Governor Newsom signed a new batch of housing bills on September 29, 2026. Starting in 2027, these laws change how homeowners and small developers build across California. If you’re in Los Angeles County, Orange County, San Bernardino County, or Riverside County — thinking about an ADU, a lot split, or a small townhome project in cities like West Covina, Los Angeles, Anaheim, San Bernardino, Riverside, Ontario, or Pomona — this affects you. Don’t wait until 2027 deadlines and new fee schedules hit. Review the rules now.
California’s been passing housing laws almost every year since 2021. The housing shortage isn’t going away, and Sacramento keeps responding. This year’s bills, signed September 29, 2026, follow that same pattern. We pulled the key changes from the Governor’s office and the official bill texts on leginfo.legislature.ca.gov. Here’s what matters:
These changes do not remove every local rule. Cities can still apply objective zoning standards, such as setbacks, height limits, and parking ratios, as long as those standards are applied evenly. Projects that do not meet a city’s objective standards may still need a discretionary review. For a general overview of how state and local rules interact with property transactions and construction projects, see TEZ Law Firm’s real estate and construction practice page.
What You Should Do Now
- Check your city’s current ADU fee schedule. Compare it to the new state fee limits once local ordinances are updated, since not every city will adjust fees on January 1, 2027.
- Review your project against AB 1751’s 150-unit ministerial threshold. If your project qualifies, confirm which objective standards your city applies, since those standards decide whether you are entitled to ministerial approval.
- Recalculate your density bonus eligibility. If your project includes affordable units, ask your architect or land use consultant to re-run the numbers under the expanded Density Bonus Law benefits.
- Track your subdivision map deadlines. If you have a pending tentative map, confirm the new extended timeline with your city’s planning department so you do not let an old deadline lapse by mistake.
- Ask about CEQA exemption eligibility early. If your infill project is near transit, find out whether it can qualify for the new height exemption before you spend money on an environmental review that may no longer be required.
- Document everything in writing. Keep copies of city correspondence, fee calculations, and map approvals, since these laws are new and disputes over interpretation are likely in the first year.
How TEZ Law Firm Can Help
TEZ Law Firm assists homeowners, families, and small developers in Los Angeles, Orange, San Bernardino, and Riverside Counties with reviewing project applications, lease and purchase agreements, lot-split transactions, and disputes with cities or neighbors over approvals under the new housing laws. The firm can also help property owners who face landlord-tenant or business disputes connected to a development project, through its business litigation practice. Consultations are available in English, Mandarin, and Shanghainese at the firm’s West Covina, City of Industry, and Newport Beach offices.
Frequently Asked Questions
When do the 2027 housing laws take effect?
Most provisions, including the AB 1751 ministerial townhome approval process and the lower ADU fee rules, are set to take effect on January 1, 2027. Some provisions may have different effective dates, so property owners should confirm exact dates with their city planning department and with the official bill text on leginfo.legislature.ca.gov.
Does AB 1751 mean my townhome project will be automatically approved?
No. AB 1751 requires a ministerial review process for qualifying townhome projects of up to 150 units, which means city staff check the project against objective standards instead of holding a discretionary hearing. A project that does not meet those objective standards can still be denied or sent back for revisions.
Will every California city lower its ADU fees on the same date?
Not necessarily. Cities and utility providers generally need time to update their local fee schedules to match the new state limits. Property owners should ask their local building department whether the updated fee schedule is in effect before submitting an ADU application.
How does the new CEQA height exemption work?
The new exemption can remove the requirement for environmental review of building height for certain infill housing projects that meet state density and location standards, such as proximity to transit. It does not exempt a project from every CEQA requirement, so other aspects of a project may still need review.
What happens if my tentative subdivision map is about to expire?
The new law extends certain Subdivision Map Act deadlines for recording a final map after tentative map approval. Property owners with a pending map should check with their city or county recorder to confirm how the extension applies to their specific project before the original deadline passes.
The 2027 housing law changes create new opportunities, and new questions, for property owners and small developers across Los Angeles, Orange, San Bernardino, and Riverside Counties. If you are planning an ADU, a townhome project, or a lot split, JJ Zhang, managing attorney at TEZ Law Firm (California Bar #326666), and the firm’s real estate team can review your situation and explain how these new rules may apply to your property. Contact TEZ Law Firm today to schedule a consultation at one of its Southern California offices.
This article is general information, not legal advice, and reading it does not create an attorney-client relationship. Laws and agency practices change; contact TEZ Law Firm (West Covina, California) at 626-888-6856 or [email protected] about your situation. Prior results do not guarantee a similar outcome.