Search
 

Los Angeles Wildfires Disaster to Reshape CRE Landscape

Rebuilding efforts could increase demand for rental properties and industrial space.

By Kristen Smithberg | February 27, 2025 at 06:01 AM

While the Los Angeles wildfires earlier this year primarily impacted residential structures, the rebuilding effort is likely to have broad impacts on the commercial real estate industry, according to a JLL analysis of the disaster’s impact.

With low-end cost estimates of $250 billion, the wildfires will almost certainly exceed Hurricane Katrina’s adjusted cost of $201 billion, making it the costliest disaster in U.S. history. The fires burned nearly 40,000 acres of land, damaged or destroyed nearly 11,000 single-family homes, and displaced 24,000 families. The fires also destroyed 97 schools and 15 churches.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2025 ALM Global, LLC. All Rights Reserved.