Record-breaking year for Los Angeles tourism.

Mayor Antonio R. Villaraigosa, Los Angeles City Councilmembers, LA INC., and hotel, business and labor leaders gathered at Grauman's Chinese Theatre in Hollywood earlier this year to announce that 2005 was a record-breaking year for tourism in Los Angeles. Records show that 24.9 million tourists visited Los Angeles in 2005, making a fiscal impact of $12.7 billion on the economy.

"The tourism industry makes a major impact on the economy of the City of Los Angeles, employing thousands of Angelenos and contributing revenue to the city," said Mayor Villaraigosa. "I will continue to actively promote tourism in this great city so that more and more Angelenos can benefit directly and indirectly."

Villaraigosa has taken an active role in promoting tourism in Los Angeles since before he took office as mayor. In June of last year, he brokered a deal between hotel operators and union leaders narrowly averting a lockout of union workers at seven major Los Angeles hotels right before the busy summer tourist season.

He also worked to ensure that the l.a. live! project became a reality for Downtown Los Angeles. This multibillion dollar project in South Park will provide more than 25,000 jobs to Angelenos and offer 1,100 guest rooms to tourists as well as meeting, ballroom and amenity space. The project is expected to draw 10 million visitors a year.

The mayor also worked with LA INC., the Los Angeles Convention and Visitors Bureau to secure convention and hotel business for the city for upcoming years. Most recently, as a result of his active participation, the AARP agreed to host its 2011 convention in Los Angeles, estimated to make a $12.4 million impact on the economy.

In fact, December was a record-breaking month for convention bookings in Los Angeles. In the last month of 2005, more than $65 million in convention business was secured for upcoming years.

"The unprecedented cooperation of city government, hotel and labor has contributed to the success of LA's visitor industry this past year," said Mark Liberman, president and CEO of LA INC., the Los Angeles Convention and Visitors Bureau. "The mayor has helped form new alliances that have allowed LA put its best foot forward."

The mayor has also worked to build community support for the modernization of LAX while continuing to develop a regional solution to airport congestion.

Other statistics from 2005 indicate that tourism is healthy in Los Angeles. Occupancy rates in hotels were at 75.8 percent, a 4.3 percent increase over 2004, making Los Angeles the city with the fourth highest occupancy rate in the United States (following Las Vegas, Oahu and New York).

Cruise traffic also continued to grow at the Port of Los Angeles. In 2005, there was a 40 percent increase in the number of cruise passengers compared to 2004.

Total numbers of tourists from European markets including France, Germany and Italy and Asian markets including South Korea, China and Hong Kong have also experienced significant gains over the last year.

In an effort to increase tourism, LA INC., the Los Angeles Convention and Visitors Bureau has restructured its sales organization and continues to expand its marketing efforts worldwide, including working to open a tourist office in China and increasing celebrity participation in its SeeMyLA campaign.

orecasts for year-end 2006 predict an additional 2.5 percent increase in total visitors to Los Angeles to 25.6 million visitors and total visitor spending is expected to increase 5.1 percent to $13.3 billion by year's end.

"I look forward to announcing another record-breaking year at the end of '06," said Villaraigosa.

Why People Visit Los Angeles

                    Domestic    International
                    Visitors      Visitors
Visiting Friends
& Relatives           22%            16%
Business
Professional          27%            25%
Convention
Conference            11%             6
Leisure
Holiday               40%            47%

Note: Table made from pie chart.

Source: Los Angeles Convention & Visitors Bureau