The court-approved Chapter 11 liquidation plan clears the way for KPC Square’s purchase of the stalled 1.5 million-square-foot Downtown Los Angeles project after the City and County withdrew objections.
Oceanwide Plaza LLC said the U.S. Bankruptcy Court for the Central District of California confirmed its Revised Combined Disclosure Statement and Plan of Liquidation, advancing the more than $470 million sale of the unfinished Downtown Los Angeles development to KPC Square, a joint venture between KPC Group and Lendlease. The ruling by the Honorable Deborah J. Saltzman followed the withdrawal of objections by both the City of Los Angeles and Los Angeles County during a July 20 hearing, with the confirmation order expected to be filed Tuesday morning. Under the amended plan, the debtor will begin removing all visible graffiti from the site within 30 days with support from KPC Square. Oceanwide Plaza, a 1.5 million-square-foot, three-tower project at 1101 South Flower Street across from Crypto.com Arena, has remained unfinished and largely vacant since construction stopped in 2019. The parties expect the sale to close in the coming months, although the transaction remains subject to the Chapter 11 Plan of Liquidation and other customary closing conditions.