The infamous "graffiti towers" in downtown Los Angeles have a new potential buyer in a Riverside County-based real estate development firm.
Officially known as the Oceanwide Plaza towers, the abandoned high-rise development became the subject of nationwide attention in 2024 when viral video showed more than two dozen floors of the massive buildings tagged with graffiti.
Los Angeles' Graffiti Towers Plunge In Value After Creditor's Reassessment
A view of the so-called Graffiti Towers on March 20, 2024 in Los Angeles, California. Mario Tama / Getty Images
As bankruptcy proceedings continued on Monday, a new buyer emerged in The KPC Group, which is owned by Kali P. Chaudhuri. The development firm reached an agreement with Lendlease, the original contractor for the project. The two filed their initial purchase agreement in federal bankruptcy court for $470 million, according to the Los Angeles Times, which also reported that the deal could be approved by the court if a higher qualified offer is not received by April 9.
"We are excited to move forward with a catalytic investment that creates a path to turn around a key part of Downtown LA," said a statement from Chaudhuri. "We are eager to work in partnership with the City of Los Angeles and the Downtown community to move quickly on what is truly a keystone project for Downtown revitalization and that will deliver economic benefits across the region."
The three-tower complex was originally planned to be a residential and retail space in downtown Los Angeles near Crypto.com Arena and the Los Angeles Convention Center. However, the $1 billion project was abandoned in 2019 after four years of construction because the China-based developer was unable to continue financing.
Along with the rampant graffiti, the towers also became a frequent spot for social media stunts like base jumping from the roof of the tallest tower, which is 49 floors high, and tightrope walking between two of the towers. The frequent trespassing resulted in dozens of arrests in early 2024.
27 Floors Of Unfinished L.A. Luxury Skyscraper Tagged With Graffiti
An aerial view of graffiti spray-painted by taggers on at least 27 stories of an unfinished skyscraper development located downtown on February 2, 2024 in Los Angeles, California. Getty Images
Previously, Los Angeles city officials approved $1.1 million to install fencing around the area, from 12th Street between Figueroa Street and Flower Street, to prevent further illegal activity. They also allocated funds for a temporary increase in LAPD security in the area when it was a hotspot for vandalism.
Last week, when a motion was made in court to extend the decision period of the plaza's sale, Mayor Karen Bass and other city leaders applauded the potential sale.
"Right in the heart of downtown Los Angeles, the blighted Oceanwide Plaza has been an eyesore for too long due to failed ownership," Bass's statement said. "With the resurgence of our Downtown and as we prepare to host the Olympic and Paralympic events right across the street, I look forward to working with the new ownership to transform this plaza into something that spurs further investment — and that Angelenos can be proud of."
After the buyer became public on Monday, LA City Councilmember Ysabel Jurado, who represents the portion of downtown where the plaza is located, shared a statement to celebrate the "milestone achieved."
"With the KPC Group and Lendlease forming a joint venture to acquire and complete the long-stalled Oceanwide Plaza, we finally have an opportunity to turn this neglected property into a true asset for the City," Jurado's statement said. "This milestone is a clear sign that Downtown LA is on the rise. I look forward to working with them as the sale moves forward to ensure this space services the community, restores public resources, and delivers real benefits to the people who live, work, and invest in Downtown LA."
The KPC Group is described as a "full-service real estate development firm" that specializes in the "acquisition, financing and delivery of projects across hospitality, mixed-use, healthcare, and commercial sectors." Among their notable ongoing projects are the 300-room Kali Hotel and Rooftop, which is being constructed near SoFi Stadium in Inglewood, and a 17,000-unit master planned community in Coachella.
Their website shows an extensive list of previous projects which include multiple healthcare facilities across Southern California, a sprawling shopping center in Hemet and Mount Palomar Winery in Temecula.