Graffiti towers in downtown LA could soon see cleanup after bankruptcy agreement approved by judge

DOWNTOWN LOS ANGELES (KABC) -- A federal judge's approval of a bankruptcy exit agreement could pave the way for a cleanup operation at the so-called graffiti towers in downtown Los Angeles.

The judge on Tuesday approved the agreement between creditors over the Oceanwide Plaza development, clearing the way for a potential sale.

The Chinese-backed mixed-used development was intended to house luxury apartments, hotel rooms and retail space near Crypto.com Arena.



But seven years ago, construction stalled after developers ran out of money for the project. Vandals armed with spray paint descended on the structure, resulting in blight that was visible high above Figueroa Street.



"This long-neglected property has imposed blight and safety concerns on a major commercial and residential corridor for more than a decade, and Downtown LA has been left to deal with the consequences," L.A. City Councilmember Ysabel Jurado said in a statement. My office has been actively engaged for months, with repeated site visits and coordination across City departments to address safety concerns and advance solutions that put this space to work for the City. This is a positive step forward, and we look forward to continuing that work with the new owners."