Gavin Newsom signs law allowing denser housing near major public transit stops

California Governor Gavin Newsom
California Governor Gavin Newsom - National Governors Association
0Comments

Governor Gavin Newsom has signed Senate Bill 79, a measure that will allow for more apartment buildings to be constructed near major public transit stops in California’s largest metropolitan areas. The new law overrides local zoning restrictions and permits taller buildings—up to nine stories close to transit hubs and up to four stories farther out—within half a mile of key rail, subway, and bus rapid transit stations.

“The world looks to California for leadership — it’s time to build modern, connected communities that fulfill California’s promise, meeting the needs of today and the next generation,” Governor Newsom stated upon signing the bill.

This legislation is part of a broader set of housing policy changes enacted this year. Newsom’s approval signals continued support for the “Yes In My Backyard” (YIMBY) movement, which advocates for increased housing development as a response to the state’s ongoing housing shortage. Earlier this summer, Newsom also signed YIMBY-backed legislation that exempts most urban apartment projects from certain environmental reviews. At that time he remarked, “Go YIMBYs.”

The author of SB 79, Senator Scott Wiener of San Francisco, has been working on similar policies since 2018 with backing from California YIMBY. This version passed both legislative chambers by narrow margins after multiple attempts over several years.

“In California we talk a lot about where we don’t want to build homes, but rarely do we talk about where we do—until now,” Wiener said in a statement. “SB 79 unwinds decades of overly restrictive policies that have driven housing costs to astronomical levels, forcing millions of people away from jobs and transit and into long commutes from the suburbs or out of the state entirely. It has been a long road to tackling these decades-old problems, but today’s signing marks a new day for affordable housing in California.”

Not all responses have been positive. Local governments and neighborhood groups—especially in Southern California—have voiced concerns about reduced local control over planning decisions. Los Angeles Mayor Karen Bass argued last month that SB 79 would “erode local control, diminish community input on planning and zoning, and disproportionately impact low-resource neighborhoods.” Some homeowner groups worry about changes to suburban neighborhoods’ character.

The final version of SB 79 applies only to eight highly urbanized counties: Los Angeles, San Diego, Orange, Santa Clara, Alameda, Sacramento, San Francisco and San Mateo. It covers specific transportation stops such as train stations and high-frequency bus routes with dedicated lanes. The law includes provisions allowing local governments alternative compliance options based on their own programs and requires some units built under its terms be offered at below-market rents. Implementation will be delayed in certain lower-income neighborhoods.

Despite being scaled back through amendments compared to earlier proposals this year, supporters describe SB 79 as one of the most significant changes to statewide zoning rules in recent history.

“This is the most transformative housing legislation that’s ever been signed into law by any governor,” said Matthew Lewis from California YIMBY. “Gov. Newsom has cemented his legacy as a courageous leader on housing.”

Newsom also approved other bills intended to speed up construction processes for accessory dwelling units (ADUs), simplify development procedures, and permit developers to use third-party plan checkers instead of city staff.

While these legal changes are substantial steps toward addressing housing shortages in California cities—including efforts focused on increasing density around transit corridors—their actual impact may depend on broader economic factors such as interest rates and labor market conditions. Ben Metcalf from UC Berkeley’s Terner Center for Housing Innovation noted that while regulatory barriers are being lowered now, construction activity may not increase significantly until costs decline or financing becomes more accessible.

Newsom initially aimed for an additional 3.5 million new homes during his tenure but later revised this target down; current projections suggest the state may fall short even halfway toward those goals due to recent slowdowns in building permits.

Debate over SB 79 attracted widespread attention beyond typical legislative circles—with advocacy campaigns urging both support and opposition—and was even mentioned during an online livestream featuring Governor Newsom.



Related

Patti Poppe, Chief Executive Officer at Pacific Gas and Electric Company (PG&E)

PG&E partners with Nissan on vehicle-to-grid demonstration at Redwood Coast Airport Microgrid

Pacific Gas and Electric Company (PG&E), Nissan, Fermata Energy, and the Schatz Energy Research Center at Cal Poly Humboldt have launched a demonstration project in California to test vehicle-to-grid technology.

Joseph B. Edlow, Director, U.S. Citizenship and Immigration Services

How many H-1B petitions approved for employers classified under the Educational Services industry in Fresno Business Daily publication area during 2024?

Of the 16 H-1B petitions filed by an employer classified under the Educational Services industry located across Fresno Business Daily publication area 15 were approved in 2024, as per data provided by the U.S. Citizenship and Immigration Services via the H-1B Employer Data Hub.

Patti Poppe, Chief Executive Officer at Pacific Gas and Electric Company (PG&E)

Chelle Izzi appointed chief commercial officer at Pacific Gas and Electric Company

Pacific Gas and Electric Company (PG&E) has appointed Chelle Izzi as its Chief Commercial Officer, a newly created position.

Trending

The Weekly Newsletter

Sign-up for the Weekly Newsletter from Fresno Business Daily.