There are now several dozen residential projects big and small under construction or proposed in downtown. They include high-end developments like the Frank Gehry-designed Grand Avenue complex, a scattering of mid-rise projects in Little Tokyo and even a planned 76-story tower across from Pershing Square. The Downtown L.A. Business Improvement District estimates that downtown's population could jump in the next year from 30,000 to nearly 40,000.
Some real estate experts have warned that the downtown real estate market could slow -- particularly if the region's overall housing market does.
Still, planning experts said there was no doubt the City Council was sending a message with its vote Tuesday.
"It's definitely a clear statement by the city that they want more urban development in the downtown zone," said Raphael Bostic, associate director of the USC Lusk Center for Real Estate.
The ordinance will most likely succeed in creating greater density downtown and along the Figueroa corridor, Bostic said. But it's unclear whether the incentives meant to entice developers to build affordable housing along with the luxury condos will work, he said.
"The question is: Who's living in that development? Is it all upper- income people or to what extent are we going to mandate that there's lower-income as well?" he said.
Some people downtown cheered the prospects of more residential development -- even if it is mostly upscale.
Fashion Institute of Design and Merchandising students Holley Ruiz and Sal Garcia say the residential housing boom has transformed downtown, bringing more restaurants, stores and other amenities to an area long neglected.
"Like with the new Ralphs, I don't have to eat junk food anymore," said Garcia, 20, referring to the recent opening of the first chain supermarket downtown in generations. "I can eat healthy. Downtown is becoming more cultural."