By JOSE HERRERA | City News Service
Plans to move unhoused residents residing in the L.A. Grand Hotel to the Mayfair Hotel are going “smoothly,” the acting director of interim housing for the Los Angeles Homeless Services Authority told a City Council committee on Wednesday, Feb. 21.
The first phase began on Feb. 7, focusing on linking about 77 unhoused residents at L.A. Grand Hotel to limited subsidies and other permanent, supportive housing resources.
According to Fernandez, the second phase will begin April 8, focusing on interim housing transfers — some 56 individuals who do not have existing linkages to housing navigation, time limited subsidies or other permanent housing resources, and who will not be moving to the Mayfair.
The third phase is set for May 1, when about 300 L.A. Grand Hotel residents will move out to the Mayfair.
Fernandez said while the homeless services authority is aiming to complete moving homeless individuals out of the L.A. Grand Hotel by June 30, it has until the end of July to do so.
Fernandez noted there were initially 433 residents at the L.A. Grand Hotel, but as of Feb. 14, there were 440, citing Bass’ efforts to continue enrolling individuals while also connecting new participants to housing resources. Four residents left the program, he added.
While committee members expressed their appreciation for the verbal presentation, they criticized the absence of a written report.
Fernandez was unable to answer all the council members’ questions, prompting them to ask for a follow-up report in two weeks around the outcomes for those 77 and 56 individuals, who would not be transferring to the Mayfair Hotel.
According to a recent Homelessness Emergency Account report — which monitors funding for Bass’ Inside Safe initiative and other efforts to address homelessness — the council extended the lease on the L.A. Grand Hotel through July 31, retaining 481 units for interim housing.
Since June 2023, the Weingart Center has provided services at the hotel, and will continue through the extension. The extension is estimated to cost $20 million — about $13.9 million for the lease and food and $6.8 million for services.
With the lease a few months away from ending, city officials are looking to use the Mayfair Hotel for interim housing transfers from the Grand and Skid Row some time in May.
Councilman Bob Blumenfield, who sits on the housing committee, questioned whether the city would be on hook for services at both the L.A. Grand and Mayfair hotels during demobilization efforts.
A representative for the City Administrative Office explained that financial commitments would overlap until July, unless the transfer is completed faster.
Councilwoman Monica Rodriguez, another member of the committee, firmly stated she expected a written report that outlined the projected cost expenditures associated with the ramp up of Mayfair Hotel as opposed to the ramp down of the L.A. Grand Hotel.
“I just wanted to get clarity because it’s about as clear as mud,” she noted.
About 301 participants qualify for expanded services under the state’s Encampment Resolution Fund award — covering costs specifically for unhoused residents from Skid Row. The other 135 participants are lower-acuity and non-Skid Row residents, who benefit from Homelessness Emergency Account funds.
Recently, the Los Angeles Times reported that Dana Hammond, founder of the Academy of Media Arts, a school that operated within the L.A. Grand Hotel, filed a breach of contract claim with the hotel’s owner, Shen Zhen New World, LLC.
Hammond also criticized the Inside Safe program for negatively impacting the school and students, citing break-ins, drug paraphernalia on the school premises and other safety concerns.
Clara Karger, a spokeswoman for Bass, told The Times that the city addressed those issues by bolstering security at the hotel, among other efforts.
Workers at the L.A. Grand Hotel, represented by SEIU Local 721, went on strike last week, calling on city officials to intercede on their behalf for better wages and support with the owner. Some workers also criticized the use of the hotel for Inside Safe.
The City Council approved the acquisition and rehabilitation of the Mayfair Hotel in August 2023. The site, which was previously used for Project Roomkey, like the L.A. Grand Hotel, will be used for Inside Safe, providing 294 rooms with a three-level, 183-spot parking garage.
Fernandez said the Mayfair Hotel is expected to serve 300 to 400 people, with some rooms being used for two-person households.
According to the status report on the Homelessness Emergency Account, the L.A. Grand Hotel lease extension will allow for a “successful” transition for those participants who are to be relocated to the Mayfair Hotel, while renovation plans are also complete.
For those who aren’t being relocated, city officials are working to place them in other interim housing sites or provide them with permanent housing.
Funding for use of the Mayfair Hotel as housing for homeless individuals comes from Community Development Block Grants, federal money for projects aimed at improving the quality of life for people with low or moderate incomes; Proposition HHH, the bond measure approved by Los Angeles voters in 2016 to fund housing and facilities to address the homelessness crisis; Municipal Housing Finance funds; the city’s general fund; Inside Safe funding; and closing credits from the deal.
The Mayfair Hotel must serve unhoused Angelenos from Skid Row for two years before taking in unhoused people from other parts of the city, as required of the encampment resolution grant.