After the Fires, a Malibu Builder Bets on Factory-Built Homes for Underinsured Families

When a fire takes a house, the family that lived in it gets a new job overnight.

"Homeowners are expected to navigate insurance, engineering, permitting, and construction, essentially becoming developers without having chosen that role," said Trace McGuire, vice president of sales and marketing at The Home Gallery, a builder founded in Malibu about 10 years ago.

The company has been rebuilding homes since the Woolsey Fire burned through Malibu in November 2018. Today it works across Southern California, with much of its work in Malibu, Pacific Palisades, Altadena, Ojai and Santa Barbara.

Its approach is what it calls hybrid construction: build most of the house in a factory, and build the foundation and finish the job on site.

Two jobs at once

In a traditional build, the work happens on the lot, one step after another. The Home Gallery splits it in two.

The house is built in a factory in less than 30 days, the company says, with interior finishes already installed, "down to the tile, countertops, and built-in appliances." At the same time, a crew prepares the property and pours a custom foundation.

When the sections arrive, the crew joins them, connects utilities and finishes the installation. Clients can typically move in about three months after delivery, according to the company, which puts the construction timeline at about four months. That figure doesn't include permitting.

Rather than coordinating every construction activity sequentially on the property, we move both sides of the project forward together.

Trace McGuire

The cost question

For many families, the real problem after a fire isn't the timeline. It's the money.

A common challenge is being underinsured. Many clients discover that their insurance proceeds cannot cover rebuilding at current site-built construction prices.

Trace McGuire

The company says its highest-end homes average about $450 per square foot, including the house, the foundation and installation, with costs varying by site and scope. It puts traditional site-built construction in areas like Malibu, Pacific Palisades and Santa Barbara at $600 to $1,200 per square foot. Those are the company's own figures. Costs for any project depend on the site, the design and the permits.

Our goal is to get as many families back home as possible.

Trace McGuire

What's hard right now

Beyond insurance gaps, McGuire pointed to permitting offices handling a flood of rebuild applications after the fires.

There will always be problems to solve.

Trace McGuire

The company says it works with each jurisdiction to raise questions early and keep approvals moving.

"Are these real homes?"

It's the question the company hears most.

Absolutely. We use the same construction materials, including wood framing, drywall, quartz and granite countertops, and tiled bathrooms. The difference is that much of the construction happens indoors in a controlled factory environment.

Trace McGuire

The homes sit on permanent foundations, and according to the company they can be appraised using site-built comparables under applicable lending guidelines.

Advice for families rebuilding

McGuire's advice for a family that lost a home: look at every option before deciding what's possible. The company offers free site plans, floor plans, renderings and estimates, and invites families to tour its homes.

Costs and timelines are the company's own figures.