Introduction to SB 79
SB 79 has the potential to be a significant boon for real estate developers in California. The law, which was recently signed into effect by Governor Gavin Newsom, provides a streamlined development process for higher density residential developments near transit stops. This article will explore the implications of SB 79 on the real estate industry and what it means for developers.
How SB 79 Works
SB 79 allows for multifamily residential developments of up to nine stories and 160 units for parcels closest to a high-traffic transit stop, considered a "tier 1" station under the law. For "tier 2" stations, a maximum height of eight stories and 140 units is allowed. The Los Angeles City Planning Department has published draft maps of the blocks that could be impacted by SB 79, identifying 33 tier 1 stations and 117 tier 2 stations in the city.
Impact on Real Estate Development
The new law has the potential to significantly impact the real estate development landscape in California. By providing a streamlined development process, SB 79 could lead to an increase in higher density residential developments near transit stops. This could help to address the state’s housing shortage and provide more affordable housing options for residents.
Recent Real Estate News
In other real estate news, Steve Cohen’s Beverly Hills mansion, which is listed for $35 million, topped the list of Los Angeles County homes that went into contract last week. The New York Mets billionaire owner has been in the news recently with his proposed $8 billion casino complex plans for 50 acres of parking next to Citi Field in New York.
Steve Cohen’s Beverly Hills Move
Cohen’s home at 901 Oxford Way was purchased in 2015 from spec developer Gala Asher, making Cohen and his wife Alexandra Cohen the property’s first and only residents. The $10 million haircut on the ask underscores the challenges some are seeing in L.A.’s high-end market, where price slashing and re-lists have become common.
On Again, Off Again
The market has recently seen a few re-lists of some pricey pads, including billionaire Jeff Greene’s 53,000-square-foot estate at 9505 Lania Lane, which is back on the market for $195 million. The Winnick estate, also known as Casa Encantada, has also re-entered the market for $190 million, down from the original listing price of $250 million.
Nicki Minaj’s Debt Problem
A Holmby Hills home owned by Nicki Minaj could soon be on the market due to the rapper’s debt problems. Minaj and her husband Kenneth Petty have refused to pay a reported $503,000 award to security guard Thomas Weidenmuller, who is now asking a judge to compel the couple to sell their home to pay off the debt and address the mortgage and liens on the property.
Conclusion
In conclusion, SB 79 has the potential to be a significant boon for real estate developers in California. The law provides a streamlined development process for higher density residential developments near transit stops, which could help to address the state’s housing shortage and provide more affordable housing options for residents. While there are challenges in the high-end market, the law could lead to an increase in development activity and provide new opportunities for developers.
FAQs
- What is SB 79 and how does it impact real estate development in California?
SB 79 is a law that provides a streamlined development process for higher density residential developments near transit stops. It allows for multifamily residential developments of up to nine stories and 160 units for parcels closest to a high-traffic transit stop. - How many tier 1 and tier 2 stations are there in Los Angeles?
There are 33 tier 1 stations and 117 tier 2 stations in Los Angeles, according to the Los Angeles City Planning Department. - What is the current state of the high-end market in Los Angeles?
The high-end market in Los Angeles is experiencing challenges, with price slashing and re-lists becoming common. However, the market is still active, with several high-end properties being listed and sold in recent weeks. - What is the status of Nicki Minaj’s Holmby Hills home?
Nicki Minaj’s Holmby Hills home could soon be on the market due to the rapper’s debt problems. A security guard is asking a judge to compel Minaj and her husband to sell the home to pay off a reported $503,000 debt and address the mortgage and liens on the property.
