Phoenix Associates Land Syndicate (fka PBLSQ)

[kelly leak]

Rebuilding in perspective..

Although the floods generally did not tear off roofs or walls or cause structures to collapse, many homes will be permanently uninhabitable. The flood waters carried contaminants that cannot easily be removed, and even if the water were clean, prolonged submersion would cause structures to be damaged beyond repair. This is likely to be the fate of a large share of the more than 200,000 homes in the city of New Orleans.

The number of housing units destroyed (made uninhabitable and beyond economically-justified repair) by Hurricane Andrew in 1992 was estimated at over 28,000. The combined effect of Hurricanes Jeanne, Ivan, Frances, and Charley in 2004 was almost as large, with nearly 27,500 housing units destroyed, according to estimates compiled by the American Red Cross. In those cases, most of the destruction was caused by winds or the immediate force of the storm surge. The number of homes with major but reparable damage was more than twice the number destroyed. The 1906 San Francisco earthquake/fire reportedly destroyed 28,000 “buildings.

The question is how many of the 200,000 homes damaged in the city of New Orleans will fall under the following....

It is recommended that all owners whose properties are currently below the Base Flood Elevation (BFE) strongly consider raising the level of structures in order to avoid future flooding and potential insurance difficulties. FEMA offers Flood Mitigation Assistance of up to $30,000 for work that will bring a structure above BFE.

3. If your structure is built below the current Base Flood Elevation and IS substantially damaged (See Definition Below), you WILL be required to elevate your structure to the current Base Flood Elevation, as determined by FEMA, in order to secure a permit to renovate or demolish and rebuild a complying structure.

My personal guess is a majority of the 200,000 will eventually be determined to have over 50% damage. Remember the damage assessment doesn't include land value..only pre-Katrina building value. Our S&G and construction side of PBLS is going to be busy for years to come IMO.