La Jolla was incorporated in the 1850′s. Eighty acre lots sold for $1.25 per acre. This is a far cry from the market today. In order to reserve the charm and character of the town of La Jolla, the Historical Society was founded. It was named for the San Diego resident James Mills, a former State Senator, who wanted to preserve, restore and maintain the beauty of the La Jolla Architecture as well as the greater San Diego area.

The benefit of the Mills Act is that each owner who has designated their home “Historical” receives a huge property tax benefit. This benefit can be a tax savings from 40% to 70%. There are restrictions however on what a homeowner can do to the historical designated home. For example they can not replace wood windows with aluminum windows or put wood siding on a stucco home. The front of the home must remain exactly the same with the exception of paint. The home must be at least 45 years old. The idea is to keep the home in the character as it was when it was designed and built.

The Mills Act designation is for 10 years with an option to renew indefinitely. It is a legal binding contract with the city. If the house sells and the Mills designation is in place on the home it transfers or runs with the property. If the owners remodel the historical home there are no tax consequences or supplemental tax bills. There are approximately five homes in on the market designated historical. Lucky Buyers!!!

One of La Jolla’s most outstanding historical home is the “Cliff Robertson” home right on the ocean. It was designed by Thomas Shephard for Mr. Phillip Barber. An entire neighborhood was named The Barber Tract after him. I sold the Cliff Robertson home $16,500,000 last year. It is the most expensive homes to sell in La Jolla to date. For more information on The Mills Act check out these websites: Historical Resources and Historical Districts.