Council OKs $5-Million Buyout of Housing Project
The Los Angeles City Council on Friday approved a $5-million buyout of the controversial Sheridan Manor housing project, which has been the focus of a political corruption investigation involving Mayor Tom Bradley.
The council, on a 10-1 vote, approved the buyout of developer Jerome Steinbaum, who has reportedly lost about $2.4 million on the low-income housing project in the Koreatown and MacArthur Park districts.
City investigators are exploring allegations that Bradley improperly intervened with city agencies to win the project for original developer Harold Washington, a longtime fund-raiser for the mayor.
“There has been a lot of publicity about this case,” said Councilman Zev Yaroslavsky. “We’ve tried to leave the publicity aspects out of it and just find out what the city’s best interests were.”
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