to Los Angeles Municipal Code 12.22 A.31 . 0000005586 00000 n xref endstream endobj 738 0 obj <>stream Many of our documents are in PDF format. 0000004605 00000 n 4& However, local agencies can require applicants to show that requested incentives and concessions will result in cost reductions for the project. hDj:.XpD$P 0000009519 00000 n endstream endobj 737 0 obj <>stream 0000007530 00000 n AB 2345 and AB 1763 Revised Memorandum (2022) 0000014725 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. 0000004022 00000 n This is Part 3 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program. 0000013527 00000 n Before AB 1763, California's density bonus law (California Government Code Sections 65915 - 65918) focused primarily on projects with a mix of affordable and market rate housing. Share. In 2017, Assembly Bill No. 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. 0000002233 00000 n endstream endobj 734 0 obj <> endobj 735 0 obj <>/Rotate 0/Type/Page>> endobj 736 0 obj <>stream The Court next determined that while AB 2501 prohibited a municipality from requiring an additional report or study that is not otherwise required by state law, AB 2501 did not prohibit a municipality from requesting or considering information relevant to cost reductions. 0000008950 00000 n $AsNO;/hemQ!C'Qu}Zk^U!]MlGATt{ E=s/\TXR*-+~f~q /^ebj73 Incentives & Concessions; Parking; Qualifying Units. information to improve the functionality and analytical performance of the website. 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. 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. PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H These projects require CEQA analysis and are reviewed by the City Planning Commission (CPC). Density Bonus Ordinance | DRP Los Angeles County Department of Regional Planning Online Appointment Now Available! 0000012814 00000 n This website uses cookies that only record anonymous statistical data not individually identifiable personal Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . 0000013934 00000 n AB 602 by Assemblymember Tim Grayson (D-Concord) - Development fees: impact fee nexus study. You can download Adobe Reader by clicking this link. 0000013117 00000 n 0000014545 00000 n Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 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. 0000001256 00000 n 0000011691 00000 n 0000068446 00000 n You can download Adobe Reader by clicking this link. 0000002753 00000 n Sitting on an approximately 14,029 square foot, corner lot with an LAC2 Zoning and TIER 3 TOC density bonus (to be verified by potential buyers) this offering . i()P!.udCc:E6"EUU(#\PLB\4(%@f.~h.;.p>+}>u'flGwdu}L^,tX6fEc1>tT3c2n4g&'\'M]wW ^qqnvx_geV. Accordingly, the City published a memorandum stating that the City would no longer require [f]inancial pro-formas and third-party reviews to determine whether a project would be eligible for an incentive under density bonus law, but did not update its implementation ordinance. 0000011882 00000 n startxref 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. The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. Required Submission of Pro Formas. 76 48 Please send website questions and comments to webadmin@planning.lacounty.gov. 0000002233 00000 n 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. 0000012746 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. According to the Court, both density bonus law and the Citys implementation ordinance place the burden of proof on the City to overcome the presumption that the incentive would result in cost reductions. Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 0000008271 00000 n Schreiber concerns a project in the City of Los Angeles (City) that requested off-menu[1] incentives[2] afforded by density bonus law. 754 0 obj <>stream 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. 0000012814 00000 n 0000002922 00000 n (i.e. 0000007824 00000 n %PDF-1.6 % 0 . 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. By using this site, you agree to our updated Privacy Policy and our Terms of Use. Court of Appeal Upholds the Project Approval. 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. 0000010770 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. %PDF-1.5 % 0000009728 00000 n (Schreiber v. City of Los Angeles) that local agencies cannot require density bonus applicants to submit pro formas or other . 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. 0000005981 00000 n 0000004181 00000 n Home Find Answers Contact DRP Board of Supervisors Regional Planning Commission Airport Land Use Commission Hearing Officer Hearing Examiner Historical Landmarks and Records Commission Public Meeting All Advisory Committees Contact DRP 0000010310 00000 n 0000007530 00000 n Along with the City's Transit Oriented Communities (TOC) Incentive Program, the Density Bonus Program is Los Angeles's biggest driver in producing mixed-income and 100% affordable housing. 0000005253 00000 n 0000010946 00000 n 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. 0000012594 00000 n dXn7@ C Before 2021, developers of density bonus projects were automatically entitled to obtain parking requirements of two spaces for two and three bedroom homes by requesting that standard, but AB 2345 lowers this standard to one and one-half spaces for two and three bedroom homes. 0000011960 00000 n App. 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). trailer (Schreiber, supra, 69 Cal.App.5th at pp. startxref Code, 65915) requires local jurisdictions to adopt an implementation ordinance to ensure compliance with it. Along with the Citys Transit Oriented Communities (TOC) Incentive Program, the Density Bonus Program is Los Angeless biggest driver in producing mixed-income and 100% affordable housing. 123 0 obj<>stream 76 48 The Court then turned to the neighbors claim that the administrative record did not contain substantial evidence supporting the Citys approval of the project. 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 . %PDF-1.4 % Density Bonus Policy 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. These legislative changes are outlined below and incorporated into the 2021 update of our Guide to the California Density Bonus Law. 0000005421 00000 n 2009 Los Angeles County Department of Regional Planning. 0000012326 00000 n 0000013295 00000 n A project requesting on-menu incentives, as outlined in LAMC12.22 A.25, is processed by City Planning through a ministerial review process. 2009 Los Angeles County Department of Regional Planning. 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. (65915, subd. 0000000016 00000 n Limits on Impact Fees. 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. The nonprofit corporation may be permitted by the local agency to retain the initial subsidy and share of appreciation which is produced from the resale of the affordable unit, so long as the funds are used to promote homeownership for lower income households within the jurisdiction of the local agency. 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. All rights reserved. Higher Density Bonus For housing projects where all units are affordable to low and very low income residents, AB 1763 more than doubles the density bonus to 80%. (a)(2).) Gibson Dunns lawyers are available to assist with any questions you may have regarding these issues. |\+@cq 4& endstream endobj startxref THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. This is Part 2 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program.Part 1 focused on background, while Parts 2 through 5 include specific recommendations to improve the density bonus and affordable housing . Qualifying Density Bonus projects can select from a number of pre-vetted "on-menu" incentives or request the approval of "off-menu" waivers of development standards, in addition to a by-right density increase of up to 35% and a reduction in parking requirements. 0000011362 00000 n Overlay Zone or on the City of Los Angeles list of Historical-Cultural Monuments. Notably, neither the project applicant nor the City was required to show or find that the incentives would result in cost reductions. xref THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. Amy Forbes Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) 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. AqL4.:h\>3u|gqA j8h\>A 'q54.p|OH4.F&. 0000011691 00000 n However, these local ordinances cannot impose affordability periods of more than 55 years in developments financed with low income housing tax credits. The city of Los Angeles spearheaded the request for that exemption in recognition of its . 0000010946 00000 n 0000010840 00000 n 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. The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. 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. Both the state Density Bonus Law and the Los Angeles Transit-Oriented Communities (TOC) program offer market rate developers an array of regulatory concessions in exchange for setting 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. Attorney Advertising: The enclosed materials have been prepared for general informational purposes only and are not intended as legal advice. 0000001945 00000 n 0000001236 00000 n These incentives apply to projects that seek a limited increase in allowed height, floor area, and lot coverage, along with reductions to yard/setback, open space, and lot width requirements. Department Memorandums To get the full 35 percent density bonus the developer would need to set aside 11 percent of the units for very-low income residents (up to 50 percent of Area Median Income, or around $33,000 for a four-person household) or 20 percent for low income residents (50 to 80 percent AMI), for a duration of at least 55 years. jJ'7SA1ckzNk/~r"}K8Bp{j c(nY| ? 555-556.) 0000009345 00000 n has been a mechanism to encourage developers to incorporate affordable units within a residential project in exchange for density bonuses and relief from other base development standards. 0000005623 00000 n Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . 0000004605 00000 n 0000001968 00000 n Eliminates the ability of local governments to disapprove a developers request for an incentive or concession, or a waiver or modification of development standards, on the grounds that it would have a specific adverse impact on the physical environment. 3117 Bagley Ave, Los Angeles, CA 90034. 0000004323 00000 n A project that includes an off-menu request, as outlined in LAMC 12.22 A.25, is reviewed by City Planning through a discretionary review process. trailer 0000009113 00000 n 0000009728 00000 n 0000013295 00000 n Theory: Could Parking Reform Undermine the Density Bonus Law? AB 2345 increased the top range of the density bonus to 50% for housing projects with 15% very low income units, 24% lower income units, or 44% moderate income units. {O0sl3$'Kn&Bj&| aQl%i+sLmO_Y{U\nUuJ*]tE@I0-$bO,|\]'n " 5`y7O=,#8I Consistent with the Citys requirements, the project applicant submitted a third-party financial feasibility analysis with its project application in 2016. %%EOF This change results in a significant reduction in required parking for transit-adjacent density bonus housing projects that include units with two or more bedrooms. (a).) For more information please refer to our Privacy Policy. According to ZIMAS, the project is not located on a substandard street in a Hillside area this website you agree to the use of cookies. Many of our documents are in PDF format. 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. 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, the total units in a housing development include affordable units that are designated to satisfy local inclusionary housing requirements. . 0000012501 00000 n 0000005253 00000 n x]nP}$t9A,z>A,rYtHx[=8S6z_S{//_o2~_o{s}:{].fnSTNiS^/mWv|,i:Z60_r^mQV(+5e,b*(RX%TY%U6,,(*e(Je9Tc%KhiE*Z:*b1hL>%hL>F a154&c|+4& 0000004181 00000 n [1] The Citys density bonus law implementation ordinance has lists of pre-approved density bonus law waivers and incentives. The California Legislature continues to refine the Density Bonus Law over the past year, with new legislation taking effect on January 1 of this year providing additional flexibility to developers in meeting requirements for a density bonus. 0000008761 00000 n 0000009345 00000 n 0000007824 00000 n All Rights Reserved. Developers can request off-menu incentives and waivers of development standards that extend beyond the incentives enumerated by State Density Bonus Law provided that applicants can demonstrate that their request is necessary to allow for the project's physical construction. 0000003129 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. 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 4& }k9/?NE2o,):k;U+"-;Nll,s%4'UMf,Cxpfe4=hS\}5qc_,W_lc.tqC]9~g\5Y_k]|l]A2Gwu43eg $2,000,000. 0000012594 00000 n Requests for modifications to City standards not on its pre-approved lists are considered off-menu.. For readability, we use incentive to refer to both incentives and concessions in this post. 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. 733 0 obj <> endobj The Commission also granted the developers various incentives and waivers under the city ordinance implementing the state density bonus law. For more than forty years, Californias Density Bonus Law (Government Code Section65915 et seq.) $8,950,000. 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. 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). Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. . 0000000016 00000 n 0000011464 00000 n State Density Bonus Law (2020): SB 35 + AB 2162 0000009113 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. 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. All Rights Reserved. 0000012501 00000 n 0000013934 00000 n The Rezoning Program includes a potential update of the City's Density Bonus ordinance to allow for up to 50% density increases citywide in exchange for the maximum amount of affordable housing economically feasible (as determined by an upcoming feasibility study). 123 0 obj<>stream . 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