The Los Angeles 2028 Olympic and Paralympic Games could generate more than $40billion in economic output and support as many as 224,000 jobs across Greater Los Angeles, according to a new report.
Research by the Los Angeles County Economic Development Corporation (LAEDC) estimates that planning, preparing for and hosting LA28 could generate between $20.5bn and $40.6bn across the five-county Greater Los Angeles region.
The Games could also support between 126,000 and 224,000 jobs, spanning sectors including hospitality, accommodation, construction, transportation, security and administrative services.
Commissioned by LA28 and conducted by LAEDC’s Institute for Applied Economics, the study examines the economic and fiscal impact of the Games across the years leading up to and including 2028.
Tourism is expected to be one of the major beneficiaries, with around two million visitors forecast to travel to Greater Los Angeles for the Games. The report estimates they could generate between $1.6bn and $4.3bn in direct visitor spending in Los Angeles County, benefiting hotels, restaurants, retailers and other tourism businesses.
Games-related capital investment is expected to provide the largest single source of economic impact. Around $8.35bn of investment in transport, airports, mobility, accessibility and venue upgrades has either been accelerated or undertaken in connection with LA28.
Los Angeles is pursuing a “no-build” approach to competition venues, with existing and temporary facilities being used rather than constructing permanent venues specifically for the Games.
LAEDC estimates Games-related economic activity could also generate between $5.1bn and $5.9bn in combined federal, state and local tax revenue.
LA28 has set a target of directing 75% of its addressable procurement spending to businesses in Greater Los Angeles, with 25% earmarked for local and small businesses.
Stephen Cheung, president and CEO of LAEDC, said: “The scale and breadth of the economic activity associated with the 2028 Games is significant, even when viewed through a conservative lens. Our analysis shows the impact reaching across the regional economy, from jobs and labor income to local businesses, visitor spending, and long-term investment. Importantly, these findings reflect a range of potential outcomes, providing a transparent picture of the economic benefits the Games could generate for Greater Los Angeles.”
Reynold Hoover, CEO of LA28, added: “The impact of the LA28 Games will be felt far beyond the moment the last medal is awarded. This study shows the tremendous opportunity we have to support jobs, open doors for local businesses, and drive investments that strengthen communities across Los Angeles. We’re focused on making the most of this moment and building a legacy that benefits Angelenos for generations to come.”
The LA28 Olympic Games will take place from 14-30 July 2028, followed by the Paralympic Games from 15-27 August 2028.
Image: la28.org