Palisades Pulse Part 2 | November 2026

THE PALISADES PULSE

PART 2 | REBUILDING THE PALISADES

Written By Anthony Marguleas | October 12, 2026

Nearly two years after the Palisades fire, rebuilding is gaining momentum, but significant challenges remain. This report examines construction progress, insurance costs, utility delays, foreclosure trends and the vacant land market.

HOW LONG IS THE REBUILDING PROCESS TAKING?

PaliBuilds observed median timelines

HOMEOWNERS INSURANCE | COSTS, COVERAGE AND SIGNS OF IMPROVEMENT

CALIFORNIA FAIR PLAN | POLICIES IN FORCE

FAIR Plan dwelling rates rose an average of 29.1% statewide beginning October 15, 2026.

More private insurance options may become available, especially for homes with stronger wildfire protection. Eligibility will depend on each insurer's underwriting requirements.

NEED INSURANCE QUOTES? CONTACT ADAM GLAZER

Adam Glazer, Comparion Insurance Agency | (310) 683 6852 | [email protected]

INSURANCE: WHAT RESIDENTIAL CLOSINGS SHOW

2,263 HOMES AND CONDOS SOLD SINCE THE FIRE

Approximately 1,100 purchases involved financing. Despite widespread concerns about homeowners insurance availability following the January 2025 fire, buyers have continued closing transactions across Pacific Palisades, Brentwood and Santa Monica. Lenders generally require acceptable property insurance for financed purchases.

My take

Insurance can be costly and require planning, but it has not brought the residential sales market to a standstill.

LADWP ADDS STAFF | WILL CONNECTIONS SPEED UP?

LADWP has added inspection and service staff and established dedicated assistance for Palisades rebuilding. For homeowners nearing completion, the priority is securing inspections and permanent power connections as efficiently as possible.

Why this matters: Completing construction and being able to occupy a home are not the same thing. Homeowners have reported long waits for temporary service, inspections, trench approvals and permanent electrical connections.

LADWP announced an October 15 target for reducing temporary power and related backlogs. Homeowners should confirm the status of their own service request rather than assume that every connection has been completed.

Homeowner resource: The Palisades Inspections and Permitting Support Center, 16925 Marquez Avenue, Pacific Palisades coordinates assistance with rebuilding approvals and service requests.

What homeowners should do: Ask your contractor or electrician to confirm the meter location, trench and conduit specifications, required LADBS and LADWP releases, and the status of your service request. Keep written records and request an updated connection estimate.

[email protected] | 1 800 342 5397

^{Sources: September 9 LADWP community meeting; ABC7, October 12, 2026; LADWP support center.}

WHAT DOES IT COST TO REBUILD?

Indicative construction ranges | Flat, straightforward lots

These indicative base construction ranges are local builder estimates, not turnkey prices. The chart illustrates potential costs for a 3,000 square foot home on a straightforward flat lot.

Hillside lots can cost substantially more because of grading, retaining walls, caissons, soils work and site access.

Budget beyond the base price for design, engineering, permits, utilities, contingencies and financing.

Thomas James Homes reportedly reduced a quoted base construction package from approximately $650 to $550 per square foot. Homeowners should compare current written proposals carefully because specifications, site work and exclusions can materially affect the final price.

Compare complete written scopes and exclusions, not simply the quoted price per square foot.

BEFORE YOU SIGN A BUILD CONTRACT

Questions that can protect your rebuilding budget

1. Verify credentials

Confirm the contractor's active CSLB license, bond status, general liability coverage, workers' compensation and any applicable umbrella coverage.

2. Demand a complete written scope

Request a detailed schedule of inclusions and exclusions. Clarify demolition, soil remediation, grading, foundations, caissons, retaining walls, landscaping, utility work and required fire hardening features.

3. Understand the contract structure

Is the proposal fixed price, guaranteed maximum price or cost plus? Which items can change, and who bears unexpected site condition costs?

4. Examine allowances and changes

Identify allowances for windows, cabinetry, appliances, fixtures and finishes. Ask how change orders are priced and approved, and how contingencies will be funded.

5. Compare the whole project budget

Include architecture, structural and soils engineering, surveys, permits, expediting, insurance, financing, utility upgrades, temporary housing and a separately identified contingency. Avoid double counting overlapping estimates.

6. Check the schedule and references

Speak with owners of comparable completed Westside projects. Ask for milestone dates, inspection dependencies, LADWP connection timing, delay remedies and warranty provisions.

My take

The lowest per square foot quote may not produce the lowest final cost. Compare bids using the same scope, allowances, exclusions and contingency assumptions.

Guidance is informational; have a qualified construction professional and attorney review contracts.

FORECLOSURE ACTIVITY | HISTORICAL CONTEXT

FORECLOSURES | OCTOBER 22 UPDATE

The October snapshot shows 26 properties in the foreclosure process: 9 Notices of Default, 7 Notices of Trustee Sale and 10 bank owned. The total is unchanged from September, although the share in later stages increased. The chart shows historical snapshots, not new monthly filings.

VACANT LAND LISTINGS | FOUR WEEK UPDATE

New vacant land listings averaged 13.75 per week over the four weeks through October 29, about 56% above the six month average of 8.8. The most recent week slowed. New listings do not equal unsold inventory.

What this means for homeowners

Selling land: Watch competing listings and current demand.

Buying land: With more supply available (180 current land listings), it can put downward pressure on pricing.

MY REBUILDING JOURNEY

Roof and painting completed | Flooring next | Target completion: spring 2027

LOOKING AHEAD TO 2027

WHAT I AM WATCHING NEXT: Actual move ins and utility connection times, rebuilding costs, the balance of new land listings and buyer demand, and changes in foreclosure stages.

The best decision depends on insurance, financing, construction costs, timing and long term plans. Rebuilding, selling or waiting can each make sense.

If you are rebuilding, considering selling or evaluating a purchase, I am always happy to share what I am seeing in the market and help you consider your options.