Tax OKd to Help Revitalize Hollywood Boulevard

A swath of Hollywood Boulevard, which includes landmarks such as the El Capitan and Mann Chinese theaters and the Hollywood Roosevelt Hotel, will be revitalized with money generated by a special $600,000 tax district.

The Los Angeles City Council approved the assessment Tuesday, empowering an 11-member board to oversee the new Hollywood Entertainment District.

The 41 property owners in the zone will pay $1,400 to $57,000 annually based on property size. The money will pay for security guards, cleanup crews, marketing and street improvements.

“What property owners want people to see is what people expect when they come to Hollywood: glitz, glamour and excitement,” said Julie Kleinick, chairwoman of the Hollywood Chamber of Commerce’s district committee.

Hollywood’s district, effective in January, becomes the third such business improvement district in Los Angeles, joining the downtown fashion district and Westwood Village. The Hollywood district encompasses Hollywood Boulevard from La Brea Avenue to McCadden Place, north to Yucca Street and south to Selma Avenue.

Supporters hope to use the funds in creative ways to generate some Hollywood flair along with improvements.

Cleanup crews, for example, could dress as famous film characters and bike patrol officers could act as tourist guides.

Business leaders hope to draw major chain stores to the area, such as Barnes & Noble bookstores or Starbucks coffee shops.

“We think it’s of the utmost importance for the turnover of Hollywood,” said Jeff Damavandi, managing member of Damavandi Capital, which is renovating an office and retail space building in the district.

Damavandi said property owners were frustrated with the pace of city-sponsored improvements along the boulevard. Nearly 58% of the property owners within the district petitioned the council for the change.

The largest assessment, $57,000 a year, will be paid by the Hollywood Roosevelt Hotel, which also owns an adjacent office building and parking structure, said Kleinick.

None of the remaining property owners, all of whom were contacted, voiced their dissent, said Los Angeles City Councilwoman Jackie Goldberg. In five years, the district can be dissolved if owners representing more than 50% of the assessments object.

Board members are already considering expanding the district east to include other property owners within the first two years. An expansion also would require approval of the new members.

“We think those owners will recognize the benefits that the owners in the first phase will have realized,” Kleinick said.

The district’s first assessment on Dec. 10 is scheduled to raise $300,000, Kleinick said. The Metropolitan Transportation Authority also will contribute $500,000 for the first year.

“It’s a question of owners taking responsibility for their property and putting their money where their mouth is,” Kleinick said. “They will reap the benefits, no doubt.”