No patients were hospitalized, and no evacuations were ordered.
Although officials did not name the school, local news reported first responder units converging on Park Avenue Elementary School; locals also reported the entire area smelling of jet fuel.
Videos posted to social media show the plane descending towards the airport, with fluid trailing from both wings.
Delta airlines confirmed one of its Boeing 777s was forced to drop its fuel as a safety measure; a China-bound flight suffered a mechanical issue shortly after take-off and had to immediately return to the airport.
"Shortly after takeoff, Flight 89 from LAX to Shanghai experienced an engine issue requiring the aircraft to return to LAX," it said in a statement. "The aircraft landed safely after an emergency fuel release to reduce landing weight."