Project Rendering

LOS ANGELES-Korean Air and Thomas Properties Group have reached an agreement with hotel and building trade unions that is a key to the $1 billion redevelopment of the Wilshire Grand Hotel on the southwest corner of Wilshire Boulevard and Figueroa Street. The $10 million closure agreement between the hotel and Unite-Here/Local 11 provides the 480 existing hotel workers with severance pay and healthcare benefits and gives them recall rights when the new hotel opens, assuring them of the opportunity to reclaim their previous jobs. The schedule calls for the hotel to close in December 2011. Demolition will require one year, so construction on the new hotel will begin in December 2012 with expected completion in 2015.

The airline and Downtown L.A.-based Thomas—in announcing the agreement Wednesday—called the deal "a significant milestone in the planned redevelopment of the 3.2-acre site, a full city block in the heart of Downtown Los Angeles," a project that was reported on by GlobeSt.com in 2009 when first announced.

A.C. Martin Partners Design