The new housing law that could reshape your neighborhood

Good morning, it’s Wednesday, July 1. You can expect patchy fog in the morning, followed by sunshine (low 70s).

To both the doomsayers and the proponents, today marks a new dawn in California: The landmark (and incredibly contentious) law SB 79 goes into effect, with the potential to remake neighborhoods near transit in the years to come. 

The law, signed by Gov. Gavin Newsom last year, aims to boost housing construction in California by clearing the way for developers to build multi-family housing — including buildings up to nine stories high — around certain train, rail and bus rapid transit stations. 

It’s a dream come true for the YIMBY, or Yes In My Backyard, crowd, who say it will usher in a future of denser, more affordable and vibrant cities. 

For others it's a nightmare, heralding the destruction of neighborhoods as large-scale housing could soon loom over streets currently lined with charming bungalows or duplexes. 

Whichever version of the future you subscribe to, it won’t be coming in full force to the city of L.A. anytime soon. 

The city opted to delay the law’s full effects until 2030 by developing an alternative plan to fulfill the mandated density requirements. The city recently passed the new Low-Rise Ordinance, a locally tailored approach to boosting density. Under the ordinance, there are about 57 zones around transit stations where property owners will now be able to develop multi-family housing rising up to four stories tall, including in some single-family neighborhoods. The city has exempted hillside fire zones, historically significant areas, and so-called “low resource” areas from this ordinance. 

WHAT DOES SB 79 DO, EXACTLY? 

Statewide, the law permits denser housing construction within the vicinity of qualifying heavy and light rail and certain high-frequency bus stops. 

It allows for the greatest density within a 200-foot radius of a qualifying transit stop, slightly less within a quarter mile, and lesser still within a half-mile. Within 200 feet of a heavy rail stop, for example, a building could be up to nine stories high; within a quarter-mile, seven stories; and within a half-mile, six. For a qualifying light rail stop, the max is eight stories within 200 feet, and progressively less as one moves out.

In smaller cities — those with less than 35,000 people, like South Pasadena or Beverly Hills — the affected radius extends only a quarter mile. 

Some cities, like Sacramento and Oakland, are directly implementing the law. Others, including Los Angeles, are using some of the law’s provisions to delay, phase-in or tailor how the density requirements are applied. 

WHAT CHANGES WILL WE SEE?

Since the law’s passage, developers and others have been scouting properties across the state to size up eligible lots. Demo crews aren’t lining up outside parcels near Metro stops quite yet though.

“Starting on July 1st, we’ll see applications coming in,” predicted Matthew Lewis, communications director for California YIMBY, which was instrumental in pushing for SB79. But other factors could limit building, including interest rates, tariffs, and inflation.

A structure running seven or more stories may not make economic or spatial sense, Lewis said, but more three-story six-plexes are likely on the horizon, he said. “You’re not going to see towers springing up all over Highland Park on single family lots.”

SO WHAT’S THE CONFLICT?

Opponents have numerous objections. Many fear the law will upend neighborhoods full of single-family homes, like parts of South Pasadena, Highland Park or Valley Village. Others believe the law's underlying assumption — that more housing supply will lead to more affordability — is flawed. Those critics say the real problem is rising inequality, not scarce housing. 

And then there are those who reject on principle the notion that the state can dictate local housing and zoning policy. As Zev Yaroslavsky, the former L.A. County supervisor, told a UCLA panel this spring, "The state has basically hijacked land use policy.... and they don't know what the hell they are doing."

After eight seasons with the Los Angeles Lakers, LeBron James has informed ESPN's Shams Charania that he will be playing his record-breaking 24th season elsewhere. Despite never being fully embraced by L.A.’s Kobe Bryant-obsessed fanbase, King James led the Lakers to the 2019-2020 championship inside the NBA Bubble in the aftermath of Bryant’s shocking death.

Other highlights of his time in L.A. include breaking the all-time career points record and becoming the first NBA player to play alongside his own son when Bronny joined the team in 2024. Sources tell Charania that the Golden State Warriors are the front-runners to sign the league's oldest active player, possibly in a reunion with Washington Wizards big man Anthony Davis, who helped James win his lone title in purple and gold.

–Pablo Goldstein

We're launching a podcast! In every episode of L.A. World, reporters and hosts Hayes Davenport and Antonia Cereijido team up with the newsroom at L.A. Material and Editor-In-Chief, Julia Turner, to walk you through the top L.A. stories you should be tracking, and deep dive into whatever's dominating the headlines (or our group chats).

Listen to the trailer and subscribe now.

Also congratulations to Julia Turner who just wrapped up recording her very last episode of Slate’s Culture Gabfest.

NON-CITIZEN VOTING: By unanimous vote on Tuesday, the L.A. City Council withdrew a ballot measure that sought to establish voting rights for noncitizens in local elections.

NINE FIGURES, ALL CASH: Orange County saw a record-setting home sale: A mansion in Laguna Beach sold for $110 million, with the secretive buyers plunking down $11,000 per square foot, The Real Deal reports. 

VACUUMED AND WAXED: Young people are finding success running mobile car detailing businesses. WSJ profiled these Gen Z and millennial entrepreneurs, including an influencer from L.A. who spotlights her car detailing biz to 1.6 million followers. 

DISNEY RETIREMENT PLANS: Bob Iger and Joshua Kushner are exploring ownership of an NBA expansion team in Las Vegas, Bloomberg reports.

PALISADES STRIKES BACK: Residents of Pacific Palisades told the L.A. Times that they oppose efforts to retry Jonathan Rinderknecht on arson-related charges. A judge last week declared a mistrial after jurors deadlocked on convicting the Uber driver of setting the 2025 blaze that led to the destructive Palisades fire. 

A SHINGLE FOR GOOP KITCHEN: Fans of cauliflower pizza crust and Andrew Huberman’s turkey chili rejoice. Gwyneth Paltrow’s Goop Kitchen may open a restaurant in L.A., Page Six reports.

HIGH WEATHER PRESSURE: In case you missed it, L.A. Material’s Anna Holmes wrote about the very particular burden faced by Angelenos with out-of-town guests: the need to deliver great weather.

For today’s peek inside our subscriber-only Discord server, @kangarooPDF offers a micro-review of Pacoima’s Wendill's Chicken House in the #i-was-here channel:

AND FINALLY… A poem to pair with your morning coffee: “How to Start Over” by Stuart Kestenbaum.

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