of apartments will have subsidized rents for people in need of assistance, he said, but “there will be a substantial number of affordable units.”
There would be an acre of garden space for tenants atop the garage and a music recording studio at street level, where there would also be a restaurant and perhaps a coffeehouse.
Plans call for programs at the studio intended to engage students at Hollywood High, which has magnet programs in performing arts and new media. The high school is across Highland Avenue from the site.
The project executive for both potential developments is David Malmuth, who oversaw development of the former Hollywood & Highland entertainment and office complex (now known as Ovation Hollywood), where the annual Academy Awards are held.
Creating a residential option for 6767 Sunset Blvd. helps ensure something big will be built there, Malmuth said, because it may be difficult to find investors to fund construction if the office market stays cold in the years ahead.
“We originally thought that the commercial option was exactly the right fit, but the world’s changed,” he said. “You’d hate to spend five years going through an approval process and ultimately not be able to get it financed.
“We’re very confident working with the city as a partner that both of these will get approved,” he said, “and then we will be in the position of saying, ‘what really makes most sense here?’”
