Senator Sasha Renée Pérez (D-Pasadena) has introduced two legislative measures, SB 782 and SB 658, aimed at protecting fire-affected communities from predatory investors and providing funding to support local rebuilding efforts. The bills focus on preventing displacement, ensuring community-led recovery, and fostering long-term housing stability following the devastation caused by the Eaton and Palisades Fires.
Protecting Communities from Speculative Land Grabs
The proposed legislation seeks to address the growing concern of outside investors purchasing properties at low prices from vulnerable residents affected by recent wildfires. “Altadena was hit especially hard by the Eaton Fire, just as residents in the Palisades Fire area also suffered greatly,” said Senator Pérez. “Speculators are already looking to exploit victims with low-ball offers, threatening to displace long-standing residents and businesses. These bills ensure that recovery efforts prioritize the needs of local communities over corporate interests.”
SB 782: Establishing a Community-Based Recovery Fund
SB 782 proposes the creation of a special financing district modeled after Enhanced Infrastructure Financing Districts (EIFDs). This district would allocate a portion of future tax revenues toward infrastructure reconstruction and economic revitalization. By leveraging public funding for long-term development, the bill aims to accelerate recovery efforts and prevent financial burdens from falling solely on displaced residents.
SB 658: Prioritizing Community Organizations in Property Sales
SB 658 seeks to protect housing and commercial properties within the Eaton and Palisades fire zones by giving public agencies and nonprofit organizations, such as community land trusts, the first opportunity to purchase single-family homes, multifamily units, and commercial properties if owners choose to sell. If no agreement is reached initially, these organizations would have the right to match future market offers, ensuring that land remains in community hands rather than being acquired by speculative buyers.
Doug Smith, Vice President of Policy and Legal Strategy at Inclusive Action for the City, emphasized the importance of SB 658 in preserving local communities. “In the aftermath of the Eaton and Palisades fires, predatory speculators threaten to erase the rich cultural history of these areas. By prioritizing community organizations in property transactions, we can prevent a secondary disaster—one of displacement and economic loss.”
The Road to Recovery
The Eaton and Palisades Fires led to the destruction of more than 16,000 structures, including homes, apartments, and businesses, with an additional 2,000 properties sustaining damage. With widespread losses, Senator Pérez underscores the urgency of recovery efforts. “With so much lost, we must explore every avenue to provide communities with the resources needed to rebuild and thrive,” she stated.
Both bills are expected to undergo committee hearings in the coming months as state legislators consider their role in post-disaster recovery strategies.
