All you need to know about building on properties in Belmont City under SB-9
Using SB 9 to improve a property in Belmont City is a great opportunity for homeowners to get funds to pay off a large part of their loan. If you have the resources, you can also add more units to earn rental income or create space for extended family while staying in your main home. To ensure your SB9 project goes smoothly, start by understanding the eligibility rules, how restrictions apply to your property, and which SB 9 option is the best financial choice for your property in Belmont City.
What is SB-9 and how does it apply to the properties in Belmont?
What is SB-9?
Senate Bill 9, often referred to as SB-9, is a legislative measure in California aimed at addressing the housing shortage. It permits homeowners to divide their single-family residential lots into two parcels and build up to two homes on each parcel. This effectively doubles the housing capacity on a given property. The bill eases the approval process by eliminating the need for extensive environmental reviews and discretionary approvals, provided specific conditions, such as lot size and zoning regulations, are met. However, properties in historical districts or environmentally sensitive areas are not subject to these streamlined procedures. Participation in SB-9 is optional for homeowners, depending on their property's eligibility and development objectives.
How SB-9 applies to properties in Belmont?
SB-9 applies to properties in Belmont by allowing for the subdivision of residential lots to accommodate up to two units, without requiring discretionary approval processes like public hearings. This legislation aims to streamline the development process, provided the new units comply with specified criteria such as local zoning ordinances and environmental regulations. It facilitates increased housing density and promotes affordable housing options by removing some of the traditional regulatory barriers to residential development in single-family zones.
What can homeowners build under SB-9 or Belmont’s HOME Act?
Urban Lot Split under SB-9
An Urban Lot Split involves dividing an existing legally designated single-family residential parcel into up to two separate parcels.
In this case you could have the following unit configurations:
A. Lot 1 Single-Family Dwelling (SFD)
Lot 2 Single-Family Dwelling (SFD)
B. Lot 1 Single-Family Dwelling (SFD)
Lot 2 Duplex
C. Lot 1 Duplex
Lot 2 Duplex
D. Lot 1 Single-Family Dwelling (SFD) + Single-Family Dwelling (SFD)
Lot 2 Single-Family Dwelling (SFD)
E. Lot 1 Single-Family Dwelling (SFD) + Single-Family Dwelling (SFD)
Lot 2 Single-Family Dwelling (SFD) + Single-Family Dwelling (SFD)
Two-Unit Development under SB-9
A two-unit development refers to the construction of two residential units alongside or the addition of an extra main unit to a lot that already has one existing unit.
You could have the following unit configurations:
- Single-Family Dwelling (SFD) + Single-Family Dwelling (SFD)
- Single-Family Dwelling (SFD) + Single-Family Dwelling (SFD) + ADU (max. size 1,200 sqft) or JADU (max. size 500 sqft)
- Duplex
- Duplex + ADU (max. size 1,200 sqft) or JADU (max. size 500 sqft)
- Duplex + 2 ADU (max. size 1,200 sqft)
Deciding which development option works best for you is not easy, unless you understand their cost and ROI for your property. You need an SB-9 Analysis for each option to make the best decision.
How large the new units could be and what are the lot contains?
The new units under SB-9 should be at least 800 square feet each. However, California regulations allow for flexibility in unit size beyond this minimum requirement.
If the two new SB-9 units are not built on a lot created through the urban lot split provision, existing laws allow the construction of ADUs and JADUs.
If an applicant utilizes both the SB-9 lot split and two-unit development provisions, local ordinances may restrict total development on the lot to two units, which includes ADUs and JADUs.
What are the setbacks?
The setbacks in Belmont require four-foot distances for structures at the rear or side. No setbacks are needed if the unit is built in the exact location and dimensions as an existing structure on the property.
What is the parking requirement under SB-9?
Under SB-9 in Belmont, the parking requirement allows for off-street parking of up to 1 space per unit. If the parcel is located within a half-mile walking distance of a high-quality transit corridor or major transit stop, or if there is a car share vehicle within one block of the parcel, no additional parking requirements apply.
What are the lot constrains under SB-9?
SB-9 does not specify street frontage or lot width criteria. Local authorities have the option to enforce objective frontage or lot width standards, but they should allow lot splits that result in parcels of at least 1,200 square feet each, with both parcels being about equal in size.
Can a lot qualify for an SB 9 lot split if it was previously divided before SB 9?
Yes, even if it was previously split using SB 9 authority. After utilizing SB 9, further subdivision of the lot can occur through standard procedures under the Subdivision Map Act and local subdivision ordinances, adhering to applicable minimum lot size and other requirements.
Don't leave money on the table by limiting the size of your project to a minimum! SB-9 Analysis calculates for you the maximum building area so you can get the highest return.
Who and which properties are eligible for SB-9 or HOME Act?
What are the zoning districts for properties eligible for SB-9?
Properties eligible for SB-9 are typically located in single-family residential zoning districts.
Can you disregard the environmental restrictions on the lot?
No, the City of Belmont has the authority to decline SB-9 proposals on an individual basis. This determination is based on a written assessment by the local building official indicating that the project could negatively impact public health, safety, or the environment.
Is it allowed to demolish an affordable unit?
No, demolition is generally restricted to preserve affordable housing stock, but exceptions may exist with approval from local authorities.
Is it allowed to build in High-Risk Areas?
Possibly. In Belmont, it's not allowed under SB 9 unless the site has been excluded from high or very high fire hazard severity zones by local authorities, or specific fire safety measures have been implemented according to existing building standards or state guidelines. Local regulations may specify which building standards apply or refer to state-approved fire safety measures.
Start by checking if your property is eligible for SB-9 because not all the single-family zoned lots are eligible.
What are the ownership and development limitations after completing a project using SB-9?
Are existing tenants’ rights protected?
No, similar to affordable units, existing tenants' rights typically prevent the demolition of 25% of the exterior walls without approval from local authorities.
How can you get the permits under SB-9 or HOME Act?
Projects subject to SB-9 can move forward using a ministerial permit process, avoiding discretionary review or hearings.
What does ministerial approval mean?
Ministerial approval streamlines housing development by adhering to established guidelines, bypassing discretionary procedures. This method relies on specific criteria to facilitate permit issuance without lengthy reviews or public hearings. However, even under this streamlined process, approval for lot splits can still take up to 1 and a half years in some cases.
What are objective standards?
Objective standards, such as "objective zoning criteria," "subdivision guidelines," and "design review criteria," aim to eliminate subjective decisions made by government officials. They use standardized benchmarks that developers and officials can use when submitting proposals. This approach ensures consistent and dependable evaluations of projects, providing homeowners with clear and predictable guidelines for their submissions.
What are the steps to get the permits?
Steps to obtain SB 9 permits in Belmont:
- Initiate Pre-Application Meeting:
Arrange a meeting with County staff to review project compliance and address environmental and site planning issues under SB 9.
- Submit Application:
Complete required forms and provide a tentative map that meets County's Subdivision Regulations.
- Review Application:
The planner evaluates the application for completeness and compliance with SB 9 criteria, the County's General Plan, Zoning Ordinance, and Subdivision Regulations.
- Seek Agency Feedback:
Solicit comments from relevant agencies regarding their regulations.
- Environmental Exemption:
SB 9 subdivisions are exempt from the California Environmental Quality Act (CEQA).
- Make Determination:
Staff makes a final determination on the application's compliance with SB 9 criteria and County's Subdivision Regulations; decisions are not appealable.
The permitting process is complex, and you'll need to hire professionals to draft the drawing set and to go through the process for you. SB-9 Analysis comes with referrals to local professionals that can help you complete the project.
How fast can you complete a project per SB-9?
This information outlines the different phases of the project along with their respective durations.
Feasibility Study with deciding the final scope of the project:
• Maximum of 3 days (CityStructure)
• Weeks if using other resources
Secure Financing: 2 to 3 weeks
Hiring the Team: 2 weeks
Design Process:
• Schematic Design: 1-2 months
• Permit Set / Design Development Drawing Set: 2-3 months
• Construction Drawing Set: 2-3 months
Permit Planning and Building Permits: 9 to 15 months with the possibility of extending further due to departmental backlogs
Construction:
• Lot Split only: 1 year
• Single Family House/Duplex: 1 year
• Accessory Dwelling Unit (ADU): 3 to 6 months
How much does a SB-9 project costs?
In this analysis, we'll explore two scenarios to assess anticipated expenses, property assessments, and potential profits for real estate ventures.
Scenario 1
New 4,000 sq.ft 3-Story Duplex + 1,000 sq.ft ADU
In this first scenario, we suggest constructing a three-story duplex with a combined area of 4,000 square feet, plus a 1,000-square-foot Accessory Dwelling Unit (ADU). The total estimated cost, including construction, permits, and professional fees (excluding land), is $2,193,018. The projected market value of the finished property in Belmont is around $6,280,000, resulting in a return on investment (ROI) of [($6,280,000 - $2,193,018) / $2,193,018] * 100 = 186%.
Scenario 2
Lot Split with 2 new 4,000 sq.ft 3-story Duplexes
For this second scenario, we recommend dividing the lot to build two separate three-story duplexes, each with a total area of 4,000 square feet. The estimated cost, excluding land acquisition, is $3,485,918. The projected market value for these duplexes in Belmont is $10,048,000, resulting in an ROI of 188%.
Conclusion:
Real estate projects under SB-9 in Belmont City promise impressive returns on investment, making the area a compelling choice for residential development.