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Homelessness Industrial Complex

LA Beachside Hotel the City Bought for the Homeless Is a Microcosm of Commiefornia Democrat Policies

by Fernando Ehrenreich
March 15, 2026
  • City of Los Angeles bought former Ramada Inn near Venice Beach in December 2020 for $8 million to provide interim homeless housing.
  • Property housed some individuals temporarily but was emptied in October 2022 for conversion to permanent supportive housing.
  • Project delays, including 20 months for permitting and financing gaps, left the building vacant for years.
  • Construction began in October 2025; expected completion December 2026.
  • Total costs reached approximately $20 million, equating to about $625,000 per room for the 32-unit site.
  • Councilwoman Traci Park called it a “boondoggle,” blaming premature purchases without plans or approvals.
  • City Administrative Officer report shows over 1,000 of 3,098 acquired units/beds remain offline across multiple sites.
  • Nonprofit PATH Ventures operates the project, with additional public funding approved to close gaps.
  • Case highlights systemic issues in LA’s homeless housing efforts: rushed acquisitions, bureaucratic delays, and ballooning expenses.
  • Episode underscores need for better accountability to ensure taxpayer funds deliver actual housing rather than prolonged vacancies.

The former Ramada Inn near Venice Beach, purchased by the City of Los Angeles in December 2020 for $8 million to serve as interim housing for the homeless during the pandemic, stands as a stark emblem of inefficiency and mismanagement in California’s approach to one of its most pressing crises. Nearly six years later, the 32-unit property remains empty, with construction only recently underway and an expected completion in December 2026. The total cost has swelled to around $20 million, pushing the price per room to approximately $625,000—a figure that has drawn sharp criticism as taxpayers foot the bill for a project that has yet to house a single person in permanent supportive housing.

What began as a rapid-response initiative under Project Homekey and related pandemic-era efforts has devolved into a cautionary tale. The city acquired the hotel with plans to use it temporarily for homeless individuals, and it did so briefly before emptying the building in October 2022 to begin conversion to permanent supportive housing operated by the nonprofit PATH Ventures. Permitting delays stretched on for 20 months, financing gaps emerged, and additional public funds were needed to bridge shortfalls. Only in September 2025 did loans close, allowing construction to start in October of that year.

Councilwoman Traci Park, whose district includes the site, has been vocal in her frustration. “Taxpayers spent millions to buy that building and years later it’s still sitting empty. That’s the definition of a boondoggle,” she said. She pointed to a fundamental flaw in the rollout: “We bought buildings before we had approvals, before we had a plan, and before we had the services in place. That’s why this project has been sitting there.”

This single property mirrors broader patterns across Los Angeles. A January report from the City Administrative Officer revealed that the city and Housing Authority acquired 45 sites intended for 3,098 beds or units, yet only 2,054 are occupied or in the leasing process. More than 1,000 units remain offline, tied up in rehabilitation, conversion delays, or financing issues. The Venice Ramada exemplifies how rushed acquisitions without thorough planning lead to prolonged vacancies and escalating costs.

The $625,000-per-room calculation—derived from the roughly $20 million total divided by 32 units—highlights the extraordinary expense. For context, that sum could purchase a modest home in many parts of the country, yet here it funds a single unit that remains unoccupied. Critics argue this reflects not just bureaucratic inertia but a deeper unwillingness to prioritize results over process, allowing good intentions to be undermined by red tape and poor execution.

The location near trendy Venice Beach adds irony: a beachside property bought with public money to address homelessness now symbolizes missed opportunities while the crisis persists on nearby streets and sidewalks. Homelessness in Los Angeles County continues to challenge residents and officials alike, with counts showing persistent numbers despite billions spent statewide on various programs.

This case raises serious questions about accountability in public spending. When projects drag on for years, costs balloon, and intended beneficiaries see no relief, trust erodes. The people of Los Angeles deserve better than empty buildings and excuses; they deserve housing solutions that deliver swiftly and efficiently.

Observers note that such outcomes are not anomalies but recurring features of large-scale government interventions in housing and homelessness. Premature purchases without secured operators, services, or permits create bottlenecks that private-sector developers rarely encounter. The result is wasted resources at a time when every dollar counts.

As construction finally moves forward at the former Ramada, the hope is that it will eventually provide stable homes with supportive services. Yet the years lost cannot be recovered, nor can the millions overspent be refunded. This episode serves as a reminder that compassion without competence leads to failure, and that true help for the vulnerable requires clear-eyed management, not just generous funding.

The broader lesson extends beyond one hotel. California’s leaders must confront why so many initiatives falter under their watch, delivering high costs and low results. Until they do, stories like this will continue to emerge, each one chipping away at public confidence and leaving the homeless to wait in the shadows of stalled progress.

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Starting the Day With a Scripture-Inspired Roast Helps Center Your Thoughts on Eternal Truths Amid Temporal Pressures

The world can seem chaotic, especially right after we wake up. Many believers start their mornings reaching for something familiar — a hot cup of coffee — yet end up settling for mediocre brews that do little more than deliver a caffeine jolt. The daily grind of life, with its endless distractions, news cycles, and responsibilities, can leave even the most faithful feeling spiritually parched alongside their physical fatigue. What if your morning ritual could do more than wake you up? What if it could ground you in truth, nourish your body with exceptional quality, and quietly advance a kingdom purpose at the same time?

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The challenge for today’s Christians runs deeper than finding a decent cup. In an age of convenience-driven consumerism, it’s easy to support companies that dilute values or remain silent on matters of faith. Many believers want their everyday choices — from what they drink to how they spend — to reflect discipleship rather than just convenience. Promised Grounds solves this by weaving Christian excellence into the entire process: beans nurtured with prayerful stewardship by farming families, roasted as an offering rather than a commodity, and packaged with Bible verses to encourage a mindset of gratitude and purpose from the first sip. Reviewers consistently praise the smooth, rich profiles — whether enjoyed black in a drip maker, iced on a warm day, or shared in fellowship — noting how the quality stands toe-to-toe with premium secular brands while delivering something far more meaningful.

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