After Financial Challenges, Construction For Oceanwide Plaza Restarts

Construction for Oceanwide Plaza, a $1B mixed-use development in downtown Los Angeles, has resumed.

Construction on Oceanwide Plaza came to a halt after subcontractors filed a mechanic's lien against the owner
Bisnow/Joseph Pimentel
Oceanwide Plaza in downtown Los Angeles

Construction for the megadevelopment came to a halt in the middle of January due to financing issues, but construction workers were seen recently working on the project at 1101 South Flower St., according to Curbed Los Angeles.

China-based Oceanwide Holdings is developing the mixed-use project that includes three skyscrapers, one of which will be a five-star Park Hyatt hotel. The other two will contain 500 high-end condominiums. There will be more than 150K SF of ground-floor retail.

The development sits across from the Los Angeles Convention Center, Staples Center and L.A. Live.

Oceanwide broke ground on the project in 2015 and was slated to be completed in 2020. But development for the project stalled earlier this year after the developers were hit with a $50M mechanic’s lien, Curbed LA and the LA Times report.

Six subcontractors claimed Oceanwide had not paid them, according to Curbed.

Oceanwide had cited financing challenges as the reason for a sudden halt on construction.

“In an effort to prioritize construction activity, and while we restructure capital for the project, interior construction at Oceanwide Plaza is temporarily on hold,” Oceanwide said in a January statement to the LA Times.

While some liens have been settled, there are now nine active liens totaling $98M recorded on the Oceanwide property by subcontractors, according to Curbed LA.

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