Pacific Palisades condominium owners closer to rebuilding after state lawmakers step in

A group of Palisades Fire survivors and condominium owners have been unable to rebuild because they have been trapped in an odd legal limbo, preventing new construction on their destroyed units.

Hundreds have felt helpless in the Via De La Paz, Pacific Palisades condominium complex, as the wildfire incinerated half of it.

Two men in the complex whose condos burned started pleading with judges and lawmakers to intervene. More than a year later, they believe help may be on the way. State lawmakers have unanimously passed a legislative fix.

At issue are 50-year-old legal documents that expired without most condo owners realizing it.

"It's a breath of life for 107 families. We will be able to reinstate our governing documents," David Greifinger said.  

CCNRs, as they're known, typically enable fixes like a new roof and give HOA boards the authority to use insurance payouts.

While about 93% of condo owners immediately voted to reinstate theirs, the law requires 100% consent to either do so or adopt new documents.

Assemblymember Jackie Irwin tailored a bill that would lower the threshold to 75% in this extraordinary case, which Greifinger said is very attainable.

The legislature unanimously passed the bill, and it's heading to the governor's desk soon.

Despite legislative progress, there is significant disagreement among residents over how to proceed with reconstruction and governance.

"A lot of the protections of homeowners are not included in those 1974 CCNRs,"  condo owner Bob May said. He leads the minority opposition, calling for the drafting of all new documents.

May said he lost faith in the previous board's ability to manage and fears that condo owners could face unexpected rebuilding costs.

"A few holdouts blocked this community from receiving $40 million worth of insurance funds, and we really do not have the time to wait because there are several families that will lose access to disaster aid," Irwin said.

Breifinger was recently elected the board's new president and says it's committed to capping costs and updating the CCNRs through a simpler amendment process.

"We've gotten bids from three very reputable contractors. They were all very much well under our insurance proceeds," Breifinger said.

A few survivors have already moved back into remediated Via De La Paz condos. Next to weigh in will be the governor.