California Housing Policy

AB 2011

By-Right Housing on Commercial Land

AB 2011 has two by-right, CEQA-exempt paths on land zoned for office, retail or parking: 100% lower-income housing on any eligible site, or mixed-income housing on a commercial corridor or in a campus development zone. Every AB 2011 project must pay construction workers prevailing wage.

Affordable Housing and High Road Jobs Act of 2022: AB 2011 (Wicks), Stats. 2022, ch. 647; Gov. Code §§ 65912.100–65912.140, as amended, most significantly by AB 2243 (Stats. 2024, ch. 272) and AB 893 (Stats. 2025, ch. 500). In effect July 1, 2023; repealed January 1, 2033 unless extended (§ 65912.105).

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Key Benefits

Housing on Commercial Land

Housing is a use by right, with no CEQA review, on sites in a zone where office, retail or parking is a principally permitted use (Gov. Code §§ 65912.111, 65912.121).

Mixed-use has been allowed since the original 2022 law: at least two-thirds of the floor area must be residential, or half for projects with 500 or more net new homes (§ 65912.101(i); § 65589.5(h)(2)(B)). On the mixed-income path, local standards may require up to half the ground floor to be retail (§ 65912.123(j)(4)).

Mixed-income conversions of existing buildings have no density limit unless new floor area exceeds 20% of the project (§ 65912.123(b)(4)).

100% Affordable or Mixed-Income

100% affordable: every unit except managers' units goes to lower-income households, deed-restricted 55 years for rentals or 45 years for ownership (§ 65912.112).

Mixed-income: rentals set aside 8% very-low plus 5% extremely-low income, or 15% lower-income, for 55 years. For-sale projects set aside 30% moderate or 15% lower-income, for 45 years (§ 65912.122).

Lower income generally means about 80% of area median income or less. AB 2011 itself provides no funding.

Density, Height & Parking

100% affordable: density must be at least 30 units per acre in LA (§ 65912.113(b); § 65583.2(c)(3)(B)(iv)), and the State Density Bonus Law applies on top (§ 65912.114(f)).

Mixed-income, before any density bonus: the greater of local zoning or 30 units per acre (under 1 acre), 40 (1 acre or more on a corridor under 100 ft wide), 60 (1 acre or more on a corridor 100 ft or wider), or 80 within ½ mile of a major transit stop, in a very low vehicle travel area or in a campus development zone. Height is the greater of local zoning or 35 ft or 45 ft by corridor width, or 65 ft within ½ mile of a major transit stop in a city over 100,000 outside the coastal zone, or in a campus development zone. No parking may be required (§ 65912.123(b), (c), (e)).

Mixed-income projects must be built at 50% or more of that state figure (75% within ½ mile of rail or bus rapid transit), rising to 75% for projects found consistent on or after January 1, 2027 (§ 65912.123(b)(3)).

Frequently Asked Questions

Who can help me with AB 2011 development in Los Angeles?

Brick Work's $250 report covers AB 2011/AB 2243 and every other California housing law that applies to up to 10 adjoining parcels under one base zone, delivered in 2 business days. It analyzes your commercial property's affordable housing potential, ministerial approval pathways, parking reductions, and development economics under AB 2011 regulations. Sites with more than one base zone, multiple overlays, or other advanced land-use diligence take the $500 Advanced report.

What properties are eligible for AB 2011 in Los Angeles?

AB 2011 (Gov. Code §§ 65912.100–65912.140) has two paths, 100% affordable and mixed-income. Both require a site in a zone where office, retail or parking is a principally permitted use, in a city that includes part of a Census-designated urbanized area (or, if unincorporated, wholly inside one), with at least 75% of its perimeter adjoining parcels developed with urban uses. The site cannot be on or next to a site more than one-third dedicated to industrial use, must clear the environmental site exclusions in § 65913.4(a)(6), cannot require demolishing a structure on a national, state or local historic register, cannot be a mobilehome or RV park, and any neighborhood plan that applies must allow multifamily housing there. A vacant site must be outside a very high fire hazard severity zone and free of tribal cultural resources whose effects cannot be mitigated (§§ 65912.111, 65912.121). No housing may sit within 3,200 feet of a facility that actively extracts or refines oil or natural gas (§§ 65912.113(d), 65912.123(g)). The 100% affordable path adds no other site test. The mixed-income path also requires at least 50 feet of frontage on a commercial corridor (a non-freeway street with a right-of-way of 70 to 150 feet) or a site in a campus development zone (within ½ mile of a UC, CSU or community college main campus), and a site of 20 acres or less (100 acres for a regional mall). It excludes one-to-four-unit properties, vacant sites zoned for housing but not multifamily, projects that would demolish rent-restricted, rent-controlled or tenant-occupied (past 10 years) housing, and sites where tenant-occupied housing was demolished in the past 10 years (§ 65912.121). Transit is not an eligibility test: being within ½ mile of a major transit stop only raises mixed-income density and height (§ 65912.123). Housing within 500 feet of a freeway is allowed if the building has central HVAC with air intakes facing away from the freeway, MERV 16 filters and no balconies facing the freeway (§§ 65912.113(c), 65912.123(f)).

What are the affordability requirements under AB 2011?

AB 2011 has two paths. On the 100% affordable path (Gov. Code §§ 65912.110–65912.114), every unit except managers' units goes to lower-income households at an affordable cost or at a rent within California Tax Credit Allocation Committee limits, deed-restricted for 55 years for rentals and 45 years for owner-occupied homes (§ 65912.112). On the mixed-income path (§§ 65912.120–65912.124), rentals include either 8% of base units for very-low-income plus 5% for extremely-low-income households, or 15% of base units for lower-income households, affordable for 55 years. For-sale projects offer 30% of base units to moderate-income or 15% to lower-income households, affordable for 45 years (§ 65912.122(a)–(b)). In a campus development zone, qualifying students, faculty or staff can also fill these units. Lower income is defined by Health and Safety Code § 50079.5, using HUD-based income limits that are generally about 80% of area median income. If the city has its own inclusionary requirement, the project must meet the higher percentage and the deeper income level; a local rule requiring more than 15% lower-income rentals, with no very-low or extremely-low units, becomes 8% very-low plus 5% extremely-low plus the local percentage above 15% (§ 65912.122(c)). Either path can add a state density bonus, incentives, waivers and parking ratios under Gov. Code § 65915 (§§ 65912.114(f), 65912.124(f)).

Does AB 2011 require prevailing wage?

Yes. Every AB 2011 project, on either path, must meet the labor standards in Gov. Code § 65912.130. All construction workers must be paid at least the general prevailing wage. Contractors and subcontractors must be registered under Labor Code § 1725.6 and maintain payroll records under Labor Code § 1776. The developer must put these terms in its construction contracts, certify them to the city and notify the Department of Industrial Relations of all construction contracts. Projects of 50 or more units must also meet § 65912.131: contractors with construction craft employees must take part in a state-approved apprenticeship program or request apprentices from one, and must make health care expenditures at least equal to the hourly cost of a Covered California Platinum plan for a family of four. The developer must file monthly compliance reports with the city, with civil penalties for missed reports. In Los Angeles, the application includes an AB 2011 Labor Compliance Certification (form CP 4081).

How long does the City have to approve an AB 2011 project?

The City must decide in writing whether the project is consistent with AB 2011's objective standards within 60 days of submittal for 150 or fewer homes, or 90 days for more than 150. If it finds a conflict, it must list every conflicting standard in writing within that time; if it does not, the project is deemed consistent. Once the project is found consistent, the City must approve it within another 60 days (150 or fewer homes) or 90 days (more than 150). A resubmittal that responds to the City's written comments gets a 30-day review (Gov. Code §§ 65912.114(a), 65912.124(a)). Sites in the coastal zone also need a coastal development permit (§§ 65912.114(e), 65912.124(e)), and a Phase I environmental assessment is a condition of approval (§§ 65912.114(k), 65912.124(k)).

Is AB 2011 permanent? When does it expire?

No. AB 2011 was signed September 28, 2022 (Stats. 2022, ch. 647), took effect July 1, 2023, and is repealed on January 1, 2033 unless the Legislature extends it (Gov. Code § 65912.105). AB 2243 (Stats. 2024, ch. 272) amended it effective January 1, 2025, opening regional mall sites to mixed-income projects and allowing housing near freeways with specified building features; applications submitted on or before December 31, 2024 keep the earlier rules unless the developer opts in (§ 65912.106). AB 893 (Stats. 2025, ch. 500) amended it effective January 1, 2026, adding campus development zones. Mixed-income projects found consistent on or after January 1, 2027 must be built at 75% or more of the state density figure (§ 65912.123(b)(3)). AB 2118 (Stats. 2026, ch. 579), effective January 1, 2027, bars objective standards from prohibiting or limiting mixed-use on the mixed-income path.

Sources

Last reviewed October 12, 2026.

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