The city of New Orleans is still building and repairing houses that were damaged in the Fallout from Hurricane Katrina from 2005.
The storm flooded hundreds of thousands of houses in New Orleans, killed over 1,800 people and distributed millions. It remains the most expensive tropical cyclone in US history with estimated damage adapted to inflation damage of 201.3 billion US dollars.
After the storm, about a quarter of the city's housing stock was abandoned.
“When people entered and renovated again, the real estate values shot as crazy,” said Calvin Alexander, a long -term resident of the lower ninth community, one of the most affected districts of the city.
Only a third of the residents of the lower ninth community have returned to the neighborhood, according to the Census Bureau Records, which were analyzed by the data center. The urban population has also not completely recovered, which increases the financial issues of the urban government.
In the meantime, real estate prices in parts of the city with higher soil such as the Holy Cross -section of the lower ninth station in which Alexander lives have shot up. He announced CNBC that the estimated value of his house had increased by 266% since 2005. During the same period, real estate prices in the U -Bahn area rose by almost 71% and rose real estate prices by over 84% nationwide.
The federal and state governments spent over 9 billion US dollars to compensate homeowners who have decided to rebuild or give up their properties. The so-called “road home program” was criticized for its complexity and the effects on residents with low incomes.
“Instead of based on settlements on property damage and an estimated costs for the reconstruction, she threw all of this data and instead went with the value in front of the storm,” said Laura Paul, Executive Director of Lowernine.org, a non -profit group that was rebuilt And repairs houses in the area.
Paul found that the use of ratings in front of Sturm demonstrated the residents of lower incomes with fewer resources to reconstruction. The city reports a low household income and higher poverty rates than observed at the national level.
Many parts of the city are still exposed to the risk that the current insurance rates do not fully make up. In January, the Ministry of Finance warned that insurance premiums agreed in disaster -prone areas such as California, Florida and Louisiana.
In cooperation with the state of Louisiana, the federal government spent around 15 billion US dollars to convert a number of drainage channels, water pump stations and dike that try to protect local households from storming. Ironically, some aspects of these technical systems can contribute to the problem of the region when lowering land.
Nevertheless, the state sees a positive economic influence on the expenses for storm protection. Especially in a city with important cultural and commercial institutions such as the Caesars Superdome and Port of New Orleans.
“We get an advantage for every dollar that we spend on these hurricane protection systems,” said Glenn Ledet, Executive Director of the Coastal Protection and restoration Authority.
The state is expected to spend 50 billion US dollars over the next 50 years to keep the hurricane and storm damage risk -related system in a good repair state. Officials have also set themselves the goal of increasing around 4,000 houses across the state in the coming years.
Look at the video above to learn more about how New Orleans will be rebuilt in the face of future flood risks.