Two New State Housing Laws

This week's update reports on two new state housing laws adopted during last fall's legislative session and taking effect as of January 1, 2026: SB 808 (Expediting Judicial Review) and AB 1050 (Removing Restrictive Covenants).

SB 808

Many project applicants are familiar with local jurisdictions refusing to comply with one or more of the state housing reforms adopted in recent years, leaving an applicant with no choice but to litigate. Litigation, however, typically is not a reasonable option given the time required to prosecute the lawsuit. SB 808, introduced by State Senator Anna Caballero of Modesto and endorsed by State Attorney General Rob Bonta, aims to address this problem.

SB 808 adds new Section 1094.9 to the Code of Civil Procedure's Writ of Mandate Title. Under Section 1094.9, any action or proceeding to review denial of a permit or other entitlement for a housing development project (including a project as small as one unit) is given preference over all other civil actions before the court when setting the matter for hearing or trial and holding the hearing or trial.

The court must set a hearing for review of the petition no later than 45 calendar days from the date the petition is filed. Following the hearing, the court is required to render its decision in an "expeditious manner," but in no event may the decision be rendered later than: (1) 30 calendar days after the matter is submitted; or (2) 75 calendar days after the petition is filed, whichever is earlier.

Lastly, the new law helps with the administrative record process. The administrative record is the record of all documents and transcripts from the local agency's processing of the project application and any public hearings. If a writ petition is filed concerning the project, the administrative record becomes crucial because it is the record to which the litigation briefing refers for evidentiary support. Before SB 808 passed, preparation of the record could often take considerable time and cause significant delay. The new law authorizes a project applicant (or the Attorney General or Department of Housing and Community Development) to require the local agency (by notifying the local agency in advance) to prepare the administrative record concurrently with the local agency's proceedings. Doing so serves two purposes: (1) it helps expedite the preparation of the record and therefore the writ process overall and (2) it puts the local agency on notice of potential litigation.

AB 1050

Readers may be aware of restrictive covenants recorded against commercial properties that restrict residential uses on the property. CC&Rs, reciprocal easement agreements (REAs), or other similar covenants can be used to restrict the number, size, and/or location of the residences that may be built on the property; or restrict the number of persons or families who may reside on the property; or even prohibit residential uses completely. State law already provides a process for the removal of these barriers with respect to affordable housing projects. AB 1050, introduced by Assemblymember Nick Schultz of Burbank, extends these provisions to market-rate housing projects. This new law dovetails well with ministerial conversion programs such as AB 2011.

The inapplicability of the restrictive covenant is not automatic. The law provides for a process by which a project applicant submits the necessary paperwork to the County Recorder and the Recorder records a modification of the covenant. We can assist applicants with this process. The proposed project must otherwise comply with state housing laws. The new law does not have an impact on the project approval process.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.