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How to get your permits fast or the benefits of using SB-423 in Calabasas

Calabasas is dealing with a housing shortage, as property owners face challenges in upgrading their properties or building new homes. This problem mainly stems from the slow approval process and high costs. Specifically, the discretionary approval process, which relies on subjective decisions, often delays or blocks projects. SB-423 was introduced to address this housing issue. It allows property owners to use a quicker approval process, called the ministerial process, for building new homes. This law helps speed up the construction of market-rate housing, which increases the availability of affordable homes and helps ease the state’s housing crisis.

What is SB-423 and how it helps Housing Development

SB-423 is a California law aimed at making it easier to get approval for projects with two or more residential units. It speeds up the process by allowing certain projects, like those providing affordable housing for low- and middle-income residents, to go through the ministerial approval process. The law also sets clear deadlines for permits to prevent delays, offering a quicker option compared to the usual slow pace of housing development. SB-423 expands on the previous SB-35, which will expire on January 1, 2036, leaving little time for long-term projects.

How is SB-423 different from SB-35?

SB-423 differs from SB-35 by promoting developments with a mix of income levels, rather than focusing only on low-income housing. This approach helps meet the broader housing needs in California, where many projects have been limited by the emphasis on affordable housing for lower-income groups.

How does SB-423 help projects get permits fast?

SB-423 uses a simple process called ministerial approval, where decisions are based on clear, objective standards. This means government agencies approve or deny projects based on fixed rules rather than personal opinions. Projects approved this way don’t need to undergo the California Environmental Quality Act (CEQA) review. In contrast, discretionary permits involve more complex assessments, where factors like community impact and environmental concerns are considered, leading to longer approval times.

What can you build under SB-423 in Calabasas?

How many units do you need to build so that the project may qualify for SB-423?

The minimum number of units required for SB-423 projects is 2 (two).

Which mixed-use projects qualify under SB-423?

To qualify under SB-423, a building should dedicate at least two-thirds of its space to residential use.

Do the affordable unit rules apply?

For projects with 2 to 9 units, there are no requirements to include affordable units; they can all be market-rate.

However, for projects with 10 or more units, at least 10% of the units should be affordable. Rental units should be affordable to households making 50% or less of the area median income (AMI), while ownership units should be affordable to households earning 80% or less of the AMI.

What are the rights of the protected tenants?

SB-423 ensures tenants are protected by banning the demolition of certain rental units. This includes units rented in the last 10 years, rent-controlled units, and other affordable housing. It also applies to properties where rental units were torn down within the past 10 years before applying for approval under SB-423.

What are the labor protections under SB-423?

For projects with 10 or more units, SB-423 enforces labor protections, ensuring that all construction workers, including subcontractors, are paid fair wages. For projects with 50 or more units, developers should offer healthcare benefits and participate in apprenticeship programs. Additionally, if a building is over 85 feet tall and not entirely affordable, developers should hire skilled workers if they get at least three competitive bids.

Projects with 2 to 9 units are not subject to these labor protections.

Find out how many units your property can have to qualify for SB-423.

Which areas in Calabasas are eligible to get permits fast for a construction project?

Zoning districts eligible for SB-423 projects

SB-423 projects can be built in areas that are designated for residential or mixed-use development. These locations must be near existing urban spaces, with at least 75% of the site’s border connecting developed land, such as homes, businesses, or public areas.

What are the rules about historical buildings?

Buildings listed as historic, whether nationally, statewide, or locally, cannot be demolished under SB-423.

Does SB-423 allow projects built in high-risk locations?

SB-423 projects cannot be built on earthquake fault zones, high fire hazard areas, flood plains, or floodways. These projects would have to follow the local restrictions.

Are there environmental restrictions?

Projects cannot be placed on prime farmland, wetlands, hazardous waste sites, protected wildlife habitats, or conservation easements.

Are SB-423 projects allowed in coastal zones?

Construction in coastal zones is not allowed until January 1, 2025. After that, projects cannot be built on sites that are not part of an official local coastal plan, in areas at risk of rising sea levels, not designated for multi-family housing, too close to wetlands (within 100 feet), or on prime agricultural land.

How fast can you get the permits under SB-423 in Calabasas?

Projects that propose 150 units or fewer:

Eligibility Review deadline: 60 days from submittal

Approval deadline, including Design Review: 90 days from submittal

For projects with more than 150 units:

Eligibility Review deadline: 90 days from submittal

Approval deadline, including Design Review: 180 days from submittal

SB 423 approvals remain valid as long as the project receives government support for affordable housing, beyond just tax credits, and at least 50% of the units are designated as affordable.

Are the pre-submittal requirements necessary?

Yes, before submitting an SB-423 application, the project owner or developer should complete certain tasks, which are recorded by submitting a "Notice of Intent."

Tribal Notification

When the Notice of Intent is submitted, it triggers a requirement to notify any Native American tribes linked to the project area. The city has 30 days to inform the tribes, and the tribes then have 30 days to respond. If a tribe believes the project might affect their cultural resources, the developer needs to collaborate with them to address any issues. If no agreement is reached, the city will deem the project ineligible for SB-423, and the developer will need to pursue a different approval process.

Public Meeting Requirements for Certain Areas

For projects in areas with moderate or low resources, high segregation, or poverty, a public meeting should take place within 45 days after the Notice of Intent is received. This allows the public and local authorities to give feedback. In larger cities (over 250,000 people), the meeting will likely be held during a regular Planning Commission meeting. The developer should confirm attendance and review public comments before proceeding with the SB-423 application. If the local government does not arrange the meeting, the developer should organize it themselves.

Check SB-423 eligibility for your property.

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