All Forum Posts by: Felicia Nitu

SB 423 extends SB 35 to 2036 and expands its streamlined approval process to more mixed-income housing projects. By enforcing objective standards and broadening eligibility, it removes roadblocks that slow construction in high-need areas.

How SB 423 Speeds Up Housing Development

// Stronger Approval Requirements
· Cities must approve qualifying projects that meet objective design and zoning standards, preventing unnecessary delays.
· Discretionary reviews are eliminated, ensuring faster and more predictable approvals.

// Expanded Housing Access
· More areas, including previously restricted zones, qualify for streamlined development.
· Projects can include a mix of market-rate and affordable housing, increasing overall supply.

// Workforce & Affordability Protections
· Developers must provide prevailing wages and healthcare for larger projects, ensuring fair labor practices.
· Cities behind on housing goals must allow more affordable units to be built, addressing shortages.

What Does This Mean for Real Estate Agents?

With faster approvals and more eligible projects, agents will see increased listings, quicker transactions, and new investment opportunities. Understanding SB 423 helps agents guide clients toward high-potential properties.

SB-684 streamlines permitting by allowing eligible 2 to10 unit developments to receive ministerial approval. As long as projects meet zoning and unit requirements, developers can secure permits faster than they would for a single-family home.

More ways SB-684 benefits developers and homeowners:

// Efficiency & Speed
· Eliminates discretionary reviews that slow down approvals
· Reduces bureaucratic delays for multi-unit housing

// Predictable Approval Process
· Provides clear, objective criteria for project qualification
· Lowers risk of rejection compared to traditional permit routes

How can real estate agents and investors benefit?
Faster approvals mean more multi-unit projects hitting the market sooner, creating more inventory for agents to sell and more opportunities for investors to generate rental income or flip properties for a profit.

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Choosing between a condo and an apartment depends on what matters most to you, ownership or flexibility. Whether you're looking for long-term investment potential or a hassle-free living situation, understanding the differences can help you make the right choice.


How Condos and Apartments Compare

// Ownership vs. Renting
· Condos: You own the property and are responsible for maintenance, taxes, and HOA fees.
· Apartments: You rent from a landlord, who handles repairs and property management.

// Cost Breakdown
· Condos: Higher upfront costs with down payments, HOA fees, and long-term investment potential.
· Apartments: Lower commitment with monthly rent and a refundable security deposit.

// Flexibility vs. Responsibility
· Condos: More control over the property but requires upkeep and financial responsibility.
· Apartments: Easier to relocate, with less responsibility for maintenance and repairs.

// Amenities & Rules
· Condos: Often include upscale amenities like pools and gyms, but HOA rules apply.
· Apartments: Typically offer basic amenities, with rules set by the landlord or property management.


Condos create sales opportunities, buyers seek long-term investments, building equity over time. Apartments, on the other hand, fuel the rental market, offering agents a chance to connect clients with short-term housing. Understanding these differences helps agents guide clients toward the best option while increasing transactions and commissions.

In Long Beach, homeowners can expand vertically (adding stories) or horizontally (extending the footprint) and get permits faster under SB-423 if they add 2 or more units. This law streamlines approvals, reducing delays for multi-unit developments.

Why Expansion Matters
Adding units through vertical or horizontal expansion maximizes property value and rental potential without requiring a lot split. Homeowners in urban areas with limited space benefit from building upward, while those with larger lots can extend outward to create additional units.

// Faster Review Process
· Local agencies must process qualifying projects within a set timeframe. (60-180 days depending on the total number of units)
· Projects adding 2 or more units face fewer delays compared to standard home expansions.

// Multi-Family Zoning Advantage
· Homes in multi-family zones gain automatic eligibility for faster permitting.
· Single-family zoned properties may require additional approvals before qualifying.

// Environmental and Safety Considerations
· Projects must comply with local safety and environmental regulations.
· Expansions in areas vulnerable to sea-level rise, flood zones, earthquake-prone areas, or fire hazard zones may still face restrictions.

Under SB-684, the costs for permits can vary depending on factors like the number of lots and units being built. In California, impact fees, school fees, and in-lieu fees can exceed $150,000 per home often forcing developers to delay or cancel projects. SB-937 helps by allowing builders to defer certain impact fees until the certificate of occupancy is issued, easing financial pressure during construction.

How SB-937 Lowers Upfront Costs

// Deferred Impact Fees
· Builders can postpone school fees and certain public improvement costs until occupancy approval.

// Improved Project Feasibility
· Reduces early-stage financial burdens, making more housing projects viable.
· Helps prevent construction delays caused by high upfront costs.

// Supports Housing Development Goals
· Allows cities to advance housing production despite rising construction expenses.
· Encourages more development by improving cash flow during the building process.


How Real Estate Agents and Investors Benefit

Lower upfront costs mean more projects can move forward, increasing the supply of new homes and investment opportunities. Agents and investors who understand SB-937 can identify properties where fee deferrals improve cash flow, leading to stronger returns and expanded market potential.

In Culver City, SB-9 allows homeowners to split lots as small as 2,400 square feet, making it possible to create new housing opportunities in single-family neighborhoods. However, not every lot qualifies. The law prevents excessive subdivision by restricting who can split and how often, ensuring that newly created parcels remain practical for development.

How SB-9 Properties Work

// Minimum Lot Size & Balance
· Each new lot must be at least 1,200 square feet.
· The 2 new lots must be roughly equal in size, with neither smaller than 40% of the original lot.

// Ownership & Subdivision Limits
· A lot cannot be split again under SB-9 if it was already created through a previous urban lot split.
· The owner or anyone connected to them cannot have used an SB-9 lot split on an adjacent property.

// Development Potential
· A split lot can have up to 4 units (2 per parcel) or a duplex, plus ADUs/JADUs.


What Does This Mean for Real Estate Agents?
SB-9 creates more listings, more transactions, and more commission potential, all without needing a large lot. By educating clients on lot splits and development options, agents can position themselves as experts in a growing segment of the market.

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Ever wondered what truly separates a TIC from a condo? Understanding TIC vs. Condo Ownership just got easier! While both involve shared spaces, the way ownership works is entirely different, and it can impact your rights, control, and future flexibility.

Who Really Owns What?


// Shared Ownership, Different Rules
TIC Owners: Hold fractional shares of the entire property, but no one owns a specific unit outright. No right of survivorship. If an owner passes away, their share goes to their estate.
Condo Owners: Own their units exclusively while sharing common spaces. The HOA governs those areas and may assign exclusive rights to amenities like parking or pool.


// Differences in Control & Management
TIC: All owners collectively manage the property, often requiring group decisions on maintenance and sales.
Condo: An HOA enforces rules, collects fees, and oversees shared spaces, reducing direct owner control.


// Which One is Right for You?
TIC offers lower entry costs and flexibility but comes with shared risks and complexities. Condo ownership provides clear property rights but means living under HOA rules. Understanding these differences can help buyers make the right choice.


TICs and condos offer distinct opportunities for agents. TICs appeal to buyers seeking lower-cost entry into competitive markets, while condos attract buyers looking for property rights. Agents who understand these differences can better guide clients, increase transactions, and unlock more sales opportunities.

Why does SB-423 extend the permit process for 2+ unit projects?
San Diego City must notify California Native American tribes within 30 days of receiving a Notice of Intent. Tribes then have another 30 days to respond. If concerns about cultural resources arise, developers must work with the tribes to resolve them. If no agreement is reached, the city deems the project ineligible for SB-423, requiring alternative approval methods. This consultation process often extends permit timelines to 6 months.

Key factors behind the delay:

// Tribal Notification Process
· Adds mandatory waiting periods for responses and negotiations
· Can disqualify projects if no agreement is reached

// Extended Review Periods
· Requires additional steps beyond standard permitting
· Slows approvals but doesn’t always block development

How SB-423 Benefits Real Estate Agents and Developers
SB-423 streamlines approvals for multi-unit housing in qualifying areas by extending and modifying SB-35. Developers benefit from a ministerial approval process that bypasses discretionary reviews, while real estate agents gain more inventory to sell in high-demand markets.