First American Spatial Solutions Estimates $235 Million in Real Estate Exposed in Station Fire
—Wildfire-Risk Analysis Reveals More Than 85 Percent of Addresses in the Fire’s Path Were at an Extremely High Risk for Being Destroyed by Fire—
September 11, 2009, AUSTIN, Texas
As the Station fire continues to burn in Southern California and insured losses continue to mount, First American Spatial Solutions, a member of The First American Corporation (NYSE: FAF) family of companies and a leader in spatial and natural hazard risk solutions, today released its estimated value of residential real estate exposed in the fire area.
First American Spatial Solutions used property information coupled with its ParcelPoint® database to estimate that residential real estate valued at more than $235 million has been exposed within the perimeter of the Station Fire. Utilizing property information and valuation data from First American CoreLogic, it is estimated that the current loss of residential structures is valued at more than $40 million.
According to the California Department of Forestry and Fire Protection, more than 160,357 acres have burned in the Station Fire. Prior to the fire, more than 85 percent of the addresses that are now exposed to the fire rated a 70 (on a 100-point scale) or above in First American’s wildfire model, which is considered at extremely high risk for being destroyed by fire. First American Spatial Solutions’ wildfire model employs several key variables including exact location, vegetation, slope, aspect and proximity to wild lands to determine a property’s fire-risk score.
“By analyzing the combined data from First American Spatial Solutions and First American CoreLogic we can accurately locate the properties that were directly in the path of the wildfire and, therefore, at the highest risk for loss,” said Howard Botts, vice president and director of database development at First American Spatial Solutions. “When compared to published reports, our wildfire hazard models were able to forecast the potential risk for the homes that were exposed to this fire with a high degree of accuracy. Additionally, using advanced geospatial analytics, our extensive parcel data and valuations from First American CoreLogic, we were able to quickly identify the potential for loss from the fire.”
Using the U.S. Geological Survey’s fire perimeter, First American Spatial Solutions ran the individual properties within the perimeter through its ParcelPoint database to determine the potential number of properties exposed for the fire. The ParcelPoint database includes digitally converted and normalized parcel information and address points for more than 2,200 counties and townships in the United States accounting for more than 122 million parcels nationwide. Once First American Spatial Solutions determined the total number and location of properties in the path of the fire, it partnered with its sister company, First American Corelogic, to assign the estimated value of the property.
About First American
The First American Corporation (NYSE: FAF) is a FORTUNE 500® company that traces its history to 1889. With revenues of approximately $6.2 billion in 2008, it is America’s largest provider of business information. First American combines advanced analytics with its vast data resources to supply businesses and consumers with valuable information products to support the major economic events of people’s lives, such as getting a job, renting an apartment, buying a car or house, securing a mortgage and opening or buying a business. The First American Family of Companies, many of which command leading market share positions in their respective industries, operate within five primary business segments, including: Title Insurance and Services, Specialty Insurance, Information and Outsourcing Solutions, Data and Analytic Solutions, and Risk Mitigation and Business Solutions. More information about the company and an archive of its press releases can be found at www.firstam.com.