Upcoming Revisions to Density Bonus Law

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Based on community concerns and arguably its popular use, the City of Los Angeles is introducing a set of motions to revise the popular Density Bonus law. At the State level, Assembly member Adrin Nazarian introduced AB 2222, legislation that intends to increase the affordability timeframe requirement from 30 years to 55 years and will prohibit applicants from receiving a density bonus for a proposed development if the existing development has affordable units, unless the applicant will maintain such units in the proposed development.

At the City level, a motion was introduced for the Planning Department that would require more stringent enforcement of the requirement to provide a pro forma and third-party analysis of the pro forma by a financial real estate expert that is pre-qualified by the City. Also at the City level, a motion was introduced for the Housing Department for an explanation of their policies and an audit of the SB1818 units that have been constructed.

AB 2222 information: Read More >

Planning motion: Read PDF >

Housing motion: Read PDF >

Speakers at the Beverly Hills Bar Association

“Everyone likes to say, ‘the CRA is gone’. They’re definitely not gone, and actually the City is working on getting CRA’s plans and putting them under Planning’s jurisdiction, so you still need to get approval from them.”

— Daniel Ahadian, on the CRA & redevelopment plans

On May 15th, 2014, the Beverly Hills Bar Association – Real Estate Section held an event titled “Los Angeles Land Use & Zoning, From Due Diligence to Development: Real Estate Legal Due Diligence Involves (Much) More Than Just a Title Report!”. The event was a primer and in-depth discussion on what legal due diligence is essential prior to considering a new development project in and around Los Angeles, with commentary and real-life stories provided by experienced and practicing speakers.

The speakers included Daniel Ahadian of nūr Corporation and Ellia Thompson of CA Land Use Professionals, LLP. They explained the land use and environmental due diligence process with respect to dealing with the Department of Building & Safety, Planning & Zoning, Housing, the Coastal Commission, historical properties, environmental reports, soil and water qualities issues, and much, much more.

Attorneys, developers and other real estate professionals were among those in attendance seeking to understand what items to review beyond the title report and how to ensure that future exposure are vastly reduced from the project's outset.

Hollywood Community Plan Injunction and Rescission

On February 11th, 2014, the Los Angeles Superior Court Judgment ordered the City to “[r]escind, vacate and set aside all action approving the 2012 Hollywood Community Plan Update…” The unprecedented Judgment and Injunction compelled the City Council on April 2nd, 2014 to rescind the 2012 Hollywood Community Plan Update and its associated zoning ordinance (Ordinance No. 182,173). As a result of this action, the City has reverted to the 1988 Hollywood Community Plan.

What does all this mean? All the up-zoning, down-zoning and street standards modifications that were a result of the 2012 Hollywood Community Plan Update, have now been reverted to what they were before 2012. This can have profound effects on the value of your property, but it only effects those properties that were modified by the 2012 update.

Zoning Information file: Read PDF >

Bicycle Ordinance

One of the steps taken to implement the City of Los Angeles 2010 Bicycle Plan was to overhaul the City’s bicycle ordinance.

On March 13th of 2013, the new Bicycle Ordinance became effective for the City of Los Angeles, which heavily expanded the requirement for all types of development to provide bicycle parking and shower facilities for bicyclists. Architects, developers and owners have to seriously re-think their traditional design as the new bicycle parking requirements consume a sizeable portion of their project. There are short term bicycle parking requirements (e.g. retail consumers and guests of residents), as well as long-term bicycle parking requirements (e.g. employees and residents).

Additionally, the bicycle ordinance has included a clause to allow the reduction or “swapping” of automobile stalls for bicycle stalls. Since the bicycle stalls take up less square footage than the automobile stalls, previous design challenges to permit, for example, the change of use from a retail tenant to a more intensive use like a restaurant, or creating additional units inside a multi-family building, are now possible without the need for costly and lengthy entitlements. It even allows for some bicycle parking to be located right on the sidewalk!

Bicycle Ordinance: Read PDF >

Bicycle Plan: Read PDF > 

Public bike lockers outside the Metro Expo Line, Culver City

Bicycle corrals on the public sidewalk for business guests 

Parallel Design - Permitting Program

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Traditionally, only a project with fully developed plans that reflect a complete design could be submitted for plan check to the City. That means in order to have your project checked to meet the City’s zoning codes on height, setbacks, density, whether the use is allowed, etc… your team would have to develop structural plans as well. Did you forget that the R1 zoned property behind your parcel triggers transitional height and therefore shrinks your project in half? Now you have to have all your engineers redesign your project to meet that regulation you missed. That’s a costly mistake.

The City of Los Angeles Department of Building and Safety (LADBS) is implementing a new Parallel Design-Permitting Process for major project developments that will allow the design process and the permitting process to run concurrently. LADBS can now first check your project against the zoning code with just conceptual plans, and issue your list of clearances so that you can start the long process of getting your sign-offs with other Departments early in the planning phase.

Permitting Process form: Read PDF >