But the city’s conflict with Regency Outdoor Advertising isn’t necessarily over
At the behest of the City of Los Angeles, Regency Outdoor Advertising tried to demolish its billboard on Gaffey Street, at the end of the 110 Freeway, on June 20. However, they failed, because the sign removal company hired by Regency didn’t have the proper lane closures needed for the demolition, a representative from City Councilman Tim McOsker’s office said. There is no set date for the demolition, but the representative said it should happen in the next few weeks.
McOsker and Regency have publicly been in conflict over the issue ever since McOsker took office in December 2022.
“Regency ignored all initial demands, and only became reluctantly cooperative after the City filed litigation, an Unlawful Detainer action, and we filed a motion to make uncooperative tenants like Regency ineligible for future permits,” the representative from McOsker’s office wrote via email.
The representative from McOsker’s office said Regency’s attempted removal of the billboard failed for several reasons.
“The city was ready on our end but the sign company hired by Regency did not connect with Caltrans to get an observer for the lane closures and the sign company discovered that even with those closures, there would not be enough space on Gaffey Street for the crane equipment so they requested a repositioning of lane closures which caused the delay of the removal,” the representative from McOsker’s office wrote via email.
The representative from McOsker’s office said that Regency has committed to pay all costs related to the billboard’s removal, but that litigation is still pending, and that the city will hold them responsible for any additional costs or unpaid rent prior to its removal.
The billboard is owned by Regency, but the land is owned by the city, which it purchased in 2015. In August 2022, the Central San Pedro Neighborhood Council asked the city to not renew the lease on the billboard, which was set to expire at the end of the year. The council’s letter called the billboard a “direct contradiction to on-going beautification efforts and an eyesore for all residents and visitors.”
In December 2022, McOsker motioned for the Department of General Services to issue notices to Regency to demolish the billboard and support structure.
In February 2023, the billboard’s previous advertisement was replaced with an advertisement for the billboard itself, with the text reading “Your “Logo” would look great on here,” followed by Regency’s name and number.
“This new advertisement is a slap in the face to the San Pedro community who have patiently waited for the billboard to be taken down,” McOsker said at the time. “Regency Outdoor Advertising is well aware that their lease is over and that they are legally obligated to take down the billboard.”
McOsker’s office released a press release on Feb. 9 stating that Regency has ignored its requests that the company remove the billboard. On Feb. 22, Regency issued a press release titled, “Regency Outdoor Makes Statement Concerning Local Officials Efforts to Block Public Infrastructure Improvements.” In the statement, Regency said its billboard is an excellent way to partner with the city to fund the city’s projects.
“We are both baffled and perplexed by the decisions of some local officials in San Pedro who seek to rebuff our attempts to convey the public benefit to them and the citizens of Los Angeles and block our plans for a development agreement with the City that would in part provide revenue sharing that would generate tens of millions of dollars of revenue,” Regency’s statement said.
McOsker responded by sending a letter to the editor at Random Lengths News, saying that no matter how much revenue Regency made from the billboard, it was only paying the city $1,100 per month.
“The original lease that Regency was a party to was not with the City of Los Angeles,” Philip Berardi, president of Regency, wrote via email in response to this discrepancy. “The City recently acquired the property and assumed the lease in the acquisition (including the rent amount). Regency was interested in a new long-term lease and development agreement (20 years) with the City that would generate tens millions in revenue and benefits for the City over its course.”
In the previously mentioned letter to RLN, McOsker said that the billboard’s removal was not just an aesthetic issue, it was also a public safety issue.
“Over many years there have been numerous incidents of crime, drug dealing, and dangerous activity in the area shielded by the billboard,” McOsker wrote.
When asked why the billboard has not had an advertiser other than Regency itself for several months, Berardi said it was because of the lengthy discussion with the city.
“The removal process has taken longer that we expected, and we did not want to start any advertising campaigns that we would have to cut short once the permits were issued and all jurisdictional issues related to the removal resolved,” Berardi wrote via email.