More than 10 months after fires tore through parts of Los Angeles County, new funding aims to boost recovery efforts for businesses.
Steadfast LA, in partnership with Banc of California, has awarded a second round of recovery grants to small businesses affected by wildfires across Los Angeles County. The program distributed $400,000 to 10 businesses in Altadena, Malibu, Pasadena and the Pacific Palisades to help them reopen and rehire staff.
The Small Business Initiative has now provided $525,000 to businesses since launching in August. Recipients are using grants to restore fire-damaged sites and help stay afloat after prolonged closures.
“This initiative is about standing shoulder to shoulder with small business owners who define the character and strength of our neighborhoods,” said a statement from Rick Caruso, founder and chairman of Steadfast LA. “Their determination to rebuild is what makes Los Angeles extraordinary.”
The recipients include cafés, restaurants and service businesses such as Altadena Beverage and Market, V’s Restaurant + Bar in Malibu and the Pacific Palisades Veterinary Center. Some business structures were destroyed or severely damaged, while others suffered steep revenue losses as residents were displaced.
The initiative was seeded with $1 million from Banc of California’s Wildfire Relief & Recovery Fund, with additional funding and operational support from Steadfast LA. The program offers grants of up to $50,000 per business; its first round of grants in September went to three Altadena businesses: Webster’s Community Pharmacy, Fair Oaks Burger and Altadena Cookie Co.
Where the recovery stands
Rebuilding has been hindered in Altadena and the Pacific Palisades by insurance delays, permitting backlogs and labor shortages, with businesses unsure when they can reopen. Some have opted to sell their damaged lots and redirect resources to new ventures elsewhere in the region.
In Pacific Palisades, CVS, Chipotle and a few other restaurants destroyed or damaged by the January fires have been able to reopen.
The city's major grocery retailers — Gelson's and Ralph's — both plan on reopening within five years, according to the Pacific Palisades business improvement district.
But recovery has been patchy and slow, particularly for smaller operators who lack access to capital, Caruso said.
Caruso’s Palisades Village, widely regarded as the top retail destination in Pacific Palisades, announced that locally based retailer Elyse Walker and acclaimed restaurateur Nancy Silverton will open new locations at the open-air center next year.
Recovery has been slower in Altadena, where some restaurants have reopened but major retailers, like Aldi, have not announced reopening plans after their stores burned.
Other resources aim to speed permitting
In addition to private grants, small businesses hit by the Altadena and Pacific Palisades fires have been eligible for state disaster recovery loans and federal Small Business Administration assistance covering physical damage and economic losses.
Local governments have also offered temporary tax relief and permit fee waivers to speed rebuilding and keep neighborhood storefronts from disappearing.
As of Friday, the city of Los Angeles had issued a total of 981 permits for 507 unique addresses as part of its rebuild effort. An additional 995 permits were in review. In all, the city has received more than 2,000 applications for 1,000 addresses. It's not clear how many of those permits are for commercial properties versus residential rebuilds.
Los Angeles County, where much of the damage in Altadena is centered, had issued 753 building permits out of 2,425 applications, all for residential properties.