Oceanwide Plaza Bankruptcy Court Confirms Plan of Liquidation, Clearing Way for $470 Million Sale to KPC Square
City of Los Angeles and L.A. County withdraw objections; sale positions long-idle Downtown L.A. site for completion ahead of 2028 Olympics
LOS ANGELES, July 20, 2026 (GLOBE NEWSWIRE) -- The U.S. Bankruptcy Court for the Central District of California today announced it will confirm the Revised Combined Disclosure Statement and Plan of Liquidation for Oceanwide Plaza LLC, clearing the path for the over $470 million sale of the long-idle Downtown Los Angeles development to KPC Square, a joint venture between KPC Group and Lendlease. The ruling from the Honorable Deborah J. Saltzman follows the withdrawal of objections by both the City of Los Angeles and Los Angeles County during today's hearing. Judge Saltzman’s confirmation order is expected to be filed Tuesday morning.
"This confirmation is the culmination of a long and complex process, and it delivers exactly what we set out to achieve: a credible path to finally bring this project back to life," said Bradley Sharp, Oceanwide's Chief Restructuring Officer. "We are grateful to the court, the creditors, and the City and County for working with us toward a resolution that serves everyone's interests, including the people of Los Angeles."
"Today's ruling reflects months of coordinated work across every stakeholder in this case," said Sharon Weiss, restructuring counsel to Oceanwide Plaza LLC. "The withdrawal of objections from the City and County, combined with the court's confirmation, paves the way for the sale to move toward closing."
Oceanwide Plaza, located at 1101 South Flower Street, sits directly across Figueroa Street from Crypto.com Arena, home of the NBA's Los Angeles Lakers, and steps from L.A. Live and the Los Angeles Convention Center. The 1.5 million-square-foot project comprises three high-rise towers on a full city block, including a 52-story tower designed for an 11-story luxury Park Hyatt hotel above residential floors. The property has sat unfinished and largely vacant since construction halted in 2019.
The City's withdrawal of its objection, filed this morning, came after months of negotiations between the City and KPC Square, facilitated by Sharp on behalf of the Debtor. Counsel for Los Angeles County also confirmed the County's withdrawal on the record during the hearing.
As part of the amended plan confirmed by the court, the Debtor will begin the removal of all visible graffiti on the site within 30 days, with the support of KPC Square.
"We're proud to have supported Oceanwide and its stakeholders in reaching this outcome," said Jeffrey Azuse, Executive Director, Head of Brokerage Operations for Hilco Global, which served as court-approved broker on the transaction. "This is a strong result for creditors and for the City of Los Angeles."
The parties expect the sale to close in the coming months.
Forward-Looking Statements / Legal Notice: This press release contains forward-looking statements regarding the proposed sale of Oceanwide Plaza. The transaction is subject to confirmation of the Debtor's Chapter 11 Plan of Liquidation by the U.S. Bankruptcy Court for the Central District of California (Case No. 2:24-bk-11057-DS) and satisfaction of other customary closing conditions. There can be no assurance that the transaction will be consummated on the terms described herein, or at all. This press release does not constitute legal, financial, or tax advice.
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