Community Development Department
City Planning Division
1685 Main Street – Mail Stop 28
Santa Monica, CA 90401
1 August 15, 2025
California Department of Housing & Community Development 651 Bannon Street
Sacramento, CA 95811
RE: Request for Technical Assistance for Senate Bill 9/450 Implementation Dear Housing and Community Development Staff,
Program 4.E of the City of Santa Monica’s 6th Cycle (2021-2029) Housing Element, certified by California Department of Housing and Community Development (HCD) in October of 2022, requires the City to adopt a local ordinance implementing SB 9 by establishing an administrative process without any discretionary action and including strong incentives to densify larger parcels in the R-1 zone by allowing ADUs to be constructed as allowed under statute in addition to SB 9 projects on parcels of at least 10,000 sf. This program was part of the City’s strategy to affirmatively further fair housing and was intended to allow property owners with larger parcels to construct more than the four units permitted by SB 9, thereby creating more diverse housing choices in some of the City’s highest opportunity areas and increasing equitable access to all neighborhoods through small increases to lower barriers for housing. On April 11, 2023, the City adopted Santa Monica Municipal Code (SMMC) Section 9.31.125, which implemented the provisions of SB 9 and Program 4.E. However, at that time, many provisions in SB 9 remained unclear regarding local implementation.
In October 2024, HCD provided some clarity and issued the City of Orinda Technical Assistance Letter (City of Orinda SB 9 Implementation – Letter of Technical Assistance) regarding the inability of LLCs to qualify for the Owner Occupancy requirement of SB 9.
On January 2025, SB 450, which amends provisions of SB 9, became effective.
Accordingly, on January 28, 2025, “in order to facilitate diverse housing choices in the City’s highest opportunity areas,” in conjunction with necessary updates arising out of SB 450, the City Council gave direction to staff to “return with an ordinance to amend the City’s regulations governing ministerial approval for certain lot splits and duplexes on parcels zoned for single-unit residential by: (1) removing the owner-occupancy requirement for lot splits and duplexes and clarifying that vacant or demolished parcels, as well as lots with approved demolition permits, are eligible for lot splits and duplexes, (2) allowing one roof deck per unit, and (3) ensuring that no standard within this ordinance or the underlying zoning district shall preclude the construction of 2 units, not including ADUs, of at least 1,200 square feet each.” On May 27, 2025, the City of Santa Monica amended the provisions of SMMC 9.31.125 to codify this direction. In support of these amendments, City Council cited the City’s local conditions, notably the City’s high 2 land values and the prevalence of LLCs and other non-corporate owners in the City, to ensure project feasibility and limit liability.
On July 16, 2025, City staff had a telephone conversation with HCD staff regarding the amended SMMC Section 9.31.125. Based on that conversation, the City is seeking clarification on the following topics given the City Council’s stated desire to ensure feasibility of SB 9 projects and encourage the production of “missing middle” housing:
Vacant Parcels
• Given the recent updates in SB 450 removing demolition thresholds for projects, do projects on vacant parcels qualify for SB 9/450? If not, may the City adopt a local, more permissive expansion of SB 9/450 to specifically allow such projects on vacant parcels?
Owner Occupancy
• May the City, through a local, more permissive expansion of SB 9/450, remove the requirement that an applicant for a lot split under SB 9/450 sign an affidavit stating that the applicant intends to occupy one of the housing units as their principal residence for a minimum of three years from the date of the approval of the urban lot split? If not, may the City, through a local, more permissive, expansion of SB 9/450, permit an LLC or other non-natural party to own a property and qualify for the provisions of SB 9/450?
• If the affidavit remains required, when does the 3-year timeframe begin? If substantial renovations are required, can the occupancy period begin at issuance of the Certificate of Occupancy?
Local Implementation
• If the answer to any of the above questions is “no,” would it be HCD’s recommendation for the City to develop local regulations for lot splits and duplexes on parcels zoned for single-unit residential that are separate and apart from the statutory requirements of SB 9/450?
Thank you in advance for your assistance on these matters. Please do not hesitate to contact me if you have any questions.
Sincerely,
Jing Yeo, AICP
City Planning Manager
Attachments
• Santa Monica’s 6th Cycle (2021-2029) Housing Element – Program 4.E • SMMC Section 9.31.125 – Duplexes and Lot Splits on Parcels Zoned for SingleUnit Residential.
Chapter 5 | Implementation Programs 154
Program 4.E PROVIDE NEW HOUSING CHOICES AND AFFORDABILITY IN
HIGH OPPORTUNITY AREAS THROUGH INCENTIVES FOR
SB9 UNITS IN R1-ZONE NEIGHBORHOODS
The City shall adopt a local ordinance implementing SB9, which shall establish an administrative process without any discretionary action, and shall include strong incentives to densify larger parcels in R1-Zone neighborhoods by allowing property owners on parcels of at least 10,000 sf to add ADUs as allowed under State Law in addition to SB9 projects. This will open up the possibility for property owners to construct up to 6 units through a multi-step process and create more housing choices and affordability in some of the most affluent areas of the city in accordance with Program 4F.
Program Background:
Historic practices like redlining and restrictive covenants have perpetuated housing segregation and hindered fair access to housing. Although the City has been a leader in encouraging diverse neighborhoods through fair housing, rent control and tenant protections, predominantly homeowner neighborhoods have accommodated very little diversity in housing types reducing housing access for even middle-income households and a large percentage of Santa Monica workers. R1-zoned neighborhoods make up approximately 35% of the land area in the city but contain 13% of the housing units in the city. In comparison, commercial zoning comprises only 7% of the City’s land area but contains 15% of the housing units in the City.
SB9, also known as the California Housing Opportunity and More Efficiency (HOME) Act, is a state bill that requires cities to allow one additional residential unit onto parcels zoned for single-unit dwellings. Allowing homeowners proposing SB9 projects to also construct ADUs, particularly on larger parcels, will increase new housing opportunities in high opportunity areas and also promote place-based strategies for community revitalization by increasing housing opportunities in all areas of Santa Monica.
• Timeframe: 1 or 3 years from October 15, 2021 (statutory deadline), as applicable per Gov’t Code Sec. 65583.4
• Responsibility: City Planning Division
• Objective: Increase equitable access to all neighborhoods through small increases that may lower the barriers to housing access in high opportunity neighborhoods
11. Plan Submission. Existing dealerships shall submit plans to the Director for approval that satisfy the requirements of this subsection if such plans are not already on file.
12. Plan Verification. All dealerships shall submit a letter annually in June affirming their continued use of their test-driving, vehicle off-loading, and alley traffic control plans. Any changes to approved plans shall require approval of the Director.
13. Neighborhood Community Liaison. All dealerships shall provide contact information for an on-site dealership community liaison including name, telephone number, and email address.
Section 9.31.125 Duplexes and Lot Splits on Parcels Zoned for Single-Unit Residential
The purpose of this section is to establish standards, requirements, and procedures for the ministerial approval of duplexes and lot splits on parcels zoned for single-unit residential to meet the City’s local housing goals and needs identified in the 6th Cycle Housing Element and to facilitate diverse housing choices in the City’s highest opportunity areas by increasing guaranteed unit size, not imposing an occupancy requirement for lot splits, and allowing additional units for larger parcels.
A. Applicability
This section shall apply to parcels located in the Single-Unit Residential (R1) and Ocean Park Single-Unit Residential (OP1) zoning districts, and select parcels within Multi-Unit Residential and Ocean Park Neighborhood zoning districts limited to one single-unit dwelling based on specific limitations, including, but not limited to, density calculations and parcel size and/or dimensions. Eligible parcels under this Section include, but are not limited to, developed parcels, currently developed parcels proposing demolition, and vacant parcels. Any qualified applicant, as defined by Section 9.52.020.2010, may submit an applicant pursuant to this Section subject to all of the following:
1. Location Requirements:
a. The parcel is located in an urbanized area or urban cluster, as defined by the Census Bureau;
b. The parcel is not located within a designated historic district or does not contain a historic resource;
c. The parcel is not located on a site identified in California Government Code Section 65913.4(a)(6)(B), (C), (I), (J), (K), which includes, but is not limited to, the following:
i. Prime farmland, wetlands, land identified for conservation, land under conservation easement, or habitat for protected species; d. The parcel is not located on a site identified in California Government Code Section 65913.4(a)(6)(D), (E), (F), (G), (H), unless the development satisfies the requirements therein, which includes, but is not limited to, the following:
i. Very high fire hazard severity zone, hazardous waste site, delineated earthquake fault zone, 100-year floodplain, or regulatory floodway
2. Displacement Protections:
a. Projects shall not include alteration or demolition of any of the following types of housing:
i. Housing that is subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of moderate, low, or very low income;
ii. Rent-controlled housing or housing subject to any form of price control, including, but not limited to, units subject to the California statewide rent control law and Article XVIII of the Santa Monica Charter, the City’s rent control law;
iii. Housing that has been occupied by a tenant in the last three years; or
iv. Housing on parcels with an Ellis Act eviction in the last 15 years from date of application submittal.
B. Permitted Projects
The following project types are permitted pursuant to this Section:
1. Lot Split. A permitted parcel may be subdivided into two parcels pursuant to Section (D), below.
2. Duplex. One duplex may be established or constructed on a permitted parcel pursuant to Section (E), below.
3. Lot Split with single-unit dwelling or duplex. Single-unit dwellings and duplexes are permitted to be established in conjunction with a lot split pursuant to Sections (D) and (E), below.
C. Review Process.
1. Projects established under this Section shall be subject to a ministerial approval process as determined by the Director prior to submittal of a building permit.
2. Lot splits shall be subject to the provisions of Chapter 9.54, Land Divisions, as modified by Section 9.54.140, Special Procedures for Projects Subject to Specific State Law Provisions.
3. An application for a proposed project pursuant to this section shall be considered and approved or denied within 60 days from the date of receipt of a completed application. If the Director has not approved or denied the completed application within 60 days, the application shall be deemed approved. If the application is denied, the Director shall return in writing within 60 days from receipt of the completed application, a full set of comments to the applicant with a list of items that are defective or deficient and a description of how the application can be remedied by the applicant.
4. A project pursuant to this Section may be denied if the Building Official makes a written finding, based upon a preponderance of the evidence, that the proposed project would have a specific, adverse impact, as defined and determined in paragraph (2) of subdivision (d) of Section 65589.5, upon public health and safety for which there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact.
D. Lot Split Standards and Requirements. Parcels subdivided pursuant to this Section shall comply with the following standards and requirements:
1. Minimum Parcel Size. Parcels resulting from a permitted lot split shall be no smaller than 1,200 square feet and 40% of the original parcel size.
2. Minimum Parcel Dimensions. No minimum parcel width or depth.
3. Access. Access to a public right-of-way shall be provided for each resulting parcel.
4. Easement. Easements, as required, shall be provided for the provision of public services and facilities for each resulting parcel.
5. Subdivision Limitations.
a. The subject parcel has not been previously subdivided pursuant to this Section.
b. The subject parcel is not adjacent to another parcel that has been subdivided pursuant to this Section by the same owner or any person acting in concert with the same owner.
6. Occupancy. In order to facilitate diverse housing choices in the City’s highest opportunity areas, a qualified applicant for an urban lot split is not required to sign an affidavit stating that the applicant intends to occupy one of the housing units as their principal residence for a minimum of three years from the date of the approval of the urban lot split.
7. The City shall not require, as a condition for ministerial approval of a parcel map application for the creation of a lot split approved pursuant to this Section, the correction of nonconforming zoning conditions.
E. Development Standards and Requirements. Development established or constructed under this Section shall comply with all of the following standards and requirements. Where provisions are not specifically addressed, the standards of the underlying zoning district shall apply.
1. Land Uses. Permitted uses shall be limited to the following:
a. Single-Unit Dwelling
b. Duplex
c. Accessory Dwelling Unit
d. Junior Accessory Dwelling Unit
2. Maximum Unit Count.
a. No Lot Split. Up to four units are permitted per parcel. A duplex must be established but no more than one duplex is permitted. The four permitted units are inclusive of Accessory Dwelling Units pursuant to Section 9.31.025. b. Lot Split. Up to two units are permitted on each parcel created by a lot split. The two permitted units are inclusive of Accessory Dwelling Units and Junior Accessory Dwelling Units pursuant to Section 9.31.025, unless otherwise permitted under Section 9.31.025(I)(1)(d).
c. Parcels 10,000 SF or Greater. Notwithstanding subsection (a) and (b), above, on parcels 10,000 SF or greater, more than four units may be permitted per parcel, inclusive of Accessory Dwelling Units pursuant to Section 9.31.025.
3. Minimum Front Setback. If a lot split results in a front parcel line that is adjacent to an alley, no more than 4 feet is required.
4. Minimum Side and Rear Setbacks.
a. 4 feet, except in the following circumstances:
i. In the case of a lot split, no setback shall be required from the newly created interior parcel line for permitted projects pursuant to this Section, provided that the structures meet fire and safety standards. ii. Existing structures or structures constructed in the same location and to the same dimensions may retain nonconforming setbacks.
F. Parking. One parking space is required per unit established pursuant to this Section, except no parking is required if any of the following applies:
1. The parcel is located within one-half mile walking distance of either a highquality transit corridor, as defined in subdivision (b) of Section 21155 of the Public Resources Code, or a major transit stop, as defined in Section 21064.3 of the Public Resources Code; or
2. There is a car share vehicle located within one block of the parcel.
G. Guaranteed Units. Unless denied pursuant to (C)(4), above, and notwithstanding standards set forth within this Section or the underlying zoning district, no objective zoning, subdivision, or design standard shall have the effect of physically precluding the construction of up to two units of at least 1,500 square feet of floor area on a parcel, or in the event of a lot split pursuant to the Section, either of the resulting parcels.
I. Lease Terms. Units created under this section shall not be used for rental terms of 30 days or less.
J. Development Impact Fees.
1. Applicability of Chapter 9.64, Affordable Housing Production Program.
Permitted projects under this Section are exempt from the affordable housing fee pursuant to Chapter 9.64.
2. Applicability of Chapter 9.65, Childcare Linkage Program, Chapter 9.66, Transportation Impact Fee Program, and Chapter 9.67, Parks & Recreation Development Impact Fee Program. Fees pursuant to Chapter 9.65, Chapter 9.66, and Chapter 9.67 shall be required for units created under this Section.
Section 9.31.140 General Markets in Residential Districts.