Dilapidation

Sometimes when I pay closer attention to things, I notice things that I can't believe I didn't see before I was paying attention. This is a dilapidated old building I jog by all the time, that seems to be part of Santa Monica preschool. I can't imagine this building is actually used. I've seen school houses in better shape in 3rd world countries like Cambodia. This is only a couple blocks from the beach, and can't be a cheap piece of real estate. I wonder what the story is behind this run down old building, and what such a dilapidated old building is such a relatively expensive area?