Thank you for sharing!

Your article was successfully shared with the contacts you provided.

HOLLYWOOD, CA-Owners of commercial properties took in nearly 32% more gross rental receipts in 2002 than in 1999 in the area comprising the Hollywood Entertainment District business improvement district, according to a new report on economic activity in the BID.

The increase in gross rental receipts was one of a number of measures of change in the report, which confirms a “positive upturn in Hollywood’s economic future,” BID officials say.

The Hollywood Entertainment District is an 18-block business improvement district including Hollywood Boulevard from La Brea Avenue to Gower Street. The study, prepared for the BID by Economic Research Associates, measures the financial impact of the BID on the area year-over-year. BID executives say the report indicates that the BID, which is supported by assessments paid by property owners, “has had a considerable positive effect on the neighborhood’s economic growth.”

In citing the economic report, BID officials also note the resurgence of entertainment companies doing business in Hollywood: Twentieth Television has chosen to base its new live weekday show, “On-Air with Ryan Seacrest,” from a new 12,000-sf production studio at Hollywood & Highland; and the ABC Network show “Jimmy Kimmel Live!” is already based there at the Disney Entertainment Center.

The new study shows that total commercial rent receipts rose to more than $51.6 million in 2002 from $39.1 million in 1999. Among the other statistics in the report: assessed property values within the BID increased 103% from 1998 to 2002; gross receipts from theater increased more than 127% from 1999 to 2002; parking tax revenues increased 203% from 1998 to 2002; sales tax revenues rose 242% from 1998 to 2002; and business license tax revenues increased 116% from 1998 to 2002.

The study also showed that daily room rates in the Hollywood hotel market have increased at a higher pace (52%) than in neighboring markets such as Downtown Los Angeles, West Hollywood and the San Fernando Valley.

Kerry Morrison, executive director of the Hollywood Entertainment District, says that another encouraging conclusion from the report is that tourism is returning to Hollywood Boulevard. “The summer of 2003 proved to be very strong for businesses throughout the area,” Morrison says.

The Hollywood Entertainment District is a property-based BID financed by 210 property owners who are assessed $2.1 million annually to pay for security, maintenance services and marketing to promote the revitalization of the area. The entertainment district BID was formed in September 1996. Business leaders cite the BID as one reason that developers are now more willing to commit to projects in Hollywood, even in areas that lie outside the boundaries of the BID.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.