How a startup’s 'micro-factories' will rebuild in wildfire areas


Two extraordinarily destructive wildfires raged in Southern California in January. The Altadena fire saw 9.4k structures lost, including 6k+ homes, while the Palisades fire destroyed 6.8k structures, including 5.4k+ homes. 

A brown house with huge windows on a summer day.

Six months later — and despite California Gov. Gavin Newsom’s relaxed environmental rules to expedite rebuilding — little progress has been made. Of the 800+ homeowners who applied for rebuilding permits as of July 7, less than 200 had received them, per Wired

Other complicating factors include rising construction and materials costs, labor shortages, insurance negotiations, and concerns that any attempts to rush the process could lead to future fire risks in an area already prone to them. 

But one company is attempting to help by building with micro-factories. 

About that company...

Cosmic is a San Francisco startup that began manufacturing accessory dwelling units (ADUs) — the first 100 of its prefab 385-square-foot ADUs, with luxe features and prices starting at $279k, launched in 2024. While not cheap compared to other ADUs, the company saw the launch as a fundraiser to reinvest into the company and ultimately reduce costs.

That same year, it also built a larger, fire-resistant home in Northern California, per Fast Company

And now, Cosmic has set up a micro-factory in the Palisades that will travel between the Palisades and Altadena building new fire-resistant homes.

  • If it can work through all the red tape, it expects to build 150 to 180 homes over the next year.
  • For every 10, the company will donate a free one to an underinsured family in the area. 

Okay, but what exactly is a micro-factory? 

A smaller, mobile factory that employs technology to speed up construction and slash traditional construction costs. 

For example, Cosmic's website depicts how its robots can pre-cut and position plywood into tight energy-efficient panels ready to be installed. The company also uses an AI-powered system to design custom, code-compliant homes and software that can expedite the permit process. 

Cosmic founder Sasha Jokic told Fast Company that its micro-factories are 10 times faster, use 60% less labor, and are 30% cheaper than traditional home manufacturing. 

Cosmic’s offerings…

… may not look exactly like some of the charming craftsmen homes lost in the fires, but they do offer homeowners peace of mind.

They also have solar panels and other energy-efficient features, and, most importantly, they’re made with fire-resistant materials — fiber cement siding, metal roofs, etc. — and equipped with sprinklers.

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