Changes SB9 and SB10

Recent amendments moved C.A.R. to a support position as the amendments maintain local control and limit the access to streamlined lot split approvals to owner occupants.

Specifically, amendments adopted yesterday limit the access to the streamlined lot split process created by SB 9 to owner occupants and allow local governments to deny a lot split or 2nd unit if the alteration would negatively impact health and safety. The amendments are designed to address gentrification and assure that wealth generation opportunities resulting from the streamlined approval process remain with the homeowner and not with developers. Additionally, because homeowner’s have to remain on the parcel they have a personal vested interest in maintaining the integrity, look and feel of the community within which they live . The amendments incorporated yesterday do the following:

Mandate local governments to impose a three-year owner occupancy requirement for urban lot splits. (Exempts non-profits creating ownership opportunities, like Habitat for Humanity and Community Land Trusts, from this requirement.)

Permits local government to deny any streamlined approval that would have an adverse impact on public health, safety or the physical environment, if there is no way mitigate or avoid the adverse impact. (Applies to both lot-splits and two-unit provision.)

As there is a lot of misinformation about eligibility for a streamlined “urban lot split” under SB 9. I wanted to provide some clarifications on eligibility requirements, beyond the new amendments:

Streamlined lot split approval process beginning January 1,2022 on lots zoned for single family residential use

Property owners must be able to split the lot 60/40 (min. lot size = 1,200 sq. ft.)

MAX of 2 units per parcel (limit includes ADUs)

Parcels are NOT eligible for a streamlined “urban lot split” if the:

Parcel is historic property;

Split would displace a tenant OR was rented to a tenant within 3 year of an owner’s application;

Owner performed an Ellis Act eviction within the last 15 years; or,

Lot split requires the demolition OR alteration to a home subject to rent OR price controls OR is a deed restricted rental unit.

May not divide a parcel that was previously split or is adjoined to a parcel previously split by the same property owner.

Must be located within an urbanized area or urban cluster designated by the U.S. Census Bureau

SB 9 also permits the conversion of single-family homes to a two-unit structure, similar to a Jr. ADU under existing law. Specifically, SB 9 would permit a streamlined approval to alter a single-family residential home to a MAX of two residential units (NO additional ADUs). This limitation is more restrictive than existing law which permits up to three units per parcel statewide which = 1 SFR+ADU+jr.ADU. Furthermore, each unit MUST be a minimum of 800 sq. ft.; and the parcel must be located within an urbanized area or urban cluster designated by the U.S. Census Bureau. Parcels will not be eligible for a streamlined approval if the unit is subject to rent OR price controls OR rental deed restrictions and owners may not demolish more than 25% of existing structural walls if a tenant has occupied the unit within the last 3 years.

This week’s speaker is Raymond Gregory Mayor of Cathedral City.

Jim Franklin

GOVERNMENTAL AFFAIRS -  DIRECTOR  

jim@franklinps.com