People in the Tahitian Terrace and Palisades Bowl Mobil Home Parks are “on hold.”
Bank of American announced that there will be $10 million in zero-interest loans for housing nonprofits and small business, but these loans do not cover the middle-class that have a financial gap in what insurance covers and the actual cost of construction.
BOA said the loans will be managed through three West Coast CDFIs. The first is Clearinghouse CDFI, which will use its fire-designated funding to finance property acquisition or single-family home development by nonprofits. It will also make funds available to small businesses for rebuilding expenses that outpace insurance proceeds and for resuming operations. The money goes to nonprofits who will help with home development.
The second is Genesis LA, which will provide loans to support homeownership, economic development, and nonprofit facilities in the Altadena and Pasadena areas.
Between 25 and 30 percent of homeownership in Pacific Palisades are/were seniors, which do not have the cash to rebuild. Why are they excluded? The lack of funding for seniors seems discriminatory. Additionally, people who live in condos or the mobile home parks are not helped with these loans.
The third is Pacific Community Ventures’ RESTORE LA Fund, which will offer no-fee loans to small businesses of $10,000 to $100,000 at a 3% interest rate that can be used to replace damaged property or equipment, support worker retention or payroll expenses, and fund other recovery needs.
“Having extensive experience supporting clients and communities through various disasters over the years, Bank of America is uniquely positioned with the expertise, capital and connections to support LA’s next chapter,” Raul Anaya, head of Local Markets Strategy and President, BofA Los Angeles, said in a statement.
Anaya did not mention that BofA has had a branch in Pacific Palisades for decades and should be well-positioned to help its many customers who were impacted by the fires.
This is extremely disappointing to read, but doesn’t surprise me with Bank of America.