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AB342 Could Be A Major Catalyst for Economic Growth

Category CEO Corners

When we changed our brand to the Social District, it was aspirationally about creating an environment that is welcoming and safe for people to connect at any time of the day. Our District is home to the South Park neighborhood, the growing Dignity Health medical corridor, L.A. Live, and the Los Angeles Convention Center. Our ambassadors and place management team work to create vibrant environments, connect our district, and promote opportunities for businesses to thrive. 

Seemingly following Jimmy Buffet's belief that it's five o'clock somewhere, Assembly Bill 342 (AB342), introduced by Assemblymember Matt Haney and co-authored by Senator Scott Wiener, would allow cities like LA to create designated "Hospitality Zones" where bars and restaurants could extend alcohol service hours until 4 a.m. on weekends and holidays. This is less about turning DTLA into Margaritaville or Vegas, and more about the economics of running a brewery, bar, or restaurant. For the Social District — already home to a dynamic nightlife scene, world-class venues, and a growing residential community — this could be a major catalyst for economic growth, job creation, and a more energized hospitality economy, especially with global events like the 2026 FIFA World Cup and 2028 Olympics on the horizon. 

Passage of AB 342 will make decisions about service hours a local decision. Cities choosing to opt into the program would be required to carefully plan for increased law enforcement and transportation needs, ensuring that extended service hours enhance — rather than strain — the surrounding community. For the Social District, this means leveraging the late-night economy to support the daytime use of vacant storefronts that can now sustain cafés or restaurants that survive during the weekday, but thrive based on weekends.

If passed, AB 342 would give us the flexibility to offer a lifeline to existing restaurants, breweries, and neighborhood bars that are vital to our identity and economic value proposition. But passage of the bill is only a first step. This bill gives local leaders the tools to customize policies for their neighborhoods' unique character and needs, allowing the Social District to thrive as a place where culture, commerce, and community come together long after the sun goes down, and balances the needs of residents and visitors alike.