Developer’s request to delay Grand Avenue project is rejected

The joint Los Angeles city-county board overseeing the $3-billion Grand Avenue project unexpectedly rejected the developer’s request today for an eight-month delay to begin construction on the development across from the Walt Disney Concert Hall.

The vote is the strongest sign that government officials are skittish about the prospects for the massive development in downtown L.A., and hope to keep a tight rein on the developer they handpicked for the project almost four years ago.

One county supervisor, Mike Antonovich, is even suggesting that the sprawling Frank Gehry-designed project should be scaled back because of the depressed real estate market.

“Given the stark economic climate,” said Paul Novak, a planning deputy for Antonovich, “our best approach may be less of a ‘grand’ vision than the plan previously approved by the county and the city.”

The vote is likely to heighten anxiety over the project, which is considered the linchpin in the effort to revitalize downtown Los Angeles and to bring in more affluent residents and retailers.

Instead of approving developer Related Cos.’ requested delay, the joint powers authority approved a motion by county Chief Executive William T. Fujioka giving the developer until Aug. 15 – a much shorter period than expected, though one that could be extended at the authority’s July meeting. Fujioka asked that city and county staff meet with officials from the developer to negotiate any further delays before then.

Related California President Bill Witte said after the meeting today that his company would “just continue to work with the committee.”

The Grand Avenue project’s first phase – which includes a shopping center, a hotel and two residential towers – was once slated to be completed in 2009, but when first asking for the delay, Witte said that 2012 is a more likely target. Witte has said that the delay would allow Related to finalize thousands of pages of construction documents before work begins. Because nearly 70% of building costs for the project will be for concrete and steel, completion of those documents may allow the developer to avoid overruns later.

But that request has not been well received in all quarters. Antonovich on Friday issued a statement calling on the county to send the project out for bidding again.

 cara.dimassa@latimes.com