JANUARY 2025 CALIFORNIAN WILDFIRES
The unprecedented extent and duration of the wildfires in Southwestern California ravaging Los Angeles County in January of 2025 was fuelled by consistent Santa Ana high winds, exacerbated by extremely dry climatic conditions. In total, the fires are estimated to have consumed 55,082 acres.
Most destructive were the Palisades and Eaton fires, burning 23,400 and 14,000 acres respectively, claiming at least 28 lives and destroying more than 16,240 structures.
The fires had an overwhelmingly negative impact upon local communities, affecting state and national food security and supply chains, leading to increased insurance premiums and health risks.
The destruction caused by the fire in the Pacific Palisades neighborhood of Los Angeles, California.
At time of going to press, in accordance with the UCLA Anderson Forecast, it is estimated that these wildfires could result in the following losses/effects:
- Property and capital – between US$95bn and $165bn with insured losses estimated at $75bn.
- A 0.48% decline in county-level GDP for 2025, amounting to approximately $4.6bn.
- Wage losses of $297m for local businesses and employees in the affected areas.
- In the absence of an effective wildfire mitigation effort and investments, Californians will increasingly face higher insurance premiums and growing health risks from wildfire-related pollution.
- All wildfire mitigation investments will be justified, considering the astronomical costs associated with the wildfires.
By now you may be wondering what this article may have to do with the construction industry, but this is merely a background to the unfortunate situation that will require a substantial investment in building and civil engineering works.
The fires had an overwhelmingly negative impact upon local communities, affecting state and national food security and supply chains, leading to increased insurance premiums and health risks.
In the meantime, significant stabilising and remedial works will be required to protect the affected landscapes from erosion and landslides caused by a combination of the local geography and lost vegetation. Unfortunately, there is already a shortage of the necessary skills and labour required to rebuild and return the affected areas to some semblance of normality.
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Regrettably, the policies of the present administration to return alleged undocumented and, in many cases, skilled labour to their country of origin will only serve to exacerbate this already difficult situation.
However, turning now to brighter prospects – the planned substantial development of Yueba Bueno/Treasure Island marks the part way point of crossing San Francisco Bay between Oakland to the east and San Francisco to the west.
There is already a shortage of the necessary skills and labour required to rebuild and return the affected areas to some semblance of normality.
Having skirted on the subject before, readers may recall my reference to the history of the island in earlier LFMs, particularly when referred to as a trans-ocean flying boat, then naval military base.
The larger adjoining northern element, named Treasure Island, mainly manmade by reclamation, has finally come into focus for concerted development into a desirable residential area that is far from the madding crowd, albeit with relatively easy access to the metropolis of San Francisco.
Upon anticipated completion by 2040, this major development fronted by The Treasure Island Community Development under the Treasure Island Master Plan will comprise 8,000 new homes, including several residential tower blocks on the 393 acre site. Conceived in 2020, a limited Phase 1 of the development involving one tower block (The Isle House) close to the marina has already been completed.