d~[T!NV 0000004181 00000 n 0000012594 00000 n 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. 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) 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. [1] The Citys density bonus law implementation ordinance has lists of pre-approved density bonus law waivers and incentives. 0000007998 00000 n 0000010660 00000 n City of Los Angeles. 0000013708 00000 n %%EOF (Affordable units for moderate income households still must be for-sale units and may not be rental units). On-Menu Density Bonus Ministerial Review Process (2021) 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. (a).) 0000009728 00000 n Unlike the primary Density Bonus Law, there is no fixed amount of increased density awarded to the developer. 0000014725 00000 n 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 (. 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. The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. 0000002233 00000 n 0000000852 00000 n 0000012110 00000 n (Schreiber, supra, 69 Cal.App.5th at pp. Gibson Dunns lawyers are available to assist with any questions you may have regarding these issues. undermine the Density Bonus, and then summarize the empirical evidence to that ef fect. AB2345 is modeled after the City of San Diegos Affordable Homes Bonus Program, and is intended to be another tool to address the states ongoing housing crisis. 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. 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. . 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. For readability, we use incentive to refer to both incentives and concessions in this post. Affordable Housing Incentive Guidelines (2005) 0000000016 00000 n 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. The number of incentives or concessions to which a project is entitled is based on the percentage of affordable units set aside. 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. The trial court denied the petition, and the neighbors filed an appeal. State Density Bonus Law (2015): AB 744. 0000011691 00000 n Terms under which this service is provided to you. Lauren Traina Los Angeles ( +1 213-229-7951, ltraina@gibsondunn.com) 2501 (AB 2501) went into effect. . 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. %%EOF 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. Privacy Statement. 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. 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 0000002030 00000 n to Los Angeles Municipal Code 12.22 A.31 . 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 . Density Bonus Ordinance | DRP Los Angeles County Department of Regional Planning Online Appointment Now Available! 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. 0000002251 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. 0000002364 00000 n 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. Where appropriate, promote such development through incentives. State Density Bonus Law (2021): SB 290, SB 728, AB 634 PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. 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). 733 0 obj <> endobj 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 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. 0000004426 00000 n 0000010660 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. hL 0UADCB~87(c}K$qmg~wv/>J2EP Ben Saltsman Los Angeles (+1 213-229-7480,bsaltsman@gibsondunn.com) 0000003255 00000 n Off Menu Incentives and Waivers of Development Standards 0000006234 00000 n startxref tPxd?.KM.1 alc{0! Density Bonus Policy Matthew Saria Los Angeles (+1 213-229-7988,msaria@gibsondunn.com). 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. 0000000016 00000 n A project requesting only a density bonus up to 35%, and/or reduced parking as specified by State Density Bonus law or LAMC12. d~[T!NV City Planning Ministerial Review 227 0 obj <>stream (65915, subd. AB 2345 lowers the required percentage of lower income units required to obtain multiple incentives and concessions. These guidelines describe the density bonus provisions and qualifying criteria, the incentives available to qualifying projects, and the procedures whereby projects may apply for a bonus and incentives. Share. Theory: Could Parking Reform Undermine the Density Bonus Law? THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. By continuing to browse endstream endobj 738 0 obj <>stream 0000008271 00000 n trailer Implementation of State Density Bonus Law (2017) 555-556.) trailer Amy Forbes Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) 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 . . 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. 4& 0000011362 00000 n 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. 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. 0000069288 00000 n 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. 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. 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. 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. 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. 0000007824 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. 0000004426 00000 n Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 201 27 Amy Forbes - Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) Ben Saltsman - Los Angeles (+1 213-229-7480, bsaltsman@gibsondunn.com) . d\a0ol;-` `7 Any other regulatory incentives or concessions that would result in identifiable and actual cost reductions. Code, 65915, subd. %%EOF 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. 0 In addition, a 2021 appellate court ruling changes the types of information that local governments can require from density bonus applications seeking an incentive or concession. 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. 0000011464 00000 n For more than forty years, Californias Density Bonus Law (Government Code Section65915 et seq.) Please send website questions and comments to webadmin@planning.lacounty.gov. 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. Incentives & Concessions; Parking; Qualifying Units. 0000012814 00000 n 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. PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H 0000004022 00000 n Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 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. Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. Attorney Advertising: The enclosed materials have been prepared for general informational purposes only and are not intended as legal advice. 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. 0000009113 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. $8,950,000. 0000001968 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. 0000008950 00000 n (i.e. 0000001581 00000 n 0000005586 00000 n 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. 2009 Los Angeles County Department of Regional Planning. AB 2345 and AB 1763 Revised Memorandum (2022) 0000001414 00000 n 754 0 obj <>stream To assist understanding, a set of Affordable Housing Incentive Guidelines was developed alongside the Density Bonus Ordinance in 2005. 0000000016 00000 n 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. Bigger Density Bonus. 0000002251 00000 n The primary take-away from this case is to always check a density bonus local implementation ordinance against state law. 0000005512 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. 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. 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. information to improve the functionality and analytical performance of the website. 0000002753 00000 n this website you agree to the use of cookies. hb```poB as|``6d`PQP+n``tT%C2&sx38YtEnmZw`NB g8U8'$L{1iSD.Zv,nU)K)7&l4F m Hs20} R' bH3 0000013295 00000 n 0000001236 00000 n <<8289CFA474293447AEFCA18F7AC1C4B5>]>> 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. AB2345 amends the Density Bonus Law to decrease the set aside requirement for low income households as shown in the table below. In 2017, Assembly Bill No. Density bonus law (Gov. 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. 752 0 obj <>/Filter/FlateDecode/ID[<8AA2F0F555E3E7428881B3A6A1ED63C2>]/Index[733 22]/Info 732 0 R/Length 89/Prev 467624/Root 734 0 R/Size 755/Type/XRef/W[1 2 0]>>stream qU)Yw|e9ls37^X83!\oGe6r8aeX$PwK tQGyy"W^ssC). Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. 0000001256 00000 n startxref 201 0 obj <> endobj Requests for modifications to City standards not on its pre-approved lists are considered off-menu.. hDj:.XpD$P this website you agree to the use of cookies. 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%. 0000013708 00000 n 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. 0000007530 00000 n . seek and receive a density or development bonus under the provisions of California Government Code Section 65915 (state Density Bonus law) or any other State or local Homes similar to 6208--6212 West Blvd are listed between $895K to $8,950K at an average of $960 per square foot. An ordinance amending Sections 12.22, 12.24, 14.00 and 19.01 of the Los Angeles Municipal Code to implement a Density Bonus program, as required by State law. 0000004605 00000 n 0000011882 00000 n According to the Planning Department's Housing Progress Dashboard, density bonus projects accounted for approximately 26,700 proposed residential units between 2016 and 2020 - more than 17 percent of the roughly 152,000 units planned during that time period. hb```f``Y AcSh$v!+[^{KIs%~Ye.T1kFvB*.@|``@lV' 2#n3. This website uses cookies that only record anonymous statistical data not individually identifiable personal Legislative Change Increases Density Bonus Amount and Parking Benefits. A project requesting only a density bonus up to 35%, and/or reduced parking as specified by State Density Bonus law or LAMC12.22 A.25, is considered by-right and reviewed through a ministerial building permit process. On-Menu Incentives Read up on housing activity and trends across the City. 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. SB 290 makes several changes to density bonus law, including: Sale of Affordable Units to Nonprofit Corporations. Subdivision 25 of Subsection a of Section 12.22 of the Los Angeles ( +1 213-229-7988, @... Completely affordable projects Online Appointment Now available 213-229-7951, ltraina @ gibsondunn.com 2501. Actual cost reductions FOLLOWS: Section 1 incentive to refer to both incentives and concessions of Section 12.22 of Los. And incentives, consistent with the state density Bonus Policy Matthew Saria Los Angeles requesting former... 0000007998 00000 n subdivision 25 of Subsection a of Section 12.22 of the Los Angeles DO ORDAIN as FOLLOWS Section... [ 1 ] the Citys density Bonus Law waivers and incentives, consistent with the state density Law... 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And Parking Benefits available to assist with any questions you may have regarding these.. From this case is to always check a density Bonus Law ( 2015 ) AB... State density Bonus Law to decrease the set aside functionality and analytical of! Sale of affordable units to Nonprofit Corporations Section 12.22 of the City the set aside requirement for low households. Prohibited the City of Los Angeles Municipal Code is amended to read: 25 fixed amount of increased awarded... Is to always check a density Bonus Law implementation ordinance against state Law pp. Prohibited the City Bonus local implementation ordinance has lists of pre-approved density amount! Makes several changes to density Bonus Law, including: Sale of affordable units set requirement... While the City from requesting the former n Terms under which this is! Would result in cost reductions the PEOPLE of the Los Angeles Municipal Code is amended to read:.! ): AB 744 both incentives and concessions amends the density Bonus amount and Parking Benefits n3... The functionality and analytical performance of the Los Angeles Municipal Code is amended to read:.! To assist with any questions you may have regarding these issues $ v! [. Changes to density Bonus Law implementation ordinance against state Law Bonus, and then summarize the empirical to. Units set aside requirement for low income households as shown in the table below,,. Incentives or concessions that would result in identifiable and actual cost reductions amended to read:.! Is provided to you City of Los Angeles or concessions that would result in identifiable actual... Bonus, and then summarize the empirical evidence to that ef fect always check density..., supra, 69 Cal.App.5th at pp use of cookies the enclosed materials have been prepared for general purposes.
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