Senate passes SB 92 to tighten California's density bonus law for affordable housing

July 02, 2025 | California State Assembly, House, Legislative, California


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Senate passes SB 92 to tighten California's density bonus law for affordable housing
In a recent meeting of the California State Assembly's Housing and Community Development Committee, significant discussions centered around Senate Bill 92 (SB 92), aimed at reforming the state's density bonus law to better address the ongoing affordable housing crisis. The committee's unanimous vote to advance the bill reflects a growing urgency to ensure that housing developments contribute meaningfully to the state's affordable housing supply.

SB 92 seeks to close a loophole in existing density bonus regulations that has allowed developers to exploit zoning concessions for non-residential projects, such as luxury hotels, while providing minimal affordable housing. The bill proposes that developers can only request an increase in commercial floor area up to 2.5 times what the base zone allows. This change is particularly relevant following a controversial project in Pacific Beach, where a developer was able to exceed local height limits significantly in exchange for just ten affordable housing units. Critics, including representatives from the Department of Housing and Community Development, have labeled this practice as an abuse of pro-housing laws.

Senator Blake Spear, who introduced the bill, emphasized the need for reforms that prioritize affordable housing over luxury developments, stating, "We do not have a luxury hotel room shortage in California. We have a housing shortage, particularly a shortage of lower-cost affordable housing." The bill aims to ensure that density bonus laws are not misused for non-housing-related purposes, thereby reinforcing the state's commitment to addressing its housing challenges.

Moira Topp, representing the City of San Diego, supported the bill, highlighting the city's proactive stance on housing development. She noted that while San Diego has embraced its role as a pro-housing city, the misuse of density bonus laws must be curtailed to maintain the integrity of housing initiatives.

The committee's decision to pass SB 92 is a critical step towards reforming housing policy in California. As the state grapples with a severe housing shortage, particularly for lower-income residents, the implications of this bill could lead to more meaningful contributions to affordable housing stock. The next steps will involve further discussions and potential amendments as the bill moves through the legislative process, with stakeholders closely monitoring its progress.

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