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K3 Steps In: L.A.’s Housing Crisis and Standing Up for Working Angelenos

Los Angeles faces a growing crisis that can no longer be ignored. The working class of Angelenos, who have helped build and sustain the city, are increasingly unable to afford living in it.

As housing prices and rent increase, hard-working families and individuals who make up the middle class—teachers, nurses, veterans, and service professionals—are being displaced. They are facing impossible decisions between difficult commutes and long waitlists for housing access, working overtime, or leaving Los Angeles altogether.

“We’re in a time period where people are working extra jobs and extra hours to make ends meet,” said Nathan Kadisha, founder and principal of K3 Holdings. “This is a challenging situation where Angelenos are stuck with salaries that do not meet the high prices of housing or a living wage.”

In a recent CSQ article, Kadisha discussed the disparity of housing affordability in L.A., focusing on the growing gap between the middle class and those who are able to afford the city’s housing market, amid the cost of rent and living increasing.

A notable statistic included in the piece highlighted Zillow’s June 2025 Housing and Market Trends, which shows that the average apartment rent in L.A. is about $2,874 per month. This means households with annual combined incomes of $80,000 to $100,000 will be spending well past the 30% federal affordability benchmark of income spent on rent.

Based on these numbers, those who can afford to live in L.A. will have to make much larger sacrifices when so much of a family’s or an individual’s annual income must be allocated to housing.

The Los Angeles Homeless Services Authority’s (LAHSA) 2025 Greater Los Angeles Homeless Count reported 43,699 unsheltered and unhoused Angelenos across the city of L.A. While this is roughly a 3.4% decrease from last year, affordability, unsustainable housing opportunities, and homelessness remain serious issues, with senior homelessness increasing by over 36% in the past two years.

The problem is systemic, and consequences are compounding. For decades, housing policy in L.A. has catered to either end of the spectrum—deeply subsidized housing or high-end development—leaving little room for moderate, income-supported solutions. Zoning restrictions, parking mandates, and protracted permitting timelines have slowed progress. Meanwhile, working Angelenos are being priced out of their communities.

The solution lies in prevention and collaboration. The city needs to come together to support those who have given their lives to L.A., revitalizing the community of Angelenos that is rich in culture, career, and lifestyle.

The government must reform the regulatory landscape to promote density, streamline permitting, and incentivize the types of housing that reflect the city’s actual needs—not just luxury demand. Private developers, in turn, must go beyond profit motives. Investment should be allocated to value-add strategies, preserve aging housing stock through thoughtful renovation, and incorporate sustainable upgrades that lower long-term costs for tenants.

“K3 is committed to transforming L.A. into a place that can provide housing for everyone who works in it comfortably and affordably,” said Michael Kadisha, principal of K3 Holdings. “Through purchasing and transforming old, dilapidated properties, we’re able to convert them into income-restricted affordable housing.”

Allowing for more property development in areas surrounding metro stations, transit stops, and job hubs, as well as developer renovation and innovation focusing on community and social impact, is a step in the right direction. But it will take collective resolve across neighborhoods, developers, and property leaders to ensure that everyone who contributes to this city can continue to call it home.

Everyone deserves a place to live. Angelenos should be supporting each other, and those with power in the real estate and property sector must take action, creating livable multifamily and economical apartments that sustain affordable housing opportunities for Los Angeles’ working class.

The future of L.A. depends on whether we can close the widening gap between aspiration and accessibility.

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