Planning and zoning: housing development projects: urban lot splits: subdivisions: 2025 Eaton Wildfire: Altadena.

The start date of the moratorium on new townhome development applications in ZIP Codes 91001 and 91003 (Altadena, affected by the Eaton Fire) was changed from January 1, 2025 to January 1, 2027. The end date remains January 7, 2030.

A new sunset provision (subdivision (i) of Section 65852.28) was added stating the section remains in effect only until January 1, 2030, and is repealed as of that date.

A new Section 1 was added with legislative findings declaring that the bill creates a moratorium on submitting new townhome development applications under the Starter Home Revitalization Act of 2021 on sites impacted by the Eaton Fire in ZIP Codes 91001 and 91003, that it applies only prospectively, and that pre-moratorium applications retain all rights under the Starter Home Revitalization Act.

The exception for pre-moratorium applications in Section 65852.28(h)(2)(A) was expanded to cover both 'development application or preliminary application' (previously only 'preliminary application') submitted prior to January 1, 2027, and now requires submission before October 1, 2026 with additional conditions: the applicant must submit a complete development application within 180 days after October 1, 2026, has 90 days to cure deficiencies if identified by the agency, and agencies are prohibited from taking action that would preclude or impair such applications.

The bill was converted from a regular bill requiring a majority vote to an urgency statute requiring a two-thirds vote of each house, meaning it takes effect immediately upon the governor's signature rather than on January 1 of the following year.

The bill no longer amends Government Code Sections 65852.21 (starter home/townhome ministerial approval) or 66411.7 (urban lot split). Only Sections 65852.28 and 66499.41 remain in scope.

A new Section 1 declares legislative intent that the bill creates a moratorium on new townhome development applications under the Starter Home Revitalization Act of 2021 in Eaton Fire-affected areas and applies only prospectively, protecting pre-moratorium applications.

The moratorium on new housing development applications in ZIP Codes 91001 and 91003 now begins October 1, 2026 instead of January 1, 2027, moving the start date approximately three months earlier.

New Sections 2.1 and 2.2 provide alternative versions of Section 65852.28 that would be operative only if this bill and either or both AB 2601 and SB 1116 are enacted, with the last-enacted bill controlling which version applies.

A new concurrent processing provision allows housing development applications under Section 65852.28 to be processed concurrently with parcel map applications under Section 66499.41, and permits local agencies to condition building permits on obtaining approval of a parcel map.

In the last-enacted version (SEC. 2.2), height limits are clarified to apply exclusively to physical building height and shall not restrict the number of floors.

In the last-enacted version, a new prohibition prevents local agencies from imposing standards that physically preclude development of at least as many units as the maximum number of parcels allowed under Section 66499.41, or that preclude additional units or floor area permitted by uniform zone standards.

In the last-enacted version, a new prohibition prevents front setbacks greater than 10 feet or internal setbacks between newly created parcels (except as required by the California Building Standards Code).

In the last-enacted version, a new blanket floor area ratio minimum of 1.25 is added as a separate prohibition beyond the existing tiered standards (1.0 for 3-7 units, 1.25 for 8-10 units).

Creates a geographic moratorium suspending ministerial approval requirements for housing development projects in ZIP Codes 91001 and 91003 (Altadena) for applications submitted on or after October 1, 2026

Provides an exception for pre-moratorium applications: applicants who submitted a development or preliminary application before October 1, 2026 have 180 days to submit a complete application, plus 90 days to cure deficiencies if the agency identifies missing information

Provides an exception for 100% affordable housing projects where all units meet state affordability definitions, are subject to deed restrictions (55 years rental, 45 years owner-occupied), and are developed by a community land trust, qualified nonprofit corporation, or nonprofit housing sponsor

Sets a sunset date of January 1, 2030, after which the section is repealed and the standard ministerial approval framework resumes

Includes conditional sections (SEC 2.1, 2.2, 2.3) that incorporate amendments proposed by companion bills AB 2601 and SB 1116, operative only if those bills are also enacted and SB 1090 is enacted last

Prohibits local agencies from taking action that would preclude or impair a development proponent who submitted an application before October 1, 2026, from submitting a complete application under the exception provision

New carve-out suspends ministerial approval requirements for housing developments (up to 2 units), urban lot splits, and small subdivisions (up to 10 units/parcels) in ZIP Codes 91001 and 91003 for applications submitted on or after January 1, 2027 and before January 7, 2030. This applies across four Government Code sections: 65852.21, 65852.28, 66411.7, and 66499.41.

Legislative findings and declarations added regarding the necessity of a special statute for the unincorporated area known as Altadena in Los Angeles County, tied to the 2025 Eaton Wildfire.

Vested rights exception: the Altadena carve-out does not apply to applications where the applicant's property rights have already vested, meaning those projects can still proceed under ministerial review.

Bill restructured: the original first section (adding Chapter 4 to the Civil Code for institutional investor purchase offer restrictions) is replaced with amendments to Government Code sections. The institutional investor provisions appear to have been moved to a later section in the bill (beyond the visible diff).

Assembly Member Harabedian added as principal coauthor, reflecting the expanded land-use scope of the bill.

Removed a new Civil Code chapter (Section 860 et seq.) that would have banned entities owning 75 or more single-family properties from making unsolicited offers to purchase real property in areas affected by a wildfire disaster with a declared state of emergency. The ban would have lasted 5 years from the date of the proclamation. This was a consumer protection measure targeting potential predatory purchasing after disasters like the Eaton Fire.

In Section 65852.21(m)(1), the date on which the ministerial approval requirement stops applying to housing developments in ZIP Codes 91001 and 91003 (Altadena) was changed from January 1, 2027 to January 1, 2025. This means local agencies regain full discretionary review authority over rebuilding in the Eaton Fire area two years earlier than previously set.

In Section 65852.28(h)(1), the same date change was made for housing development projects on subdivided lots in ZIP Codes 91001 and 91003, moving the exemption start from January 1, 2027 to January 1, 2025.

Added a new definition of 'unsolicited offer to purchase' specifying it means an offer made by text, email, phone, mail, or other communication, unless the owner has publicly indicated willingness to sell through an MLS listing, for-sale sign, or print/public advertisement.

Removed a separate section stating the Legislature's intent to enact legislation relating to housing in disaster impacted areas, and removed references to existing housing law (HCD, Multifamily Housing Program, Planning and Zoning Law, housing elements) from the digest.

Restructured Section 860 subdivisions: moved definitions into subdivision (a), moved the prohibition and five-year duration into subdivision (b), keeping severability in (c).

Broadened the severability clause from covering only 'subdivision (a)' to covering 'subdivision (a), (b), or the application of the provision,' making it harder for a court to invalidate the entire section if one part is struck down.

Added new Chapter 4 (Section 860) to the Civil Code creating an operative prohibition on unsolicited purchase offers in wildfire disaster areas. The introduced version contained only a non-binding statement of legislative intent with no enforceable provisions.

Defined 'institutional investor' as any individual or entity that owns, directly or indirectly, 75 or more single-family properties with respect to any taxable year.

Prohibited institutional investors from making unsolicited offers to purchase real property (including lots, parcels, or homes) located in areas affected by a wildfire disaster for which a state of emergency has been proclaimed by the Governor or the President.

Set a five-year prohibition period commencing on the date the state of emergency is proclaimed for the wildfire disaster.

Added a severability clause stating that if any part of the prohibition is held invalid, the remainder shall continue in effect.