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Developers of single- and multi-family density bonus projects should submit their applications now

December 5, 2014

By Neill Brower and Sheri Bonstelle

AB2222: Significant Changes to California's Density Bonus Law Occur on January 1, 2015

On January 1, 2015, California Assembly Bill 2222 (Nazarian) goes into effect and modifies the State's Density Bonus Law by establishing significant additional constraints on density bonus projects. Key measures of this bill include:


  • Mandatory replacement of all existing affordable units on a site for the density bonus to apply. Affordable units will include, among others:

  • Affordable units;

  • Rent-stabilized units;

  • Units subject to any City ordinance or policy regarding affordability; and

  • Any units owned or occupied by low- or very-low income households, even if no ordinance or policy applies.

  • Inclusion of affordable units occupied or demolished within the previous five years within the provisions above; and

  • Increasing the term of affordable housing covenants from 30 years to 55 years.

  • AB 2222 exempts your project if you submit an application or the application is processed by December 31, 2014. Therefore, a small window still exists to submit your application for a density bonus project and avoid these new provisions.

    JMBM's experts in the State's existing and proposed density bonus laws are ready to assist you.

    Continue reading "Developers of single- and multi-family density bonus projects should submit their applications now" »

    Inclusionary Housing Ordinance Withstands Facial Challenge in New California Court of Appeal Decision; California Building Industry Association v. City of San Jose

    June 17, 2013

    By Matthew Hinks

    The California legislature has declared the availability of housing for every Californian to be a matter of "vital statewide importance." Thus, the legislature has charged local governments with facilitating the provision of housing for all economic segments of the community through the implementation of "housing elements" as part of the community's general plan. The components of those housing elements, including an assessment of housing needs for all income levels, the identification of adequate housing sites, and a program that assists in the development of such housing to meet the needs of low-income households.

    San Jose's Inclusionary Housing Ordinance

    To implement the state's inclusionary housing policy, the City of San Jose (the "City") passed in 2010 an Inclusionary Housing Ordinance ("IHO"). The IHO requires multi-unit residential developments including at least 20 units to set aside 15 percent of the units for purchase at a below-market rate to households earning no more than 110 percent of the area median income. Alternatively, the developer could comply with the IHO by paying an in-lieu fee not to exceed the difference between the price of a market rate and affordable housing unit or dedicating land.

    Continue reading "Inclusionary Housing Ordinance Withstands Facial Challenge in New California Court of Appeal Decision; California Building Industry Association v. City of San Jose" »

    An Interview with the New Executive Director of BCDC: Larry Goldzband

    September 11, 2012

    By Jon Welner

    On July 20, Lawrence J. Goldzband was appointed Executive Director of the San Francisco Bay Conservation and Development Commission (BCDC).

    BCDC is a state regulatory agency created in the 1960s to ensure the environmental protection and responsible economic development of San Francisco Bay. It has permit authority over all development in the Bay and within 100 feet of the shoreline, including the development of all ports and marine facilities. In recent years, BCDC has taken a leadership role in preparing the Bay Area for the effects of sea-level rise resulting from global climate change.

    We recently sat down with Mr. Goldzband to discuss his perspective on the opportunities and challenges that lie ahead.

    Continue reading "An Interview with the New Executive Director of BCDC: Larry Goldzband" »