2023 California Code › Government Code - GOV › TITLE 7 - PLANNING AND LAND USE › DIVISION 1 - PLANNING AND ZONING › CHAPTER 4.1 - Affordable Housing and High Road Jobs Act of 2022 › ARTICLE 3 - Mixed-Income Housing Developments Along Commercial Corridors › Section 65912.123.

65912.123. A development project shall not be subject to the streamlined, ministerial review process provided by Section 65912.124 unless the development project meets all of the following objective development standards:
(a) The development shall be a multifamily housing development project.
(b) The residential density for the development shall be determined as follows:
(1) In a metropolitan jurisdiction, as determined pursuant to subdivisions (d) and (e) of Section 65583.2, the residential density for the development shall meet or exceed the greater of the following:
(A) The residential density allowed on the parcel by the local government.
(B) For sites of less than one acre in size, 30 units per acre.
(C) For sites of one acre in size or greater located on a commercial corridor of less than 100 feet in width, 40 units per acre.
(D) For sites of one acre in size or greater located on a commercial corridor of 100 feet in width or greater, 60 units per acre.
(E) Notwithstanding subparagraph (B), (C), or (D), for sites within one-half mile of a major transit stop, 80 units per acre.
(2) In a jurisdiction that is not a metropolitan jurisdiction, as determined pursuant to subdivisions (d) and (e) of Section 65583.2, the residential density for the development shall meet or exceed the greater of the following:
(A) The residential density allowed on the parcel by the local government.
(B) For sites of less than one acre in size, 20 units per acre.
(C) For sites of one acre in size or greater located on a commercial corridor of less than 100 feet in width, 30 units per acre.
(D) For sites of one acre in size or greater located on a commercial corridor of 100 feet in width or greater, 50 units per acre.
(E) Notwithstanding subparagraph (B), (C), or (D), for sites within one-half mile of a major transit stop, 70 units per acre.
(c) The height limit applicable to the housing development shall be the greater of the following:
(1) The height allowed on the parcel by the local government.
(2) For sites on a commercial corridor of less than 100 feet in width, 35 feet.
(3) For sites on a commercial corridor of 100 feet in width or greater, 45 feet.
(4) Notwithstanding paragraphs (2) and (3), 65 feet for sites that meet all of the following criteria:
(A) They are within one-half mile of a major transit stop.
(B) They are within a city with a population of greater than 100,000.
(C) They are not within a coastal zone, as defined in Division 20 (commencing with Section 30000) of the Public Resources Code.
(d) The property meets the following setback standards:
(1) For the portion of the property that fronts a commercial corridor, the following shall occur:
(A) No setbacks shall be required.
(B) All parking must be set back at least 25 feet.
(C) On the ground floor, a building or buildings must abut within 10 feet of the property line for at least 80 percent of the frontage.
(2) For the portion of the property that fronts a side street, a building or buildings must abut within 10 feet of the property line for at least 60 percent of the frontage.
(3) For the portion of the property that abuts an adjoining property that also abuts the same commercial corridor as the property, no setbacks are required unless the adjoining property contains a residential use that was constructed prior to the enactment of this chapter, in which case the requirements of subparagraph (A) of paragraph (4) apply.
(4) For the portion of the property line that does not abut a commercial corridor, a side street, or an adjoining property that also abuts the same commercial corridor as the property, the following shall occur:
(A) Along property lines that abut a property that contains a residential use, the following shall occur:
(i) The ground floor of the development project shall be set back at 10 feet. The amount required to be set back may be decreased by the local government.
(ii) Starting with the second floor of the property, each subsequent floor of the development project shall be stepped back in an amount equal to seven feet multiplied by the floor number. For purposes of this paragraph, the ground floor counts as the first floor. The amount required to be stepped back may be decreased by the local government.
(B) Along property lines that abut a property that does not contain a residential use, the development shall be set back 15 feet. The amount required to be stepped back may be decreased by the local government.
(e) No parking shall be required, except that this article shall not reduce, eliminate, or preclude the enforcement of any requirement imposed on a new multifamily residential or nonresidential development to provide bicycle parking, electric vehicle supply equipment installed parking spaces, or parking spaces that are accessible to persons with disabilities that would have otherwise applied to the development if this article did not apply.
(f) (1) The development proponent shall complete a phase I environmental assessment, as defined in Section 78090 of the Health and Safety Code.
(2) If a recognized environmental condition is found, the development proponent shall undertake a preliminary endangerment assessment, as defined in Section 78095 of the Health and Safety Code, prepared by an environmental assessor to determine the existence of any release of a hazardous substance on the site and to determine the potential for exposure of future occupants to significant health hazards from any nearby property or activity.
(A) If a release of a hazardous substance is found to exist on the site, the release shall be removed, or any significant effects of the release shall be mitigated to a level of insignificance in compliance with current state and federal requirements.
(B) If a potential for exposure to significant hazards from surrounding properties or activities is found to exist, the effects of the potential exposure shall be mitigated to a level of insignificance in compliance with current state and federal requirements.
(g) None of the housing on the site is located within 500 feet of a freeway, as defined in Section 332 of the Vehicle Code.
(h) None of the housing on the site is located within 3,200 feet of a facility that actively extracts or refines oil or natural gas.
(i) (1) The development proponent shall provide written notice of the pending application to each commercial tenant on the parcel when the application is submitted.
(2) The development proponent shall provide relocation assistance to each eligible commercial tenant located on the site as follows:
(A) For a commercial tenant operating on the site for at least one year but less than five years, the relocation assistance shall be equivalent to six months’ rent.
(B) For a commercial tenant operating on the site for at least 5 years but less than 10 years, the relocation assistance shall be equivalent to nine months’ rent.
(C) For a commercial tenant operating on the site for at least 10 years but less than 15 years, the relocation assistance shall be equivalent to 12 months’ rent.
(D) For a commercial tenant operating on the site for at least 15 years but less than 20 years, the relocation assistance shall be equivalent to 15 months’ rent.
(E) For a commercial tenant operating on the site for at least 20 years, the relocation assistance shall be equivalent to 18 months’ rent.
(3) The relocation assistance shall be provided to an eligible commercial tenant upon expiration of the lease of that commercial tenant.
(4) For purposes of this subdivision, a commercial tenant is eligible for relocation assistance if the commercial tenant meets all of the following criteria:
(A) The commercial tenant is an independently owned and operated business with its principal office located in the county in which the property on the site that is leased by the commercial tenant is located.
(B) The commercial tenant’s lease expired and was not renewed by the property owner.
(C) The commercial tenant’s lease expired within the three years following the development proponent’s submission of the application for a housing development pursuant to this article.
(D) The commercial tenant employs 20 or fewer employees and has annual average gross receipts under one million dollars ($1,000,000) for the three-taxable-year period ending with the taxable year that precedes the expiration of their lease.
(E) The commercial tenant is still in operation on the site at the time of the expiration of its lease.
(5) Notwithstanding paragraph (4), for purposes of this subdivision, a commercial tenant is ineligible for relocation assistance if the commercial tenant meets both of the following criteria:
(A) The commercial tenant entered into a lease on the site after the development proponent’s submission of the application for a housing development pursuant to this article.
(B) The commercial tenant had not previously entered into a lease on the site.
(6) (A) The commercial tenant shall utilize the funds provided by the development proponent to relocate the business or for costs of a new business.
(B) Notwithstanding paragraph (2), if the commercial tenant elects not to use the funds provided as required by subparagraph (A), the development proponent shall provide only assistance equal to three months’ rent, regardless of the duration of the commercial tenant’s lease.
(7) For purposes of this subdivision, monthly rent is equal to one-twelfth of the total amount of rent paid by the commercial tenant in the last 12 months.
(j) Other objective zoning standards, objective subdivision standards, and objective design review standards as follows:
(1)  The applicable objective standards shall be those for the closest zone in the city, county, or city and county that allows multifamily residential use at the residential density determined pursuant to subdivision (b). If no zone exists that allows the residential density determined pursuant to subdivision (b), the applicable objective standards shall be those for the zone that allows the greatest density within the city, county, or city and county.
(2) The applicable objective standards shall be those in effect at the time that the development application is submitted to the local government pursuant to this article.
(3) The applicable objective standards may include a requirement that up to one-half of the ground floor of the housing development project be dedicated to retail use.
(4) For purposes of this section, “objective zoning standards,” “objective subdivision standards,” and “objective design review standards” mean standards that involve no personal or subjective judgment by a public official and are uniformly verifiable by reference to an external and uniform benchmark or criterion available and knowable by both the development applicant or proponent and the public official before submittal. These standards may be embodied in alternative objective land use specifications adopted by a city or county, and may include, but are not limited to, housing overlay zones, specific plans, inclusionary zoning ordinances, and density bonus ordinances. In the event that objective zoning, general plan, subdivision, or design review standards are mutually inconsistent, a development shall be deemed consistent with the objective zoning and subdivision standards pursuant to this subdivision if the development is consistent with the standards set forth in the general plan.
(Amended by Stats. 2023, Ch. 131, Sec. 98. (AB 1754) Effective January 1, 2024. Repealed as of January 1, 2033, pursuant to Sec. 65912.105.)