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ARTICLE · 03 JUNE 2026

Pending State Housing Laws Clear First Legislative Hurdle

Allen Matkins Leck Gamble Mallory & Natsis LLP
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California's 2026 legislative session has produced a wave of housing bills that passed their house of origin by the May 29 deadline, introducing significant changes to development standards, permit processing, and affordable housing requirements. These proposals range from establishing regional transit hub districts in major cities to streamlining townhome projects and expanding density bonus provisions, with final legislative approval required by August 31, 2026.

United StatesReal Estate and Construction
Caroline Guibert Chase
Caroline Guibert Chase
Jordan Wright
Jordan Wright

The following state housing bills were passed by the applicable house of origin by the May 29, 2026 legislative deadline, meaning that they will continue to move forward in the legislative process. The bills must be finally approved by the State Legislature by August 31, 2026, after which they will be routed to the Governor for approval. Future amendments are expected, and the summaries below reflect the status of the bills as of June 3, 2026.

Regional “Transit Hub” Projects in California’s Largest Cities

AB 2074 (Haney) would require Los Angeles, San Diego, San Jose, San Francisco, Sacramento, Oakland, and Long Beach to designate so-called regional transit hub districts by July 1, 2027, as specified. Qualifying housing development projects within a regional transit hub district would be subject to streamlined ministerial review and approval (i.e., no CEQA). Specified building height, FAR, and density maximums would apply. For example, at least 25% of the total area of a regional

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