Where appropriate, promote such development through incentives. 0000004181 00000 n 4& 0000000852 00000 n Local governments may no longer impose any parking requirements for (1) 100% affordable housing projects located within mile from an accessible major transit stop and (2) 100% affordable senior housing projects that either offer paratransit service or are located within mile from an accessible major transit stop. 0000004426 00000 n %%EOF density bonus) depending on the types of land use incentives being sought for the project, if any. Eliminates the ability of local governments to disapprove a developers request for an incentive or concession, or a waiver or modification of development standards, on the grounds that it would have a specific adverse impact on the physical environment. |\+@cq 4& 0000013527 00000 n 76 48 0000004022 00000 n These legislative changes are outlined below and incorporated into the 2021 update of our Guide to the California Density Bonus Law. Eliminates the requirement that for-sale units for moderate income households must be in a common interest development in order to qualify for a density bonus. 0000008271 00000 n (0[yd JivE!X$~{E4tp{ !vI H*9&> 123 0 obj<>stream To be eligible for the maximum bonus, a project must set aside at least (i)fifteen percent (15%) of total units for very low income households, (ii)twenty-four percent (24%) of total units for low income households, or (iii) forty-four percent (44%) of for-sale units for moderate income households. City of Los Angeles. Terms under which this service is provided to you. Ben Saltsman Los Angeles (+1 213-229-7480,bsaltsman@gibsondunn.com) According to the Planning Department's Housing Progress Dashboard, density bonus projects accounted for approximately 26,700 proposed residential units between 2016 and 2020 - more than 17 percent of the roughly 152,000 units planned during that time period. 76 0 obj <> endobj SB 290 makes several changes to density bonus law, including: Sale of Affordable Units to Nonprofit Corporations. 76 48 With increases in the minimum set-aside, a project can receive a density bonus of up to 35% above what the General Plan allows, based on a sliding scale. Privacy Statement. Read up on housing activity and trends across the City. Density Bonus is a State-mandated incentive program that allows qualifying residential projects to construct additional housing, in exchange for setting aside a percentage of those units as restricted affordable. 0000013527 00000 n Prior to 2021, the Density Bonus Law permitted a maximum density bonus of thirty-five percent (35%) for a housing development in which (a) at least eleven percent (11%) of the total units are for very low income households, (b) at least twenty percent (20%) of the total units are for low income households, or (c) at least forty percent (40%) of Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . . The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. Continue to promote the County Density Bonus Program to developers through the dissemination of brochures, presentations and web postings on the DRP web site, and by offering technical assistance to the public. Following the Citys approval of the project, neighbors filed a petition for a writ of administrative mandate, arguing (1) that the Planning Commission abused its discretion when it approved the off-menu incentives without obtaining the required financial documentation and (2) that the Citys approval of the project was not supported by substantial evidence. hbbd`b`eb``b`> S@x|o ?OLyLLL 0000001256 00000 n 0000011362 00000 n 0000009728 00000 n 0 An ordinance amending Sections 12.22, 12.24, 14.00 and 19.01 of the Los Angeles Municipal Code to implement a Density Bonus program, as required by State law. 0000002753 00000 n The Los Angeles City Planning Commission approved a mixed-used development that qualified for increased building density under the density bonus law due to its inclusion of low-income housing. (Schreiber, supra, 69 Cal.App.5th at pp. AB 2501 clarified that under density bonus law, [a] local government shall not condition the submission, review or approval of an application pursuant to this chapter on the preparation of an additional report or study that is not otherwise required by state law, including this section. (Gov. endstream endobj 738 0 obj <>stream 201 27 Discretionary Review To download the Guide, please click here. The nonprofit housing corporation must then sell each home to a lower income buyer subject to affordability requirements with a term of at least 45 years, an equity sharing agreement, and a repurchase option in favor of the nonprofit corporation. Legislative Change Increases Density Bonus Amount and Parking Benefits. THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. The Court then turned to the neighbors claim that the administrative record did not contain substantial evidence supporting the Citys approval of the project. AB 2345 lowers the required percentage of lower income units required to obtain multiple incentives and concessions. To be eligible for the development bonus, at least 30% of the housing units must be restricted to lower income residents or 15% of the housing units must be restricted to very low income residents. The ministerial on-menu incentives comprise the most common form of requested incentives, stemming from pre-calculated modifications in the Citys Density Bonus Ordinance, which was adopted in 2008. 0000002922 00000 n Code (LAMC), 12.22-A.25.g.3.i.a [emphasis added].) For readability, we use incentive to refer to both incentives and concessions in this post. Density Bonus serves as a local incentive program, and is designed to encourage the production of on-site affordable housing in neighborhoods where multi-family zoning is allowed. xb```a``Uc`c`H @16,p5 B?,\+~?f}7#ObL$( Lauren Traina Los Angeles ( +1 213-229-7951, ltraina@gibsondunn.com) Lofts California Los Angeles 3685 Motor Ave, Los Angeles, CA 90034. 0000008950 00000 n xref 0000010840 00000 n 0000010310 00000 n 0000005421 00000 n Implementation of State Density Bonus Law (2017) Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. Schreiber found that both density bonus law and City code implementing it require the City to grant requested incentives unless the City can make findings that the requested incentives do not result in cost reductions or the incentives would have a specific, adverse impact on public health, safety, the physical environment, or any property listed in the California Register of Historical Resources. Transit Oriented Communities (TOC) Incentive Program, State Density Bonus Law: AB 2334, AB 1551, and AB 682 (2023), AB 2345 and AB 1763 Revised Memorandum (2022), On-Menu Density Bonus Ministerial Review Process (2021), State Density Bonus Law (2021): SB 290, SB 728, AB 634, State Density Bonus Law (2020): SB 35 + AB 2162, Implementation of State Density Bonus Law (2017), State Density Bonus Law (2017): AB 1934 + AB 2442 + AB 2501+ AB 2556, State Density Bonus Law: AB 2501, AB 2556, AB 2442, AB 1934 (2017), Affordable Housing Incentive Guidelines (2005). These projects are not subject to an appeal. 0000009760 00000 n . information to improve the functionality and analytical performance of the website. 0000013295 00000 n After noting that no law required the City to make evidentiary findings regarding cost reductions, the Court found that the projects financial feasibility analysis contained in the projects application nonetheless was sufficient substantial evidence showing that the incentives would result in cost reductions. Department of Regional Planning, Community Development Commission. Bigger Density Bonus. d~[T!NV 0000004758 00000 n This is Part 5 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program. SB 728 allows developers in for-sale density bonus housing developments to sell affordable units to nonprofit housing corporations instead of selling the units directly to a low or moderate income homebuyer. 3117 Bagley Ave, Los Angeles, CA 90034. 0000000016 00000 n Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . AB2345 amends these parking ratios to decrease requirements for two and three bedroom units, as shown in the table below. A project requesting on-menu incentives, as outlined in LAMC12.22 A.25, is processed by City Planning through a ministerial review process. hb```poB as|``6d`PQP+n``tT%C2&sx38YtEnmZw`NB g8U8'$L{1iSD.Zv,nU)K)7&l4F m Hs20} R' bH3 0 In addition to an increase in density, the Countys Density Bonus Ordinance offers a variety of incentives. 0000009113 00000 n Density Bonus Ordinance | DRP Los Angeles County Department of Regional Planning Online Appointment Now Available! Provides one incentive or concession for density bonus projects that include at least 20% of the units for lower income students in a student housing development. Some local jurisdictions adopt implementation ordinances that modify or add to the requirements of density bonus law, and many jurisdictions fail to update their implementation ordinances when density bonus law is amended. 0000009113 00000 n 0000013934 00000 n Further, the Density Bonus Law provides that, upon a developers request, a locality must utilize state-mandated parking ratios (inclusive of handicapped and guest parking) for qualifying projects. 0000004426 00000 n These practices can lead to inconsistencies between state law and local ordinances. 0000011960 00000 n A project that includes an off-menu request, as outlined in LAMC 12.22 A.25, is reviewed by City Planning through a discretionary review process. 0000012594 00000 n The Court drew a distinction between information pertaining to economic feasibility and information showing that an incentive would result in cost reductions. While the City could request the latter, AB 2501 prohibited the City from requesting the former. Clarifies that for purposes of qualifying for a density bonus, the total units in a housing development include affordable units that are designated to satisfy local inclusionary housing requirements. For more than forty years, Californias Density Bonus Law (Government Code Section65915 et seq.) d~[T!NV . 0000007824 00000 n A project is eligible for one or more incentives, depending on the amount of affordable units that have been set aside for very low, lower, or moderate income households. xref Program Incentives. 0000010770 00000 n The court found that a City of Los Angeles ordinance requiring density bonus applicants to submit information to show incentives and concessions are needed to make the project economically feasible was preempted by state density bonus law because the requirement was based on a former version of the law that has since been revised. Emphasis added ]. 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