December 5, 2024

LOS ANGELES, CA – Following Los Angeles Metro’s release of the Draft Environmental Impact Report (EIR) for the K Line Northern Extension Project, the Los Angeles County Economic Development Corporation (LAEDC) has conducted an economic impact analysis demonstrating the substantial regional benefits of the project’s San Vicente-Fairfax alternative, including bringing nearly 60,000 additional daily riders to the K Line, making it one of the highest ridership light rail lines in the country. The K Line Northern Extension will be transformative for the region, and Third District communities, by connecting four major rail lines and six of the highest ridership bus lines in LA County.

“The economic benefits of the K Line Northern Extension are clear and compelling: Once completed the K Line Northern Extension will bring as many as 130,000 jobs and over $22 billion in economic output to the region,” said Supervisor Lindsey P. Horvath. “Communities up and down the corridor have gone without fast and reliable transit for far too long, and LAEDC has been a tremendous partner in helping us quantify the additional benefits that come with connecting these communities to jobs, healthcare, and dozens of regional attractions.”

The K Line Northern Extension—a Measure M project—is one of Los Angeles County Supervisor Lindsey P. Horvath’s leading transportation priorities. The LAEDC report demonstrates the estimated economic and fiscal benefits associated with construction and ongoing operation of the K Line Northern Extension San Vicente-Fairfax alignment, including the following key findings:

Economic benefits associated with K Line North construction:

• Generate $22.5 billion in total economic output, $19.7 billion within the City of Los Angeles and the City of West Hollywood.
• Create 89,830 direct jobs along with an additional 33,450 jobs through indirect and induced effects in Los Angeles County, for a combined total of 123,280 jobs.
• Generate $9.7 billion in labor income, including an estimated $8.7 billion within the City of Los Angeles ($5.9B) and the City of West Hollywood ($2.8B).
• Generate $2.65 billion in federal, state, and local taxes.

Economic benefits associated with ongoing activity of K Line North after completion:

• Generate over $500 million total economic output through system operation and visitor spending, supporting 3,400 tourism industry jobs and over 4,000 jobs economy-wide, and increasing the County’s gross product (GCP) by over $300 million annually.
• Generate $77 million in federal, state, and local taxes annually.

“The K Line Northern Extension San Vicente-Fairfax alignment project is expected to greatly enhance mobility for residents and visitors alike, delivering substantial economic and fiscal benefits during both the construction and operational phases,” said Senior Director of LAEDC Institute of Applied Economics Shannon Sedgwick. “Although the economic impacts from ongoing operations and ridership are more modest compared to the significant one-time effects of construction, their value is long-lasting. These benefits will continue to strengthen the regional economy annually as the extended light rail line remains in service.”

The study builds on other efforts Supervisor Horvath has championed with local and state partners. In September, former Assemblymember Laura Friedman’s bill—AB 761—was signed by Governor Newsom, extending the term of Enhanced Infrastructure Financing Districts (EIFD) from 45 to 75 years for districts formed to help fund zero emissions transit projects in Los Angeles County, unlocking an important potential source of capital to accelerate the K Line Northern Extension Project.

Additional K Line Northern Extension project related information and frequently asked questions may be found here.

More Information

Metro K Line Northern Extension – LA Metro>

LAEDC K Line Northern Extension Economic Impact Analysis >

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