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. A project requesting only a density bonus up to 35%, and/or reduced parking as specified by State Density Bonus law or LAMC12. 0000004605 00000 n 0000011960 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. <]/Prev 129846/XRefStm 1236>> 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. The Commission also granted the developers various incentives and waivers under the city ordinance implementing the state density bonus law. 0000006484 00000 n 0000013934 00000 n 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. (a)(2).) 0000001414 00000 n 0000013527 00000 n In 2017, Assembly Bill No. 123 0 obj<>stream Effective September 22, 2017 . 0000007824 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. 0000000852 00000 n 0000005253 00000 n 0000002233 00000 n 0000001581 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. 0000012814 00000 n qU)Yw|e9ls37^X83!\oGe6r8aeX$PwK tQGyy"W^ssC). 0000004426 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. (i.e. xref Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . 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. 733 0 obj <> endobj 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 . Part 1 focused on background, while Parts 2 through 5 include specific recommendations to . 0000003129 00000 n 0000007824 00000 n 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). 0000009519 00000 n 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 Density Bonus Policy 0000001945 00000 n 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. $2,000,000. 0000010477 00000 n 76 48 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. 0 0000009113 00000 n 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. 0000011960 00000 n 4& All Rights Reserved. 0000004022 00000 n xref Reporting Requirements. %PDF-1.5 % 0000072751 00000 n information to improve the functionality and analytical performance of the website. 2009 Los Angeles County Department of Regional Planning. 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. Ben Saltsman Los Angeles (+1 213-229-7480,bsaltsman@gibsondunn.com) 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. 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 0000010840 00000 n AB 2345 also reduces the parking requirements for many projects located near accessible major transit stops. Send to Friend; . 0000002922 00000 n 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. All Rights Reserved. 0000005421 00000 n startxref 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. City of Los Angeles. 0000004181 00000 n Code (LAMC), 12.22-A.25.g.3.i.a [emphasis added].) 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 incentives and concessions summarized above, a local government is prohibited from applying any development standard that would physically preclude construction of the development with the density bonus and incentives and concessions to which the project is entitled. Unlike the primary Density Bonus Law, there is no fixed amount of increased density awarded to the developer. 3117 Bagley Ave, Los Angeles, CA 90034. 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. 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. xb```a``Uc`c`H @16,p5 B?,\+~?f}7#ObL$( (Schreiber, supra, 69 Cal.App.5th at pp. 0000002364 00000 n 0000007998 00000 n 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. THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. State Density Bonus Law (2015): AB 744. hb```f``Y AcSh$v!+[^{KIs%~Ye.T1kFvB*.@|``@lV' 2#n3. Before 2021, the maximum density bonus was 35% for housing projects which included either 11% very low income units, 20% lower income units, or 40% moderate income units. hb```poB as|``6d`PQP+n``tT%C2&sx38YtEnmZw`NB g8U8'$L{1iSD.Zv,nU)K)7&l4F m Hs20} R' bH3 . The local approving government has the burden of proof in defending the denial of a requested concession or incentive. 0000002233 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. dXn7@ C 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-1.6 % [2] Density bonus law uses incentive and concession interchangeably. 227 0 obj <>stream AB 634 allows a local government to adopt an ordinance requiring an affordability period of more than 55 years in density bonus housing projects. SB 290 makes several changes to density bonus law, including: Sale of Affordable Units to Nonprofit Corporations. 555-556.) 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. Revised February 26, 2018 . 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. For readability, we use incentive to refer to both incentives and concessions in this post. 0000013708 00000 n to Los Angeles Municipal Code 12.22 A.31 . 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. 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. . Density bonus law (Gov. 0000013295 00000 n AB2345 amends these parking ratios to decrease requirements for two and three bedroom units, as shown in the table below. Required Submission of Pro Formas. 0000000016 00000 n (65915, subd. 0 0000010310 00000 n Lauren Traina Los Angeles ( +1 213-229-7951, ltraina@gibsondunn.com) endstream endobj 737 0 obj <>stream 0000005421 00000 n Terms under which this service is provided to you. %%EOF 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. 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. 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 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) 0000002030 00000 n 0000012501 00000 n 0000068446 00000 n 0000010477 00000 n 0000012780 00000 n 0000007768 00000 n 0000009345 00000 n . 0000005512 00000 n 0000005549 00000 n These additional incentives or concessions could include any of the following: ** applies to a common interest development, as defined in Section 4100 of the Civil Code. 0000009760 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. 0000001236 00000 n 0000014725 00000 n 0000004323 00000 n 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. 0000002251 00000 n 0000013527 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. 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 Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. Incentives include, but are not limited to: reduced setbacks; increased height limit; and reduced lot size requirements. 0000011362 00000 n 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. information to improve the functionality and analytical performance of the website. (Affordable units for moderate income households still must be for-sale units and may not be rental units). 0000002364 00000 n startxref Density Bonus Law Impacts and Schreiber v. City of Los Angeles. To assist understanding, a set of Affordable Housing Incentive Guidelines was developed alongside the Density Bonus Ordinance in 2005. $AsNO;/hemQ!C'Qu}Zk^U!]MlGATt{ E=s/\TXR*-+~f~q /^ebj73 0000011532 00000 n The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. hL 0UADCB~87(c}K$qmg~wv/>J2EP 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. 0000011362 00000 n trailer 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. 0000010946 00000 n Californias Density Bonus Law provides housing developers with tools to encourage the development of much needed affordable and senior housing. Homes similar to 6208--6212 West Blvd are listed between $895K to $8,950K at an average of $960 per square foot. Department Memorandums 0000004181 00000 n This is Part 2 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program.Part 1 focused on background, while Parts 2 through 5 include specific recommendations to improve the density bonus and affordable housing . 0000010660 00000 n Before AB 1763, California's density bonus law (California Government Code Sections 65915 - 65918) focused primarily on projects with a mix of affordable and market rate housing. The legislation does not modify the 80% density bonus required to be provided to completely affordable projects. 0000004022 00000 n 0000012326 00000 n 0000012780 00000 n Please click here to read or print the 2021 Guide. Share. As discussed below, Schreiber v. City of Los Angeles (2021) 69 Cal.App.5th 549, resolved such an inconsistency, holding that a local implementation ordinance is preempted to the extent that the implementation ordinance imposes application requirements that exceed those required under density bonus law. Some local jurisdictions adopt implementation ordinances that modify or add to the requirements of density bonus law, and many jurisdictions fail to update their implementation ordinances when density bonus law is amended. xb```a``Uc`c`H @16,p5 B?,\+~?f}7#ObL$( These projects are not subject to an appeal. xref 0000005586 00000 n Californias Density Bonus Law provides housing developers with tools to encourage the development of much needed affordable and senior housing. Parking Reductions. 13,370 SF 83% Leased Office Building Los Angeles, CA $8,250,000 ($617/SF) 1.13% Cap Rate. Schreiber v. City of Los Angeles, 69 Cal. 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. Any other regulatory incentives or concessions that would result in identifiable and actual cost reductions. 76 0 obj <> endobj 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. On-Menu Density Bonus Ministerial Review Process (2021) 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 (. Privacy Statement. The trial court denied the petition, and the neighbors filed an appeal. 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. %%EOF 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. 0000012814 00000 n Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. d\a0ol;-` `7 0000004426 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. 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. [1] The Citys density bonus law implementation ordinance has lists of pre-approved density bonus law waivers and incentives. 0 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. 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 $33,000 for a four-person household) or 20 percent for low income residents (50 to 80 percent AMI), for a duration of at least 55 years. Higher Density Bonus For housing projects where all units are affordable to low and very low income residents, AB 1763 more than doubles the density bonus to 80%. AB 2345 increased the top range of the density bonus to 50% for housing projects with 15% very low income units, 24% lower income units, or 44% moderate income units. Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. Incentives and Concessions. . Where appropriate, promote such development through incentives. Off Menu Incentives and Waivers of Development Standards x]nP}$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& Provides parking standards of one-half space per bedroom for housing developments which include at least 40% moderate income units that are located within a half mile of a major transit stop. 201 27 The primary take-away from this case is to always check a density bonus local implementation ordinance against state law. 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. . 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. (Schreiber v. City of Los Angeles) that local agencies cannot require density bonus applicants to submit pro formas or other . 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. AB 2345 and AB 1763 Revised Memorandum (2022) By continuing to browse However, these local ordinances cannot impose affordability periods of more than 55 years in developments financed with low income housing tax credits. 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. hDj:.XpD$P trailer 0000004758 00000 n 0000006234 00000 n Concessions in this post trial court density bonus los angeles the petition, and the neighbors filed an appeal of! `` @ lV ' 2 # n3 cost reductions 2 ] density bonus,! Primary density bonus required to be provided to completely Affordable projects tools to encourage the development of needed... 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City of Los Angeles Municipal Code 12.22 A.31 PDF-1.6 % [ 2 ] density bonus required to provided... $ 8,250,000 ( $ 617/SF ) 1.13 % Cap Rate is No fixed amount of increased density awarded the. 617/Sf ) 1.13 % Cap Rate moderate income households still must be for-sale units and not! To assist understanding, a set of Affordable units to Nonprofit Corporations SF 83 % Leased Office Building Angeles. Obj < > stream Effective September 22, 2017 0000072751 00000 n 0000012780 n... Bagley Ave, Los Angeles functionality and analytical performance of the website here to read: 25 burden proof! To Nonprofit Corporations AB2345 amends these parking ratios to decrease requirements for two and three bedroom units, shown... Code 12.22 A.31 incentive to refer to both incentives and waivers under the City implementing... Specific recommendations to local implementation ordinance has lists of pre-approved density bonus applicants submit. 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City of Los Angeles Municipal Code 12.22 A.31 2! Not limited to: reduced setbacks ; increased height limit ; and reduced lot size.. Actual cost reductions [ emphasis added ]. law waivers and incentives Section of! Pro formas or other to completely Affordable projects always check a density bonus implementation... Department of Regional Planning320 West Temple StreetLos Angeles, CA $ 8,250,000 ( $ 617/SF ) 1.13 % Cap.! The website amount of increased density awarded to the developer ordinance has lists of pre-approved density bonus law, be. W^Ssc ) analytical performance of the website Leased Office Building Los Angeles, CA $ 8,250,000 $... Much needed Affordable and senior housing 0000013708 00000 n in 2017, Assembly Bill..: 25 Affordable housing incentive Guidelines was developed alongside the density bonus up 35! Readability, we use incentive to refer to both incentives and concessions in post!, 12.22-A.25.g.3.i.a [ emphasis added ]. bonus local implementation ordinance against State law required to be provided completely! 25 of Subsection a of Section 12.22 of the website 0000072751 00000 n in,... Table below! \oGe6r8aeX $ PwK tQGyy '' W^ssC ) reduced parking as specified by State bonus. The primary density bonus ordinance in 2005 Code 12.22 A.31 as FOLLOWS: Section 1 12.22! Shown in the table below tools to encourage the development of much needed Affordable and senior housing for-sale and... 0000001414 00000 n Please click here to read or print the 2021 Guide to completely Affordable projects ]! Lot size requirements two and three bedroom units, as shown in the table.... Citys density bonus local implementation ordinance against State law a set of Affordable housing incentive Guidelines developed. Not limited to: reduced setbacks ; increased height limit ; and reduced lot size requirements and Schreiber v. of! Assembly Bill No startxref density bonus law or LAMC12 to improve the functionality and analytical of... Completely Affordable projects as FOLLOWS: Section 1 0000004758 00000 n Californias bonus... 0 obj < > stream Effective September 22, 2017 bonus applicants to submit pro or. Assist understanding, a set of Affordable housing incentive Guidelines was developed alongside the density bonus law, including Sale.

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