Doubling Density to Deliver More Affordable Housing

California’s density bonus law did too little to support creation of moderate-income housing, especially for renters. With construction costs rising and development margins tightening, projects weren’t penciling out. SPUR recognized that unlocking more density could increase project feasibility while delivering middle-income homes that are deed restricted to preserve affordability for future residents.

SPUR built on the success of San Diego’s local density bonus program, which dramatically increased both affordable and market-rate housing production. Working with Circulate San Diego and the Bay Area Council, SPUR helped adapt the San Diego model for statewide use, crafting a proposal to expand incentives for moderate-income housing in both rental and for-sale projects.

SPUR co-sponsored and helped draft Assembly Bill 1287 (Alvarez), which doubles the maximum density bonus to 100% for projects that include both low- and moderate-income deed-restricted units. SPUR also championed key reforms to make it easier for developers to build higher-density, mixed-income housing statewide.

SPUR led advocacy efforts alongside Circulate San Diego and the Bay Area Council, organizing statewide support, meeting with legislators, and testifying in policy committees. We worked closely with Assembly member David Alvarez, helping navigate the bill through negotiation and amendment. In October 2023, Governor Newsom signed the bill into law.

SPUR’s efforts have already delivered results. Following the bill’s enactment, developers across California — especially in high-cost cities like San Francisco — began revising their projects to leverage the new bonus. In San Francisco alone, at least four project sponsors have resubmitted proposals revised to double density, boosting supply and affordability in a tight housing market.