AB 2345 also reduces the parking requirements for many projects located near accessible major transit stops. However, local agencies can require applicants to show that requested incentives and concessions will result in cost reductions for the project. 0000011464 00000 n Before 2021, the maximum density bonus was 35% for housing projects which included either 11% very low income units, 20% lower income units, or 40% moderate income units. 0000072751 00000 n Incentives & Concessions; Parking; Qualifying Units. Many of our documents are in PDF format. 0000008761 00000 n 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. 0000014545 00000 n 0000003255 00000 n Gibson, Dunn & Crutcher LLP 2023. 123 0 obj<>stream 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) 0000004181 00000 n 0000007530 00000 n Density Bonus Law Impacts and Schreiber v. City of Los Angeles. AB 634 by Assemblymember Wendy Carrillo (D-Los Angeles) - Density Bonus Law: affordability restrictions. startxref 0000011691 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. Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. 0000011691 00000 n [1] The Citys density bonus law implementation ordinance has lists of pre-approved density bonus law waivers and incentives. 0000004323 00000 n 0000009345 00000 n |\+@cq 4& 0000005586 00000 n dXn7@ C 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 By continuing to browse Parking Reductions. 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. {O0sl3$'Kn&Bj&| aQl%i+sLmO_Y{U\nUuJ*]tE@I0-$bO,|\]'n " 5`y7O=,#8I 0000005549 00000 n 0000013527 00000 n Density bonus law (Gov. 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. For more information about implementation guidelines and procedures, including how changes to state Density Bonus law are implemented, refer to the Department Memorandums below: State Density Bonus Law: AB 2334, AB 1551, and AB 682 (2023) 0 x]\S!lLW4?DU6*%PuVK8PAm8 E:*#E*VP%%/ 1ms="!|1 n&}J[$W^}pO>p2j5K/'^-})zJDNMx@ 3?g7530&x33SS7Lm`b California Government Code Section 65943 to the Los Angeles City Planning Department on or after January 1, 2020, and requires a discretionary entitlement process with CPD. This website uses cookies that only record anonymous statistical data not individually identifiable personal F: (213) 626-0434TDD: (213) 617-2292, Los Angeles County Department of Regional Planning, Historical Landmarks and Records Commission, County Prequalified Environmental Consultant List, A-NET Airport Land Use Commission (ALUC) Viewer, SMMLCP-NET Santa Monica Mountains Local Coastal Program, Santa Monica Mountains North Area Resources Web App, Z-NET Find Your Zoning and Verify Jurisdiction. 3117 Bagley Ave, Los Angeles, CA 90034. 0000007530 00000 n DENSITY BONUS/AFFORDABLE HOUSING INCENTIVES COMPLIANCE FINDINGS Pursuant to Section 12.22-A,25(c) of the LAMC, the Director shall approve a density . 0000012814 00000 n Notably, neither the project applicant nor the City was required to show or find that the incentives would result in cost reductions. On-Menu Incentives 0000010840 00000 n <]/Prev 129846/XRefStm 1236>> 0000002364 00000 n hDj:.XpD$P . [2] Density bonus law uses incentive and concession interchangeably. For readability, we use incentive to refer to both incentives and concessions in this post. THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. /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\` 0 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 . The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. 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. 0000005512 00000 n On August 8, 2006, the Board of Supervisors adopted the Density Bonus Ordinance, which provides incentives for affordable housing by permitting density increases beyond what is allowed by the General Plan, and requires set-asides for very low, lower, or moderate income households and seniors. All rights reserved. 5th (2021). 0000001256 00000 n endstream endobj 734 0 obj <> endobj 735 0 obj <>/Rotate 0/Type/Page>> endobj 736 0 obj <>stream 0000001236 00000 n The legislation, Assembly Bill 2345, also reduces parking requirements for many projects qualifying for a density bonus, lowers some thresholds for obtaining incentives and concessions from local jurisdictions, and adopts density bonus reporting requirements. 0000013117 00000 n Many of our documents are in PDF format. Limits on Impact Fees. 0000010477 00000 n . Bigger Density Bonus. This website uses cookies that only record anonymous statistical data not individually identifiable personal State Density Bonus Law (2017): AB 1934 + AB 2442 + AB 2501+ AB 2556 `kj6`=$LL9m50~=3jptv^xxx[xH0#h afMg tsP@tEf(!G,B{e*h$&G$#iIa)Y( : 0b0#A . No CEQA review is conducted; however, all other LAMC-required processes and procedures, including those for notification and appeals are required. 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. Department of Regional Planning, Community Development Commission. (a).) 0000010770 00000 n 0000010946 00000 n %PDF-1.5 % 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. 0000002030 00000 n Required Submission of Pro Formas. 0000007998 00000 n (65915, subd. These projects receive a Letter of Determination describing the approved project and any applicable conditions of approval. State Density Bonus Law (2015): AB 744. 0000012746 00000 n 0000012780 00000 n Amy Forbes Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) 0000007824 00000 n 0000012501 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 0000007824 00000 n endstream endobj 738 0 obj <>stream 555-556.) 0000013934 00000 n 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 . If you have questions about the Density Bonus Law or information in the Guide, please contact the author and Meyers Nave attorney Jon Goetz, at 800.464.3559 or jgoetz@meyersnave.com. 0000002251 00000 n 0000013708 00000 n Implementation of State Density Bonus Law (2017) 0000008271 00000 n 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. 0000002251 00000 n Legislative Change Increases Density Bonus Amount and Parking Benefits. AB 634 allows a local government to adopt an ordinance requiring an affordability period of more than 55 years in density bonus housing projects. %%EOF 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. 0000011532 00000 n AB 2345 lowers the required percentage of lower income units required to obtain multiple incentives and concessions. 0000002233 00000 n The vast majority of jurisdictions in Los Angeles County do not have any renter protection measures (such as rent stabilization). 0000003129 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. 0000010477 00000 n information to improve the functionality and analytical performance of the website. Overlay Zone or on the City of Los Angeles list of Historical-Cultural Monuments. endstream endobj 737 0 obj <>stream 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. (0[yd JivE!X$~{E4tp{ !vI H*9&> All Rights Reserved. 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. To the extent the local ordinance requires an applicant to do more than density bonus law, it is preempted. Reporting Requirements. Code (LAMC), 12.22-A.25.g.3.i.a [emphasis added].) 0000004181 00000 n $2,000,000. AB 2345 and AB 1763 Revised Memorandum (2022) 0000005737 00000 n 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. 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. 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. 0000010310 00000 n 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. 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). 0000002753 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. %PDF-1.4 % 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. AB 571 by Assemblymember Chad Mayes (I-Rancho Mirage) - Planning and zoning: density bonuses: affordable housing. 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 . Send to Friend; . Lauren Traina Los Angeles ( +1 213-229-7951, ltraina@gibsondunn.com) $8,950,000. <<8289CFA474293447AEFCA18F7AC1C4B5>]>> 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. 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). 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 startxref d\a0ol;-` `7 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. 0000009760 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. App. 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. However, these local ordinances cannot impose affordability periods of more than 55 years in developments financed with low income housing tax credits. 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. 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. PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H 0000013708 00000 n xb```a``Uc`c`H @16,p5 B?,\+~?f}7#ObL$( 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. (a)(2).) 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 . 227 0 obj <>stream Privacy Statement. trailer xref 123 0 obj<>stream SB 290 makes several changes to density bonus law, including: Sale of Affordable Units to Nonprofit Corporations. 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. 0000013295 00000 n density bonus) depending on the types of land use incentives being sought for the project, if any. 0000012501 00000 n 0000001968 00000 n Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . 0000014725 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. 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. 0000002233 00000 n 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. Californias Density Bonus Law provides housing developers with tools to encourage the development of much needed affordable and senior housing. Schreiber concerns a project in the City of Los Angeles (City) that requested off-menu[1] incentives[2] afforded by density bonus law. 0000004022 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. 0000007768 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 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. 0000010310 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. Californias Density Bonus Law provides housing developers with tools to encourage the development of much needed affordable and senior housing. 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. Matthew Saria Los Angeles (+1 213-229-7988,msaria@gibsondunn.com). %%EOF 0000014545 00000 n Please send website questions and comments to webadmin@planning.lacounty.gov. 0000010660 00000 n 0000002030 00000 n 76 0 obj <> endobj AB2345 amends the Density Bonus Law to decrease the set aside requirement for low income households as shown in the table below. 0000005253 00000 n 0000009113 00000 n Density Bonus Policy These projects are not subject to an appeal. State Density Bonus Law (2021): SB 290, SB 728, AB 634 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 ( I-Rancho Mirage ) - Density Bonus Law ( 2015 ): 744! > > 0000002364 00000 n 0000009113 00000 n Department of Regional Planning320 Temple... Bonus housing projects waivers density bonus los angeles incentives, consistent with the State Density Law. 634 by Assemblymember Chad Mayes ( I-Rancho Mirage ) - Density Bonus Law ( )! 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