d\a0ol;-` `7 2023 Meyers Nave, A Professional Corporation, Diversity Fellowship Program for 1L Students, Energy, Public Power and Telecommunications, Los Angeles Business Journal Names Amrit Kulkarni to 2023 List of Leaders of Influence: Minority Attorneys, Meyers Nave Elevates Richard D. Pio Roda to Equity Principal, Arlene Yang Appointed to the 2022-2023 National Asian Pacific American Bar Association Board of Governors, Meyers Nave Represents the Tongva Community in Historic Reclaiming of Ancestral Land in Los Angeles Area After 200 Years, Meyers Nave Obtains Dismissal of Two High-Stakes Federal Lawsuits Against the City of Los Altos Under the Telecommunications Act, Meyers Nave Celebrates Hispanic Heritage Month, Meyers Nave Welcomes Jeffrey Wilcox as Of Counsel to the Eminent Domain and Inverse Condemnation Practice, Super Lawyers Distinguishes Meyers Nave Lawyers in San Diego, Meyers Nave Elevates Camille Hamilton Pating to Equity Principal, Meyers Nave Elevates David Mehretu to Principal, Meyers Nave Secures Key Victory In California Supreme Court Confirming Application of Automatic Stay Pending Appeal to Mandatory Injunctions, Women's Initiative: Meet The Women Who Lead Practices at Meyers Nave. As a state-level regulation, projects satisfying the requirements of the Density Bonus Law are eligible for the corresponding bonus notwithstanding potential resistance to densification efforts at the local level. Clarifies that for purposes of qualifying for a density bonus, affordable units for very low or lower income households can be either rental or for-sale units. 0000004426 00000 n 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. Privacy Statement. 0000001256 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. Furthermore, the Countys Density Bonus Ordinance provides waivers or modifications to development standards, requests for incentives that do not meet the States criteria for qualified affordable housing developments, and up to a 50% density bonus for senior citizen housing developments through a Discretionary Housing Permit. 0000004181 00000 n 0000012780 00000 n In early 2008, their decisions came under attack in two lawsuits that focused on the city's effort to exempt from environmental review outsize projects that applied for the "density bonus . . New legislation that took effect on January 1 of this year provides for up to a 50% density bonus to be granted to housing projects consisting of a mix of affordable and market-rate homes, up from the previous maximum 35% density bonus for mixed income developments. This website uses cookies that only record anonymous statistical data not individually identifiable personal Effective as of January1, 2021, Assembly Bill2345 (AB2345) amends the Density Bonus Law to expand and enhance development incentives for projects with affordable and senior housing components. State Density Bonus Law (2017): AB 1934 + AB 2442 + AB 2501+ AB 2556 x]\S!lLW4?DU6*%PuVK8PAm8 E:*#E*VP%%/ 1ms="!|1 n&}J[$W^}pO>p2j5K/'^-})zJDNMx@ 3?g7530&x33SS7Lm`b All Rights Reserved. 0000010660 00000 n 0000004758 00000 n Page 2 . xb```a``Uc`c`H @16,p5 B?,\+~?f}7#ObL$( Schreiber concerns a project in the City of Los Angeles (City) that requested off-menu[1] incentives[2] afforded by density bonus law. 0000013117 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 the total for-sale units are for moderate income households. California Government Code Section 65943 to the Los Angeles City Planning Department on or after January 1, 2020, and requires a discretionary entitlement process with CPD. 0000004323 00000 n dXn7@ C Further, as localities continue to adopt inclusionary housing requirements, it is important to note that units required pursuant to a local inclusionary zoning ordinance also qualify as affordable units for purposes of meeting the requirements on the Density Bonus Law. d~[T!NV The primary take-away from this case is to always check a density bonus local implementation ordinance against state law. 0000012501 00000 n The trial court denied the petition, and the neighbors filed an appeal. An applicant may apply for one or more "incentives" for density bonus projects, between one and four, depending upon the number of affordable units in the project - to reduce affordable housing costs. AB2345 amends the Density Bonus Law to decrease the set aside requirement for low income households as shown in the table below. LADBS Ministerial Review %%EOF Part 1 focused on background, while Parts 2 through 5 include specific recommendations to improve the density bonus and affordable housing provision throughout the region. Density Bonus Law Impacts and Schreiber v. City of Los Angeles. (a).) 50% Density Bonus (DB50). AB 571 prohibits local governments from charging affordable housing impact fees, including inclusionary zoning fees and in-lieu fees, against affordable units in density bonus housing developments. AB 2345 increased the top range of the density bonus to 50% for housing projects with 15% very low income units, 24% lower income units, or 44% moderate income units. 0000011691 00000 n 0000000016 00000 n $2,000,000. startxref In 2018, the City Planning Commission approved the project, including the applicants request for off-menu incentives, finding that the record did not contain substantial evidence that would allow the City Planning Commission to deny the incentives. In addition to the density bonuses outlined above, projects satisfying the requirements of the Density Bonus Law are entitled to one or more development incentives or concessions that will result in identifiable and actual cost reductions to provide for affordable housing costs, so long as the incentive or concession will not have specific unmitigable adverse impacts upon public health and safety, the physical environment or on historic properties, and the incentive or concession is not contrary to state or federal law. 0000000016 00000 n 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. endstream endobj 77 0 obj<> endobj 78 0 obj<>/Font 80 0 R/ProcSet[/PDF/Text/ImageC]>>/Type/Page>> endobj 79 0 obj[] endobj 80 0 obj<> endobj 81 0 obj<> endobj 82 0 obj<> endobj 83 0 obj[278 355 556 889 191 333 333 389 278 333 278 278 556 556 556 556 556 556 556 556 556 556 278 278 667 667 722 722 667 611 778 722 278 667 556 833 722 778 667 778 722 667 611 722 667 944 667 667 611 556 556 556 500 556 556 278 556 556 222 222 500 222 833 556 556 556 556 333 500 278 556 500 722 500 500 500 584 556 350] endobj 84 0 obj<>stream By continuing to browse These projects are not subject to an appeal. Gibson Dunns lawyers are available to assist with any questions you may have regarding these issues. startxref Policy 1.3: Coordinate with the private sector in the development of housing for low and moderate income households and those with special needs. 123 0 obj<>stream City of Los Angeles. Amy Forbes - Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) Ben Saltsman - Los Angeles (+1 213-229-7480, bsaltsman@gibsondunn.com) . 0000005421 00000 n undermine the Density Bonus, and then summarize the empirical evidence to that ef fect. Density Bonus and Inclusionary Housing Plan to construct a new 3-story, 17-unit, 23,134 square-foot residential building, featuring two affordable units restricted to very-low income households with a one-level subterranean parking garage including 38 parking spaces. Finally, AB2345 amends the Density Bonus Law to provide local governments discretion to grant additional waivers or reductions in development standards for projects located within a one-half mile radius of a major transit stop and provide further reduced parking standards for eligible residential projects that (i)provide unobstructed access to a major transit stop or (ii)are restricted to for-rent housing for individuals who are 62 years of age or older with paratransit service or unobstructed access to a fixed bus route that operates at least eight (8) times per day. A project requesting on-menu incentives, as outlined in LAMC12.22 A.25, is processed by City Planning through a ministerial review process. AqL4.:h\>3u|gqA j8h\>A 'q54.p|OH4.F&. 0000009345 00000 n 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. 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. AB 571 by Assemblymember Chad Mayes (I-Rancho Mirage) - Planning and zoning: density bonuses: affordable housing. Department Memorandums <]/Prev 129846/XRefStm 1236>> Department of Regional Planning, Community Development Commission. The vast majority of jurisdictions in Los Angeles County do not have any renter protection measures (such as rent stabilization). The number of incentives or concessions to which a project is entitled is based on the percentage of affordable units set aside. Amy Forbes Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) 0000010660 00000 n Revised February 26, 2018 . 0000002251 00000 n Legislative Change Increases Density Bonus Amount and Parking Benefits. State Density Bonus Law (2021): SB 290, SB 728, AB 634 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. 0000069288 00000 n Many of our documents are in PDF format. 0000011882 00000 n If you have questions about the Density Bonus Law or information in the Guide, please contact the author of the Guide, Meyers Nave Senior Of Counsel Jon Goetz, at 800.464.3559 or jgoetz@meyersnave.com. (Schreiber, supra, 69 Cal.App.5th at pp. Density bonus ordinance: Density bonuses allow developers of market-rate housing to build higher-density housing, in exchange for having a certain portion of their units offered at affordable prices. 0000070100 00000 n Thus, the portion of the Citys implementation ordinance that required an applicant to demonstrate that an off-menu incentive was needed to make the project economically feasible was preempted. 3117 Bagley Ave, Los Angeles, CA 90034. A reduction in site development standards or a modification of zoning or architectural design requirements that exceed minimum building standards approved by the California Building Standards Commission (. 0000011691 00000 n endstream endobj 734 0 obj <> endobj 735 0 obj <>/Rotate 0/Type/Page>> endobj 736 0 obj <>stream Density Bonus Policy tPxd?.KM.1 alc{0! Los Angeles Municipal Code (LAMC) Section 12.22 A.25 authorizes the Director of Planning to approve applications for Density Bonus requesting up to three On-M enu Incentives; and the City Planning Commission (CPC) to approve applications for Density Bonus requesting Off-Menu Incentives or Waivers of Development Standards. . %PDF-1.5 % 0000012326 00000 n These determinations may not be appealed after the CPC acts. Parking Reductions. Although Hankey applied for a 70 percent density bonus under the TOC, it had already planned on developing the site in partnership with Koreatown-based developer Jamison Properties before the city . Parking Reductions. Schreiber v. City of Los Angeles, 69 Cal. All rights reserved. Off Menu Incentives and Waivers of Development Standards 0000007998 00000 n To the extent the local ordinance requires an applicant to do more than density bonus law, it is preempted. 0000013527 00000 n Rather, the City was required only to disapprove the requested incentives if it could make a negative finding that the incentives would not result in cost reductions. 0000005586 00000 n Notably, neither the project applicant nor the City was required to show or find that the incentives would result in cost reductions. By continuing to browse (i.e. Access Los Angeless enabling ordinance for the State Density Bonus Program. These changes are outlined below and incorporated into our refreshed 2022 update of our Guide to the California Density Bonus Law. 201 0 obj <> endobj The Density Bonus Law allows qualifying developers, as a matter of right, to obtain lower parking space requirements than what would otherwise be required by local government standards. . 0000007998 00000 n Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. Attorney Advertising: The enclosed materials have been prepared for general informational purposes only and are not intended as legal advice. 0000012814 00000 n 0000068446 00000 n Share. 0000005253 00000 n 0000010770 00000 n Incentives & Concessions; Parking; Qualifying Units. hb```f``Y AcSh$v!+[^{KIs%~Ye.T1kFvB*.@|``@lV' 2#n3. These practices can lead to inconsistencies between state law and local ordinances. For more information please refer to our Privacy Policy. 0000005981 00000 n 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. SB 290 makes several changes to density bonus law, including: Sale of Affordable Units to Nonprofit Corporations. 0000002030 00000 n Replacement of Existing Residential Dwelling Units. For more than forty years, Californias Density Bonus Law (Government Code Section65915 et seq.) Parking requirements for projects with at least 11% very low income or at least 20% lower income units, which are located within mile from an accessible major transit stop, are reduced from space per bedroom to space per unit. Code, 65915) requires local jurisdictions to adopt an implementation ordinance to ensure compliance with it. Terms under which this service is provided to you. 0000009345 00000 n Originally enacted in 1979, California's Density Bonus Law 3 gives housing and mixed-use developments with five or more homes the right to increased density beyond applicable local limits in exchange for providing homes at below market rate (BMR) rents or costs. You can download Adobe Reader by clicking this link. Theory: Could Parking Reform Undermine the Density Bonus Law? 0000072751 00000 n Required Submission of Pro Formas. 0000012814 00000 n 0000008761 00000 n 0000001256 00000 n AB 634 by Assemblymember Wendy Carrillo (D-Los Angeles) - Density Bonus Law: affordability restrictions. Under the Density Bonus Law, developers are entitled to a density bonus corresponding to specified percentages of units set aside for very low income, low-income, or moderate-income households. 0000002251 00000 n 227 0 obj <>stream 0000013527 00000 n For additional information on these recent changes to the Density Bonus Law, please contact any member of the firms Real Estate or Land Use practice groups, or the following authors: Doug Champion Los Angeles (+1 213-229-7128,dchampion@gibsondunn.com) 2023 Meyers Nave, A Professional Corporation, Diversity Fellowship Program for 1L Students, Energy, Public Power and Telecommunications, Los Angeles Business Journal Names Amrit Kulkarni to 2023 List of Leaders of Influence: Minority Attorneys, Meyers Nave Elevates Richard D. Pio Roda to Equity Principal, Arlene Yang Appointed to the 2022-2023 National Asian Pacific American Bar Association Board of Governors, Meyers Nave Represents the Tongva Community in Historic Reclaiming of Ancestral Land in Los Angeles Area After 200 Years, Meyers Nave Obtains Dismissal of Two High-Stakes Federal Lawsuits Against the City of Los Altos Under the Telecommunications Act, Meyers Nave Celebrates Hispanic Heritage Month, Meyers Nave Welcomes Jeffrey Wilcox as Of Counsel to the Eminent Domain and Inverse Condemnation Practice, Super Lawyers Distinguishes Meyers Nave Lawyers in San Diego, Meyers Nave Elevates Camille Hamilton Pating to Equity Principal, Meyers Nave Elevates David Mehretu to Principal, Meyers Nave Secures Key Victory In California Supreme Court Confirming Application of Automatic Stay Pending Appeal to Mandatory Injunctions, Women's Initiative: Meet The Women Who Lead Practices at Meyers Nave, Guide to the California Density Bonus Law. Under the Citys density bonus law implementation ordinance, where an applicant requests an off-menu incentive, the Citys implementation ordinance states that an applicants request shall include a pro forma or other documentation to show that the waiver or modification of any development standard(s) are needed in order to make the [projects affordable housing units] economically feasible. (L.A. Mun. The amount of density bonus required to be given under Californias Density Bonus Law is set on a sliding scale based on the percentage of affordable units provided. (Affordable units for moderate income households still must be for-sale units and may not be rental units). 0000007530 00000 n City of Los Angeles (2021) 69 Cal.App.5th 549, resolved such an inconsistency, holding that a local implementation ordinance is preempted to the extent that the implementation ordinance imposes. %%EOF PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H 0000005623 00000 n Code, 65915, subd. 5th (2021). Bigger Density Bonus. 0000002364 00000 n 0000013295 00000 n Density Bonus | Los Angeles City Planning Density Bonus 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. 0000008950 00000 n 76 48 Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. Code (LAMC), 12.22-A.25.g.3.i.a [emphasis added].) 201 27 AB 2345 and AB 1763 Revised Memorandum (2022) 0000001968 00000 n Overlay Zone or on the City of Los Angeles list of Historical-Cultural Monuments. 555-556.) To download the Guide, please click here. [2] Density bonus law uses incentive and concession interchangeably. AB 2345, together with AB 168 which was also approved in 2020, expands the annual housing reporting requirements for local governments to now include information on density bonus projects (Government Code Section 65400). 0000012746 00000 n 754 0 obj <>stream 0000002922 00000 n 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. [1] The Citys density bonus law implementation ordinance has lists of pre-approved density bonus law waivers and incentives. %%EOF 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. 0000010840 00000 n 0000013117 00000 n Under the Density Bonus Law, developers are entitled to a density bonus corresponding to specified percentages of units set aside for very low income, low-income, or moderate-income households. The County shall market the Ordinance during the planning period, and ensure that there is adequate technical assistance to facilitate the implementation of the Ordinance. 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. 0000004181 00000 n 0000011362 00000 n `kj6`=$LL9m50~=3jptv^xxx[xH0#h afMg tsP@tEf(!G,B{e*h$&G$#iIa)Y( : 0b0#A information to improve the functionality and analytical performance of the website. Effective September 22, 2017 . To assist understanding, a set of Affordable Housing Incentive Guidelines was developed alongside the Density Bonus Ordinance in 2005. . Affordable Housing Incentive Guidelines (2005) On-Menu Incentives 2501 (AB 2501) went into effect. 0000012501 00000 n /z!rq=_4k!%^@f2 e@C.C"kS:_DAh5|M R'+oCxM/w`pc"w+htt4aAVLZ#%\8:P@[ZXX!p41))0--DAAaccdaBFAALh"`(v90fFu5D)dqP @3 H[vxbLoz3,dhg0CQaYL2,eX0v- c\o3\` 0000007530 00000 n An appellate court ruled in 2021 that local agencies cannot require density bonus applicants to submit pro formas or other documentation required to prove that requested incentives and concessions are necessary to make the housing development financially feasible. trailer |\+@cq 4& A project requesting only a density bonus up to 35%, and/or reduced parking as specified by State Density Bonus law or LAMC12. Implementation of State Density Bonus Law (2017) 0000010840 00000 n 0000012594 00000 n AB 2501 clarified that under density bonus law, [a] local government shall not condition the submission, review or approval of an application pursuant to this chapter on the preparation of an additional report or study that is not otherwise required by state law, including this section. (Gov. 0000013708 00000 n {O0sl3$'Kn&Bj&| aQl%i+sLmO_Y{U\nUuJ*]tE@I0-$bO,|\]'n " 5`y7O=,#8I 0000012326 00000 n dXn7@ C 0000012110 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 hb```poB as|``6d`PQP+n``tT%C2&sx38YtEnmZw`NB g8U8'$L{1iSD.Zv,nU)K)7&l4F m Hs20} R' bH3 0000013708 00000 n 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. 0000003129 00000 n The density bonus law, enacted in 1979, incentivizes developers to construct more affordable housing by providing density bonuses for projects that incorporate on-site affordable units or donate qualifying land for the construction of affordable units. Any other regulatory incentives or concessions that would result in identifiable and actual cost reductions. 0000010477 00000 n Incentives and Concessions. Gibson, Dunn & Crutcher LLP 2023. The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. AB 2345 increased the top range of the density bonus to 50% for housing projects with 15% very low income units, 24% lower income units, or 44% moderate income units. Part 1 focused on background, while Parts 2 through 5 include specific recommendations to improve the density bonus and affordable housing provision throughout the region. 0000008950 00000 n 0000002753 00000 n |\+@cq 4& In addition to the density bonus, developers of affordable projects are entitled to one or more incentives or concessions from the local jurisdiction to assist in the construction of the project, with the number based on the percentage of affordable units in the project. This is Part 4 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program. this website you agree to the use of cookies. 0000002233 00000 n F: (213) 626-0434TDD: (213) 617-2292, Los Angeles County Department of Regional Planning, Historical Landmarks and Records Commission, County Prequalified Environmental Consultant List, A-NET Airport Land Use Commission (ALUC) Viewer, SMMLCP-NET Santa Monica Mountains Local Coastal Program, Santa Monica Mountains North Area Resources Web App, Z-NET Find Your Zoning and Verify Jurisdiction. %%EOF 0000007768 00000 n 0 In addition to an increase in density, the Countys Density Bonus Ordinance offers a variety of incentives. AqL4.:h\>3u|gqA j8h\>A 'q54.p|OH4.F&. 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. $8,950,000. 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Units ), 2018 not be rental units ) petition, and the neighbors filed an appeal 571 Assemblymember. ) requires local jurisdictions to adopt an implementation ordinance to ensure compliance with it Mayes ( I-Rancho Mirage -! Only and are not intended as legal advice may not be rental units ) these issues low households.
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