A lodge close to Venice Seaside that town purchased to remodel into homeless housing stays empty after years of drawn-out delays and a ballooning finances.
The previous Ramada Inn on Washington Avenue has sat principally vacant since 2020 as officers have scrambled to safe permits, subsidies and building financing.
Now the worth tag for the stalled undertaking is approaching $20 million, after town plunked down a comparatively paltry $8 million for the property in 2020.
The skyrocketing tab to ship the 32-unit undertaking means rooms for the homeless will value about $625,000 every.
“Taxpayers spent tens of millions to purchase that constructing and years later it’s nonetheless sitting empty. That’s the definition of a boondoggle,” mentioned Councilwoman Traci Park, whose district covers the positioning.
The property at 3130 W. Washington Blvd. was bought in December 2020, with a plan for the lodge to function as interim housing for the homeless.
In October 2022, the positioning’s shelter program was shut down and homeless residents had been moved out so the constructing could possibly be transformed into everlasting supportive housing.
On the time, then-Councilmember Mike Bonin supported transitioning the positioning from a short-term shelter to long-term housing. However as soon as the constructing was emptied, the undertaking bumped into allowing delays and a funding gaps.
Based on a January report from Metropolis Administrative Officer Matthew Szabo, the securing of permits alone dragged on for 20 months.
In the meantime, the undertaking nonetheless didn’t find the money for to maneuver ahead.
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Its nonprofit operator, PATH Ventures, had raised about $5.5 million from private and non-private sources however nonetheless confronted a financing shortfall. Metropolis leaders finally permitted $1.5 million in extra funding particularly earmarked for supportive housing to shut the hole. PATH additionally secured a $1.25 million building mortgage from Genesis LA.
The loans lastly closed in September 2025 and building started in October 2025. The present estimated completion date is now December 2026.
“We purchased buildings earlier than we had approvals, earlier than we had a plan, and earlier than we had the companies in place. That’s why this undertaking has been sitting there,” added Park, who took workplace in December 2022.
“This property ought to have been housing individuals already. As an alternative it’s a logo of how badly Metropolis Corridor botched the rollout of those initiatives.”
The delays and finances overruns aren’t isolate to solely the Venice lodge will not be an remoted case.
The identical Metropolis Administrative Workplace report exhibits town and the Housing Authority acquired 45 websites, totaling 3,098 beds or items.
However solely 2,054 items are occupied or within the leasing course of. That leaves 1,044 taxpayer-funded beds or items nonetheless not on-line, together with a whole bunch present process rehabilitation, conversion or nonetheless attempting to safe financing.
