When Governor Gavin Newsom signed California Senate Bill 79 (SB 79) into law on October 10, pro-housing advocates across the state hailed the moment as a milestone — the long-sought “YIMBY holy grail.” The legislation, which takes effect July 1, 2026, legalizes multistory apartments near transit hubs in urban counties, even in areas long zoned exclusively for single-family homes.
Supporters say the law could be transformative for California’s chronic housing shortage, finally addressing decades of restrictive zoning policies that have constrained supply and driven prices skyward. With the state’s population growing and urban sprawl pushing residents farther from jobs and transit, SB 79 aims to reshape how cities grow — particularly in car-dependent Los Angeles.
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But even before it takes effect, the new law is stirring conflict. Local leaders and community groups argue it strips cities of control and could drastically alter neighborhood character. “Neighbors would welcome new buildings if they felt they were honoring local vernacular and more aesthetically pleasing,” said Brian Hanlon, CEO of California YIMBY, acknowledging concerns that large, boxy apartments could spark backlash.
To address design fears, Hanlon and urban planner Ed Mendoza of the Metropolitan Abundance Project are working on a new framework — a “YIMBY beautification policy” — that encourages developers to build attractive, locally inspired designs that blend with existing neighborhoods.
In sprawling, low-rise Los Angeles, SB 79 faces its biggest test. The law allows apartment buildings up to nine stories tall near rail and rapid bus stations, and an analysis by Streets for All estimates it could unlock 448,000 new housing units almost immediately — with a potential for a million more over the next decade as additional areas become eligible.
However, the potential clash between density and design looms large. The city’s famous midcentury “dingbat” apartments, rarely taller than three stories, are cultural icons. Replacing them with taller, modern structures raises emotional and aesthetic tensions.
A Hilgard Economics report poured some cold water on the YIMBY optimism, concluding that high construction costs, financing barriers, and slow permitting mean SB 79 is “unlikely to trigger a new wave of construction” in the near term. Data supports that view — residential permitting in Los Angeles is down 11% year-over-year amid high interest rates and policy uncertainty.
“I see this bill as necessary but not sufficient means to achieve housing abundance in California,” said Scott Epstein, policy director for Abundant Housing LA. “There’s a lot of other work that we have to do.”
Introduced by State Senator Scott Wiener, SB 79 is designed to override restrictive local zoning that has blocked dense development near transit — a core YIMBY goal. By legalizing higher-density housing in transit-served areas, the bill aims to help California meet its housing production targets, which Los Angeles has consistently missed.
A USC Neighborhood Center report found the city has approved far fewer units than needed to meet its 456,000-unit goal for 2021–2029, especially for low- and moderate-income residents. Currently, 75% of LA’s land remains zoned for single-family homes.
SB 79 could change that overnight, allowing up to 160 units per acre and 95-foot-tall buildings near transit stations — especially in areas like Van Nuys Boulevard and Rancho Park, where single-family homes dominate.
But the law has also sparked an unexpected ripple: community resistance to new bus rapid transit (BRT) lines that now automatically trigger upzoning. In Burbank, one proposed BRT project has already faced backlash, with residents warning it could “destroy single-family neighborhoods on either side” of the route.
Hanlon and other YIMBY advocates say zoning reform is only part of the solution. To make SB 79 work, they are pushing for faster permitting, lower fees, and state-backed loan programs to help smaller developers.
“High development fees and local taxes — like Los Angeles’ controversial Measure ULA mansion tax — have deterred many multifamily builders,” Hanlon said. In addition, slow utility hookups, outdated permitting systems, and complex financing requirements add months or even years to project timelines.
Aaron van Schaik, principal of SuperLA, suggests one innovation: pre-approved apartment designs. “The idea that everything is custom makes no sense,” he said. “A catalog of some form opens up a lot of opportunities, even for existing landowners.”
Van Schaik believes pre-approved plans could cut pre-development time dramatically, making it easier for small and mid-sized builders to participate in the city’s housing push.
Los Angeles Councilmember Nithya Raman, chair of the Housing and Homelessness Committee, has introduced a suite of reforms to streamline approvals. “We have to create an incentive structure that really rewards departments for getting to yes,” she said.
While zoning reform took years of political negotiation, changing the building code could be an even greater challenge. Advocates like Seattle architect Mike Eliason argue for single-stair design reform, which would allow smaller, family-friendly apartment buildings without costly double stairwells.
Los Angeles has already moved toward allowing single-stair buildings up to six stories, but implementation depends on state-level fire marshal approval expected in early 2026.
Other regulatory issues — from setback requirements to plumbing and material standards — also inflate costs. A Turner & Townsend study ranks LA as the sixth most expensive city in the world for construction, with hard costs exceeding $400 per square foot.
“In the United States, as buildings get denser, construction costs actually rise — something you don’t see abroad,” said Stephen Smith, director of the Center for Buildings in North America. “Here, the requirements hit hard and fast.”
For SB 79 to be implemented, agencies like the Southern California Association of Governments (SCAG) must finalize maps of qualifying transit zones. That process is ongoing, with no set timeline. Local jurisdictions will retain limited discretion to adjust density zones or apply temporary exemptions, but developers like van Schaik are waiting for the maps before launching projects.
Despite the hurdles, advocates remain optimistic. Eliason argues that alternative housing models, like community land trusts, co-ops, and social housing, should accompany private development to ensure affordability. He also emphasizes the need for better urban infrastructure planning — parks, sidewalks, schools, and transit — alongside new density.
“In the US, we simply just rezone places without thinking about how the neighborhood will change over time, and what the quality of life will be in those places,” Eliason said.
For Councilmember Raman, the stakes are clear: “It’s really a political question of how we think about LA as a city that grows, and what it means to accommodate that growth,” she said. “Growth is essential to our long-term economic resilience. If people believe in LA, they also believe in more Angelenos.”
Originally reported by Patrick Sisson in Bloomberg.
