Downtown L.A. building boom stretching west of financial district

The downtown Los Angeles building boom is spreading outward.

Construction has begun on a 648-unit apartment complex just west of the financial district, in yet another example of downtown's resurgence expanding beyond the neighborhood's traditional boundaries.

When finished, two large apartment buildings will rise along 6th Street between Lucas Avenue and Bixel Street, with retail stores on the ground floor. The developer, Holland Partner Group, also is renovating an adjacent 1920s medical office building into apartments. Altogether, the project is expected to cost more than $200 million.

"We couldn't be more excited about what is happening in downtown Los Angeles," said Thomas D. Warren, who oversees Holland's Southern California operations.

The Vancouver, Wash., firm is looking to attract workers yearning for a slightly quieter home than those in downtown but who still want to live "very close to all the action," Warren said. The apartment complex across from Good Samaritan Hospital is less than a mile from downtown, across the 110 Freeway.

Projected rents range from $1,500 for a small studio to $3,750 for larger three-bedroom units, Warren said.

Seeking to capitalize on the real estate recovery, developers are looking for sites close to job centers and entertainment, while also factoring in price, said Richard Green, director of USC's Lusk Center for Real Estate.

"The land is a little less expensive as you get away from downtown," he said. "You can offer rents that are a little lower and justify the construction costs."

So more development is coming just outside downtown's traditional borders. A $1-billion residential, hotel and retail complex is planned along Broadway just south of the 10 Freeway near a Blue Line rail stop.

And more is slated beyond downtown's western boundaries. A developer plans a $60-million apartment and retail complex at Wilshire Boulevard and Valencia Street, several blocks west of Holland's project.

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Downtown L.A. building boom stretching west of financial district