Newsom Approves Landmark Housing Bill to Increase Density at Transit Hubs

California Governor Gavin Newsom has recently signed Senate Bill 79, aiming to tackle the state’s significant housing crisis. This landmark housing bill is set to encourage density at transit hubs throughout California, reflecting Newsom’s ongoing commitment to expanding affordable housing options.
Details of Senate Bill 79
Signed into law on Friday, the bill will take effect on July 1, 2026. It enables taller and denser housing developments near various public transit stops, promoting convenience and reducing travel times for residents.
- Residential buildings can reach up to nine stories adjacent to subway stops.
- Developments can be up to seven stories within a quarter mile of subway stations.
- Properties within a half-mile can be six stories high.
- Light rail and dedicated bus lanes can support buildings ranging from five to eight stories, depending on proximity to stops.
Benefits and Goals
Governor Newsom emphasized that housing near transit hubs provides numerous advantages, including shorter commutes and enhanced quality of life. He stated, “When we invest in housing, we’re investing in people,” highlighting the positive impact housing has on community building.
Implications of the Bill
This is the second major housing initiative Newsom has enacted this year. Earlier, in June, he signed a bill to streamline housing construction by easing regulatory restrictions established by the California Environmental Quality Act (CEQA).
Despite the advantages, the passage of SB 79 faced criticism. Some cities, notably Los Angeles, argue that the bill imposes a uniform solution that undermines local zoning control. Los Angeles Mayor Karen Bass publicly requested Newsom to veto the bill, and the city council expressed opposition to its wide-ranging effects.
Local Challenges and Adjustments
The legislation originated from the need for urgent action against California’s housing crisis, particularly in areas with at least 15 rail stations, such as Los Angeles and San Francisco. However, amendments resulted in a complex bill that some critics describe as challenging to interpret.
- The bill targets only eight counties: Los Angeles, Orange, San Diego, Alameda, San Francisco, San Mateo, Santa Clara, and Sacramento.
- Los Angeles is expected to see the most significant changes, with around 150 transit stops affected.
Deferral options allow some cities to postpone implementation until around 2030, particularly in high-risk fire areas and historically preserved neighborhoods. Additionally, the adjustments have resulted in variances in zoning within smaller cities, complicating the overall implementation process.
Future Considerations
Both residents and developers are eager for clarity regarding the bill’s effects. The Los Angeles planning department is preparing a detailed eligibility map to indicate which properties will be affected.
YIMBY groups remain optimistic about the potential for increased multi-family housing development as a solution to California’s ongoing housing challenges. As spokesperson Matt Lewis noted, the state is undergoing changes, and the focus should be on making these changes sustainable and affordable.