Gov. Gavin Newsom has signed another piece of legislation to promote affordable housing in California, adding Assemblymember David Alvarez‘ Middle-Income Homes Bonus Law to the tools to encourage new construction.
Assembly Bill 1287 creates a new incentive for multi-family developments to include deed-restricted units that are affordable to different income levels, particularly middle-income families, which are frequently left out of affordable housing rules.
Under the new law, a developer who dedicates 15% of units for very-low income families would receive a 50% density bonus, and then a further 50% bonus by dedicating an additional 15% of units for moderate income families.
“This is a major legislative accomplishment,” Circulate San Diego CEO Colin Parent said. “The Middle-Income Homes Bonus program will expand housing opportunities throughout California.”
“It benefits all Californians by encouraging construction of more homes at every income level,” Parent said.
Rammy Cortez of San Diego-based Rammy Urban Infill, which develops infill housing using existing density bonuses, said developers will be able to make more housing for all families as a result of the new legislation.