Sometimes bad things expose more bad things. As I kiddingly say, a $5 million home in the Palisades is a house in the slum area. Los Angeles is among the most expensive home cost in the nation. California is also, as a State, one of the highest priced for homes in the nation. Now that the homes have burned down, watch as the cost of rebuilding makes the homes even more expensive.
But the California Coastal Commission will have control over any homes are rebuilt, any commercial business will be rebuilt. It is a guarantee any home or business on the ocean side of PCH that burned down—will never be allowed to be rebuilt. That area will look like the riot area of the 1965 Watts Riots—slums and vandalized businesses did not open for decades. Pacific Palisades a very dense community will probably be allow about 10% of the former homes to be rebuilt.
This is going to be fought in the Coastal Commission, the city of L.A. planning commission and permits section for decades.
Los Angeles fires expose inflated US home prices
Story by Reuters, 1/10/25 https://www.msn.com/en-za/news/other/ar-BB1rbjl4
By Robert Cyran – Devastation around the second-biggest US city, including the upscale Pacific Palisades, has already killed five people and forced 100,000 to evacuate. One early estimate by the AccuWeather forecasting service already pegs the damage at more than $50-billion. Although the severity of such disasters is likely to keep growing, the downward pressure they put on home prices is only slowly dawning on Americans.
