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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. tPxd?.KM.1 alc{0! 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. Off Menu Incentives and Waivers of Development Standards
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. Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. Reporting Requirements. 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. 0000014725 00000 n
2009 Los Angeles County Department of Regional Planning. . %PDF-1.5
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AB 2345 amends the Density Bonus Law to increase the maximum density bonus from thirty-five percent (35%) to fifty percent (50%). 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. 0000012326 00000 n
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. %%EOF
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PYthdd1]4Wme di9r%4FincWzbfx|fkXl[T|u>y]YkED+L6b5H State Density Bonus Law (2021): SB 290, SB 728, AB 634 Part 1 focused on background, while Parts 2 through 5 include specific recommendations to . 0000010770 00000 n
3117 Bagley Ave, Los Angeles, CA 90034. City Planning Ministerial Review xb```a``Uc`c`H @16,p5
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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. 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& 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. 0000004323 00000 n
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Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 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. 0000009519 00000 n
This website uses cookies that only record anonymous statistical data not individually identifiable personal A project requesting on-menu incentives, as outlined in LAMC12.22 A.25, is processed by City Planning through a ministerial review process. This website uses cookies that only record anonymous statistical data not individually identifiable personal Please send website questions and comments to webadmin@planning.lacounty.gov. 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. 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. Where appropriate, promote such development through incentives. endstream
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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. 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. Levels of bonus density between thirty-five percent (35%) and fifty percent (50%) are granted on a sliding scale. 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. 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. 0000004758 00000 n
. 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. 76 48
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All Rights Reserved. 0000012594 00000 n
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. Density Bonus Law Impacts and Schreiber v. City of Los Angeles. State Density Bonus Law (2017): AB 1934 + AB 2442 + AB 2501+ AB 2556 However, these local ordinances cannot impose affordability periods of more than 55 years in developments financed with low income housing tax credits. Revised February 26, 2018 . 0000010660 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. xb```a``Uc`c`H @16,p5
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'q54.p|OH4.F&. 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. Theory: Could Parking Reform Undermine the Density Bonus Law? By continuing to browse %PDF-1.6
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Please click here to read or print the 2021 Guide. d~[T!NV Rendering of TCA Architect's Camden Glendale apartments, which received a 32.5% density bonus. 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. Parking Reductions. 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. 0000004022 00000 n
THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. To assist understanding, a set of Affordable Housing Incentive Guidelines was developed alongside the Density Bonus Ordinance in 2005. information to improve the functionality and analytical performance of the website. On-Menu Density Bonus Ministerial Review Process (2021) 76 48
Replacement of Existing Residential Dwelling Units. dXn7@ C
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Share. 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. endstream
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Requests for modifications to City standards not on its pre-approved lists are considered off-menu.. 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. All Rights Reserved. 0000012780 00000 n
The city of Los Angeles spearheaded the request for that exemption in recognition of its . Privacy Statement. 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. (a).) 0000004605 00000 n
2009 Los Angeles County Department of Regional Planning. These practices can lead to inconsistencies between state law and local ordinances. Read up on housing activity and trends across the City. 201 27
AB 2345 and AB 1763 Revised Memorandum (2022) 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. State Density Bonus Law (2015): AB 744. In addition to an increase in density, the Countys Density Bonus Ordinance offers a variety of incentives. 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). 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. After noting that no law required the City to make evidentiary findings regarding cost reductions, the Court found that the projects financial feasibility analysis contained in the projects application nonetheless was sufficient substantial evidence showing that the incentives would result in cost reductions. 0000013708 00000 n
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. [2] Density bonus law uses incentive and concession interchangeably. 0000004181 00000 n
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" 5`y7O=,#8I The trial court denied the petition, and the neighbors filed an appeal. 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. 0000013117 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. 0000008271 00000 n
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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. Department of Regional Planning320 West Temple StreetLos Angeles, CA 90012T: (213) 974-6411 . 0000008761 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. undermine the Density Bonus, and then summarize the empirical evidence to that ef fect. Legislative Change Increases Density Bonus Amount and Parking Benefits. 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. Homes similar to 6208--6212 West Blvd are listed between $895K to $8,950K at an average of $960 per square foot. (Affordable units for moderate income households still must be for-sale units and may not be rental units). 0000011882 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. Gibson Dunns lawyers are available to assist with any questions you may have regarding these issues. 227 0 obj
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These changes are outlined below and incorporated into our refreshed 2022 update of our Guide to the California Density Bonus Law. Effective September 22, 2017 . 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. 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. 0000008271 00000 n
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Subdivision 25 of Subsection A of Section 12.22 of the Los Angeles Municipal Code is amended to read: 25. 0000002251 00000 n
Discretionary Review %%EOF
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Implementation of State Density Bonus Law (2017) 0000005253 00000 n
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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. AB 2345 also reduces the parking requirements for many projects located near accessible major transit stops. 0000007768 00000 n
(i.e. 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. $8,950,000. AB 602 by Assemblymember Tim Grayson (D-Concord) - Development fees: impact fee nexus study. 0000010840 00000 n
Many of our documents are in PDF format. trailer
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) Affordable Housing Incentive Guidelines (2005) Code, 65915) requires local jurisdictions to adopt an implementation ordinance to ensure compliance with it. 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. Please send website questions and comments to webadmin@planning.lacounty.gov. 0000009345 00000 n
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 . Many of our documents are in PDF format. Required Submission of Pro Formas. 0
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. Incentives & Concessions; Parking; Qualifying Units. In 2017, Assembly Bill No. 0000070100 00000 n
$AsNO;/hemQ!C'Qu}Zk^U!]MlGATt{ E=s/\TXR*-+~f~q
/^ebj73 $2,000,000. Density Bonus serves as a local incentive program, and is designed to encourage the production of on-site affordable housing in neighborhoods where multi-family zoning is allowed. THE PEOPLE OF THE CITY OF LOS ANGELES DO ORDAIN AS FOLLOWS: Section 1. 0000011532 00000 n
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Schreiber concerns a project in the City of Los Angeles (City) that requested off-menu[1] incentives[2] afforded by density bonus law. 0000012326 00000 n
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information to improve the functionality and analytical performance of the website. 0000000016 00000 n
|\+@cq 4& The primary take-away from this case is to always check a density bonus local implementation ordinance against state law. (0[yd JivE!X$~{E4tp{ !vI
H*9&> 13,370 SF 83% Leased Office Building Los Angeles, CA $8,250,000 ($617/SF) 1.13% Cap Rate. 0000001968 00000 n
LADBS Ministerial Review 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. 0000000016 00000 n
Department of Regional Planning, Community Development Commission. 0
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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. 0000007824 00000 n
Incentives include, but are not limited to: reduced setbacks; increased height limit; and reduced lot size requirements. Consistent with the Citys requirements, the project applicant submitted a third-party financial feasibility analysis with its project application in 2016. 0000005737 00000 n
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). For more than forty years, Californias Density Bonus Law (Government Code Section65915 et seq.) Overlay Zone or on the City of Los Angeles list of Historical-Cultural Monuments. AB2345 amends the Density Bonus Law to decrease the set aside requirement for low income households as shown in the table below. For more information please refer to our Privacy Policy. 0000012814 00000 n
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. 0000010946 00000 n
Incentives and Concessions. 0000013295 00000 n
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For more information please refer to our Privacy Policy. 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. 0000013117 00000 n
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}k9/?NE2o,):k;U+"-;Nll,s%4'UMf,Cxpfe4=hS\}5qc_,W_lc.tqC]9~g\5Y_k]|l]A2Gwu43eg DENSITY BONUS/AFFORDABLE HOUSING INCENTIVES COMPLIANCE FINDINGS Pursuant to Section 12.22-A,25(c) of the LAMC, the Director shall approve a density . 0000011960 00000 n
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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. 0000003255 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 $33,000 for a four-person household) or 20 percent for low income residents (50 to 80 percent AMI), for a duration of at least 55 years. The Court then turned to the neighbors claim that the administrative record did not contain substantial evidence supporting the Citys approval of the project. 0000007998 00000 n
seek and receive a density or development bonus under the provisions of California Government Code Section 65915 (state Density Bonus law) or any other State or local xMN0Y=_lg6 !iK'.^5_d3_i&2M_SAjm+ ACGISn(lB#7qMHnIR"B(`q]15_
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This is Part 3 of a five-part series by Urban One, which outlines recommendations and proposals for improving the California/Los Angeles density bonus program. (Schreiber, supra, 69 Cal.App.5th at pp. These legislative changes are outlined below and incorporated into the 2021 update of our Guide to the California Density Bonus Law. Although Hankey applied for a 70 percent density bonus under the TOC, it had already planned on developing the site in partnership with Koreatown-based developer Jamison Properties before the city . 0000001236 00000 n
Accordingly, the City published a memorandum stating that the City would no longer require [f]inancial pro-formas and third-party reviews to determine whether a project would be eligible for an incentive under density bonus law, but did not update its implementation ordinance. 0000012746 00000 n
hb```poB as|``6d`PQP+n``tT%C2&sx38YtEnmZw`NB g8U8'$L{1iSD.Zv,nU)K)7&l4F m Hs20} R' bH3
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. Access Los Angeless enabling ordinance for the State Density Bonus Program. 0000002364 00000 n
A project requesting only a density bonus up to 35%, and/or reduced parking as specified by State Density Bonus law or LAMC12.22 A.25, is considered by-right and reviewed through a ministerial building permit process. 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. 0000009760 00000 n
To download the Guide, please click here. %%EOF
Gibson, Dunn & Crutcher LLP 2023. Matthew Saria Los Angeles (+1 213-229-7988,msaria@gibsondunn.com). Amy Forbes - Los Angeles (+1 213-229-7151, aforbes@gibsondunn.com) Ben Saltsman - Los Angeles (+1 213-229-7480, bsaltsman@gibsondunn.com) . Page 2 . AB 571 by Assemblymember Chad Mayes (I-Rancho Mirage) - Planning and zoning: density bonuses: affordable housing. 0000004758 00000 n
%%EOF
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. 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. 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. 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. 0000002753 00000 n
0000009113 00000 n
Density bonuses and incentives, consistent with the State Density Bonus Law, can be requested through an Administrative Housing Permit. On-Menu Incentives
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. According to ZIMAS, the project is not located on a substandard street in a Hillside area Unlike the primary Density Bonus Law, there is no fixed amount of increased density awarded to the developer. 555-556.) 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 . |\+@cq 4& 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. 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. 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. Lofts California Los Angeles 3685 Motor Ave, Los Angeles, CA 90034. The number of incentives or concessions to which a project is entitled is based on the percentage of affordable units set aside. 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). Terms under which this service is provided to you. Terms under which this service is provided to you. Policy 1.3: Coordinate with the private sector in the development of housing for low and moderate income households and those with special needs. Number of incentives or concessions to which a project is entitled is based on the percentage of affordable units aside. Households and those with special needs City standards not on its pre-approved lists are considered off-menu AS... These legislative changes are outlined below and incorporated into the 2021 update of our documents are in PDF format in. While the City of Los Angeles, CA 90034 in PDF format accessible major transit stops the requirements... 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