Developers See Opportunity in East Hollywood
Transition Brings Higher-End Projects to the Area - East Hollywood
By Ryan Patap
May 17, 2023 | 6:33 AM
East Hollywood, in the Los Angeles apartment market, has seen an upswing in development activity in recent years. Historically, the area saw minimal apartment construction; it has long been a lower-income community that offers among the cheapest rents in the metropolitan area, making it hard to justify new construction. The period from 2010 to 2019 saw just 21 units added, on average, annually.
Developers increased activity in East Hollywood starting in 2018. To the west is Hollywood, which has seen significant gentrification and apartment development for the past decade. To the east is Silver Lake and Echo Park, among the trendiest neighborhoods in Los Angeles. All these areas offer a plethora of restaurants and nightlife options. With ample nearby amenities, developers likely saw an opportunity to attract renters to higher-end properties.
Last year, almost 400 units were added, the highest annual total in decades. The largest completion in 2022 was The Elinor, a 202-unit mid-rise at the corner of Hollywood Boulevard and Hillhurst Avenue. The project required the assemblage of 13 individual parcels. As of late April, the property had reached 84% occupancy. Rents at the property average $3,100 per month, 70% above the area's average of just over $1,800 per month.
Earlier this year, LaTerra Development opened The Louise Los Feliz, a 246-unit complex at Hollywood Boulevard and Edgemont Street. Asking rents average $3,600 per month, double the area's average. The project is the largest apartment complex built in the area since 3100 Riverside Drive was completed in 1989.
There are still just over 900 units under construction in East Hollywood. In the near term, the 185-unit Ardence & Bloom is expected to open in the coming months.