The reopening of Pacific Coast Highway is the latest step toward recovery for Pacific Palisades. In January, the fire there destroyed nearly 7,000 homes and businesses, and killed 12 people. In Altadena, the Eaton Fire destroyed more than 9,400 structures and killed 17 people.
Five months later, many properties have been cleared of debris, but the rebuilding process is just beginning. Some residents are busy pulling permits and selecting plans, while others are selling their empty lots and moving on. Still others haven’t decided what to do.
Sue Kohl, president of the Pacific Palisades Community Council and a local realtor, spoke to Press Play right after the fires broke out. Now, she says a lot of people can’t afford to build back due to underinsurance, or they simply don’t want to deal with a project of that scale. As a result, 200 or more empty lots are for sale in the community.
As for her own scorched property, Kohl says the Army Corps of Engineers removed debris and certified her as clear. Then she had soil testing done, which still found some toxic lead that had to be remediated. Today, heavy equipment is on the lot to remove the driveway, tree stumps, and everything else that the Army Corps didn’t take. She says she doesn’t have building permits yet, but the plans are submitted, and she’s ready to start the process. Plus, she hired a builder who’s handling any bureaucratic tape that comes along.
Kohl’s insurance company sent checks immediately and has been communicating consistently, but the policy won’t cover the full cost of the reconstruction. She has to come up with extra funds herself.
Sue Kohl stands in front of her destroyed property. Credit: Zeke Reed/KCRW
Realtor Jim Tripodes says the situation in Altadena differs: “In the Palisades, it's Los Angeles City, that's their municipality. Here in Altadena, it's [unincorporated] Los Angeles County. So the home owners are having to deal directly with the County.”
Altadena residents are facing many of the same questions as Palisadians. According to Tripodes, “Age is a major factor for somebody whether or not they decide to rebuild or move. … After age, probably insurance settlement, and then just the financial position of the property owner. And then I would say the third factor … is time. How much time do they have available to work on a project of this size?”
Now Tripodes says the Altadena market has over 300 empty parcels, half of which have already sold. There are 110 active lots, double the number from five or six weeks ago. The lowest price sale happened last week — $330,000 for a very small parcel, just under 4,000 square feet. The most expensive parcel went for $1.865 million.
Tripodes believes the numbers of parcels on the market will continue to rise. “Inventory is ticking up quickly. We're in an inflection point where it seems like the market might be tilting more toward the buyers, who are mostly developers.”
Folks who have chosen to stay are facing delays and hurdles in the rebuild process. “There's been, as of about 10 days ago, 480 rebuild permits submitted, but only 10 permits have been issued,” Tripodes says.
Jim Tripodes is selling this lot at 141 W Manor St., Altadena, CA 91001. It’s listed for $550,000. Courtesy of Jim Tripodes.
In Kohl’s Palisades neighborhood, the Alphabet Streets, she says many lots are 5,200 or 6,500 square feet. Before the fires, a 6,500 square foot lot would’ve sold for $3.2 million, but now it would go for about $1.7 million.
It’s a mixed buyer’s market, Kohl says. “You also have people … taking the opportunity now to maybe sell their tiny little lot, and buy one larger for a greatly reduced price… There's also developers. And… young families who have dreamt of someday getting into the Palisades, and now they see an opportunity, so they're spending money on the lots, even if they can't build right away.”
Sue Kohl used to work out of this real estate office that is now burned down. Credit: Zeke Reed/KCRW
All this selling might impact the character of the neighborhood in the Palisades. “ People are looking at the opportunity to now buy two lots next door to each other,” Kohl explains. “[I’m] hoping that they're not going to use that to build mega mansions…It's always a fear because I don't think any of us have the legal ability to block people, and it could happen.”
New construction also raises concerns in Altadena, Tripodes acknowledges. “We had a lot of very old homes, a lot of character homes, craftsmen, Spanish, etc. And the rebuilds are not going to be comparable to that original architecture.”
He says Altadena will inevitably change, but at the end of it, the community will be desirable again, and people who’ve rebuilt will enjoy new homes worth significantly more than pre-fires.
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