Demolition Underway at Hawthorne Plaza as Court Order Forces Owners' Hand
Bisnow · 24 August 2026
TL;DR
The long-abandoned Hawthorne Plaza mall in Southern California is finally being torn down following a court order issued last month. Owners M&A Gabaee — linked to The Charles Co., whose co-founder Arman Gabaee pleaded guilty in 2022 to bribing an LA County official — were directed by a court injunction to either redevelop or demolish the property by end of August 2026. Heavy machinery and contractors were spotted on site this week. The mall, which closed in 1999 and was purchased by the current owners in 2001, had been earmarked for mixed-use redevelopment, but legal troubles derailed those plans. The property gained notoriety as a filming location for movies including The Fast and the Furious: Tokyo Drift and Gone Girl.
Our take
While this story is set in California, it carries a lesson that resonates strongly for South African property stakeholders: abandoned and neglected properties don't just stagnate — they accumulate legal, financial, and reputational risk that can ultimately strip owners of their redevelopment options entirely. In the SA context, municipalities like Johannesburg and eThekwini have increasingly used nuisance and derelict property legislation to compel owners to act, and the Hawthorne Plaza case illustrates how court-enforced demolition can become the end result when redevelopment plans collapse under the weight of ownership disputes or legal misconduct. For SA landlords and developers sitting on dormant commercial assets, this is a timely reminder to keep municipal compliance current, maintain active engagement with local planning authorities, and ensure that ownership structures are legally sound. For buyers considering distressed commercial properties, it underscores the importance of thorough due diligence — particularly around any litigation or regulatory proceedings attached to the title. Inaction is rarely a neutral choice in property.