As the 2026 legislative session comes to a close, California has taken another step forward in addressing its housing crisis. Following a busy two-year session, lawmakers advanced a wide range of housing measures aimed at streamlining development, expanding housing opportunities, and reducing barriers to construction. Among the bills signed into law were two measures sponsored by CCAH (AB 2089 & SB 677), reflecting the organization’s continued leadership in advancing affordable housing solutions. From strengthening the Density Bonus Law to expanding opportunities for factory-built housing, this year’s legislative package delivered meaningful reforms across the housing landscape.

Homeownership & Starter Homes

AB 1751 – Missing Middle Townhome Ownership Act

AB 1751 establishes a new ministerial approval pathway for qualifying townhome developments, allowing projects to bypass discretionary approvals and CEQA review. The bill is intended to increase for-sale housing opportunities and expand access to “missing middle” housing types for California families.

SB 1116 – Strengthening the Starter Home Revitalization Act

SB 1116 expands eligibility for starter home projects by allowing more sites to qualify and removing regulatory barriers that limit small-lot homeownership developments. The law is designed to increase the production of attainable, entry-level homes throughout California.

AB 939 – Affordable Homeownership Preservation

AB 939 creates a new mechanism for nonprofit organizations to acquire and preserve affordable ownership units developed through Density Bonus Law projects. The bill helps maintain long-term affordability while allowing homeowners to build equity.

Housing Streamlining & Permitting Reform

AB 1621 – Faster Permit Processing

AB 1621 limits excessive plan-check cycles and shortens local review timelines for building permits. By reducing post-entitlement delays, the bill aims to move approved housing projects into construction more quickly.

SB 1169 – Tentative Map Extensions

SB 1169 doubles the life of approved tentative subdivision maps from 24 to 48 months. This provides developers with greater certainty and helps projects survive challenging financing and market conditions.

SB 1014 – Infrastructure Cost Transparency

SB 1014 requires local governments to provide applicants with earlier disclosure of infrastructure requirements and associated costs. Greater transparency is expected to reduce surprises that can derail housing developments late in the approval process.

Affordable Housing & Density Bonus Reforms

AB 2433 – Density Bonus Law Expansion

AB 2433 strengthens California’s Density Bonus Law by providing additional incentives and concessions for projects that include affordable housing. The legislation also clarifies that density bonus benefits are ministerial and not subject to discretionary review.

AB 2480 – Student Housing Density Bonuses

AB 2480 expands density bonus incentives for student housing developments that provide affordable units. The goal is to increase the supply of housing available to lower-income college students.

Factory-Built & Modular Housing

AB 1815 – Factory-Built Housing Standards Reform

AB 1815 limits local governments’ ability to impose building standards that exceed state requirements on factory-built housing. The bill is intended to reduce barriers and accelerate adoption of modular construction methods.

AB 2058 – Streamlining Factory-Built Housing Inspections

AB 2058 modernizes inspection procedures for factory-built housing and caps certain local fees. These reforms are designed to lower costs and speed project delivery.

AB 2185 – Factory-Built Affordable Housing

AB 2185 directs state housing agencies to update program guidelines to better support factory-built affordable housing developments. The bill seeks to make innovative construction methods more accessible within publicly funded housing programs.

CEQA & Environmental Review Reform

SB 958 – Infill Housing Height Clarification

SB 958 clarifies that increased building height alone does not constitute a significant environmental impact under certain circumstances for infill projects. The bill helps facilitate higher-density housing in already urbanized areas.