Pacific Palisades Rebuild Nearly Two Years After Devastating Wildfire
More than a year and a half after the largest wildfire in Los Angeles history tore through Pacific Palisades, the Southern California community is slowly reopening its doors and asking visitors to help drive its recovery.
A Milestone Reopening Marks a Turning Point for the Community
The fire burned for 24 days between January 7 and January 31, 2025, forcing roughly 30,000 evacuations, destroying more than 23,000 acres, and contributing to 12 deaths. Researchers at UCLA estimated the disaster cost local businesses and employees $297 million in lost wages.
On Aug. 15, the town marked a major recovery milestone with the reopening of Palisades Village, the shopping center at the heart of the community since 2018. Palisades Village CEO Corinne Verdery said the reopening is meant to signal to other businesses and families that the community is coming back.
More than 635 homes were destroyed in the fire, and as of Aug. 12, only 123 rebuilding permits have been issued, with just one home fully rebuilt, according to the Los Angeles County Recovery Dashboard. A January 2026 report found 88% of fire victims want to rebuild, though insurance claims have moved slowly, with roughly 8 in 10 policyholders reporting serious challenges with their insurers.
Residents and Business Owners Are Finding Their Own Paths Forward
For longtime resident Michelle Murphy, who lost her home and all her belongings, the disruption went far beyond possessions, upending years of daily routines built around her children's school and neighborhood life. After months in rentals, her family bought and renovated a home in nearby Cheviot Hills to resemble the one they lost, but they're now planning to sell it at a loss so they can return to Palisades.
Murphy has since opened her first retail store, Pali Trading Post, stocked with goods from artists and brands connected to the fire recovery. Jewelry store owner Amy Russo, who lost her business Obsessed in the fire, is opening a new shop called Palisades General Store on Sept. 19, evolving her original business into something new.
Local hospitality businesses felt the disruption too. The Channel Road Inn, on the border of Palisades and Santa Monica, closed for 65 days due to evacuation orders and street closures, and didn't see occupancy return to normal levels until 13 months after the fire, according to Four Sisters Inns CEO Tamara Mims.
What's Next
LA Tourism President and CEO Adam Burke said residents, small businesses, and local leaders have made significant progress since the fires, and visitors continue to play an important role in that recovery by supporting local businesses and jobs. Community members are encouraging travelers to return, spend at local shops and restaurants, and spread the word about the area's small businesses, while being mindful that many residents are still working through the trauma of what they lost.
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