Measure ULA, the new property transfer tax on commercial and residential transactions over $5M in Los Angeles—an initiative that was approved by a lopsided 58% to 42% margin in a state referendum in November—is not delivering the kind of tax revenue, earmarked to support a new housing fund, proponents of the measure told voters to expect if they passed it.

A new analysis from the City Administrative Office in Los Angeles now estimates that Measure ULA will generate up to $672M in the fiscal year that begins on July 1 and end on June 30 next year.

Supporters of Measure ULA told voters on the city's voter information pamphlet—the official ballot information provided to voters that explains what an initiative aims to accomplish—said the property transfer tax would generate $900M per year, based on real estate sales volume in the fiscal year that ended in June 30 2022.