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Charter school founder blames LA homeless shelter for closure
The founder of the Academy of Media Arts says his downtown Los Angeles charter school was forced to close because of dangerous conditions surrounding a homeless shelter inside the same building. He is now suing the City of Los Angeles.
LOS ANGELES - The founder of the Academy of Media Arts says his downtown Los Angeles charter school was forced to close because of dangerous conditions surrounding a homeless shelter inside the same building.
He is now suing the city of Los Angeles.
What we know:
Dana Hammond, founder of the Academy of Media Arts, says the school became collateral damage in the city’s effort to provide housing for people experiencing homelessness.
The Academy opened in August 2022 inside the LA Grand Hotel in downtown Los Angeles.
According to a lawsuit filed by the Academy and D’Camp Hospitality Group, the hotel’s upper floors were being used as a homeless shelter through Project Roomkey when the Academy signed its lease.
The lawsuit says the Academy was told the shelter operation would be temporary and was expected to end before the school opened. Instead, the complaint alleges, the shelter remained in operation for years.
The Academy says conditions around the school deteriorated, with allegations including open drug use, assaults, trespassing, drug paraphernalia, trash, human waste and other safety hazards.
The complaint alleges city officials were repeatedly notified about the conditions and that families began pulling their children from the school because they were concerned about their safety.
According to the lawsuit, enrollment eventually dropped dramatically and the Academy was forced to close in January 2024, in the middle of the school year.
The complaint also alleges the school subsequently lost its accreditation with the Western Association of Schools and Colleges.
The Academy is seeking damages from the city. In its complaint, the school estimates its losses from the alleged nuisance at at least $20 million.
The lawsuit also claims the city paid more than $54 million to use the LA Grand Hotel for Project Roomkey and successor homeless programs.
The complaint alleges the city paid approximately $1.5 million per month under the arrangement.
What we don't know:
The city of Los Angeles has not publicly detailed its legal defense strategy, as city representatives have not yet responded to requests for comment.
Additionally, the defense position and status of the suit against the owner of the LA Grand Hotel, who is named as a co-defendant in a separate legal action by Hammond, remain unknown.
What they're saying:
Hammond says the school was promised a hotel environment suitable for educating students, but that promise did not match what his students and staff experienced.
"According to our lease, the hotel was supposed to be operated as a four-star hotel, not a homeless shelter," Hammond said.
He says police were repeatedly called to the property because of incidents involving people entering the school or surrounding areas.
Hammond says one incident involved a man who entered the school lobby and was eventually detained by police after an alleged attempt to carjack someone.
He says the problems became a "slow grind" that ultimately cost the school students and revenue.
"We had went down to 50 kids," Hammond said.
The lawsuit similarly alleges that parents began withdrawing their children, enrollment plummeted and the school ultimately could no longer safely operate at the location.
Hammond says he believes his students, many of whom came from underserved communities, were overlooked.
"We were just collateral damage," Hammond said.
The lawsuit alleges the City’s actions caused the Academy to lose students, tuition revenue, its accreditation and its investment in the school facility, along with damage to its reputation and goodwill.
What's next:
The Academy’s lawsuit names the City of Los Angeles as a defendant and alleges claims including private and public nuisance, dangerous condition of public property, failure to discharge a mandatory duty, inverse condemnation and civil-rights violations. The complaint demands a jury trial.
Hammond says the case is now headed for a jury trial scheduled for March 21, 2028.
The city has not responded to FOX 11's request for comment. FOX 11 also reached out to Councilmember Ysabel Jurado, who represents the area, and Mayor Karen Bass.
Hammond is also suing the owner of the LA Grand Hotel.
The Source: This report is based on civil court filings submitted by the Academy of Media Arts and D’Camp Hospitality Group against the city of Los Angeles, alongside direct statements provided by school founder Dana Hammond. Sourcing also relies on formal outreach to municipal representatives, including Mayor Karen Bass and local city council members.