NewsTimes of San DiegoOctober 26, 2026San Diego County
San Diego pays $3.925 million to settle remaining La Jolla sinkhole claims
Photo: Times of San Diego
The San Diego City Council agreed to pay $3.925 million to nine La Jolla condominium owners whose homes were damaged by a 2023 sinkhole, bringing total payouts in the case to nearly $14 million. The settlement follows a stormwater drainpipe failure near 8803 Gilman that caused severe property damage and forced residents to evacuate.
Read the full story at Times of San DiegoWhy It Matters
The payout resolves litigation stemming from municipal infrastructure failures, bringing the city's total financial expenditure for this specific sinkhole case to $13.925 million.
Key Facts
- The San Diego City Council agreed to pay $3.925 million to nine La Jolla condominium owners.
- The payout brings the city's total settlements in the sinkhole case to just under $14 million ($13.925 million).
- In August, the city approved a $10 million settlement for the homeowners association and a tenth condo owner.
- The legal claims stem from a stormwater drainpipe failure near 8803 Gilman in March 2023.
- A secondary drainpipe failure caused the ground to sink into an 80-by-40-foot hole near La Jolla Terrace Condominiums.
- The sinkholes caused buildings to shift, cracked foundations, and forced resident evacuations.
- In 2024, the HOA and seven condo owners filed legal claims against the city and its hired construction company.
Who's Mentioned
OrganizationSan Diego City Council“Governing body that agreed to the settlement payment.”OrganizationLa Jolla Terrace Condominiums“Condominium complex near where the sinkholes occurred.”location8803 Gilman“Location near the condo complex where the stormwater drainpipe failed.”locationLa Jolla“Neighborhood where the sinkhole and damaged condominiums are located.”locationSan Diego“City government and municipality involved in the lawsuit and settlements.”