Gilmore’s Investment in Downtown L.A.

“Loan History May Be Issue in Project” (Jan. 5) didn’t mention the amount of losses the L.A. Theatre Center racked up over the years before anyone lived in the neighborhood. It also failed to make any attempt to quantify the amount of investment that has occurred and will occur in the most depressed area of our downtown because of the Old Bank District project. It leaves out some of the terms of developer Tom Gilmore’s financing, which distorts the performance of the loans for the three buildings. They appear to be performing within the terms of the loan agreements.

While it is unfortunate if any borrower defaults on a loan, it is always more difficult for lenders who are not locally based to have a good grasp of working with a borrower to resolve problems. Gilmore is not the first developer to attempt what many believe is mission impossible, but like a Timex watch, he takes a licking but keeps on ticking. At least our political leadership seems to grasp the concept of “no investment, no impact.”

Michael Banner

Inner City Advisor

Urban Land Institute

Los Angeles