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AB 945

Density Bonus Law: incentives and concessions: green housing developments.

2025-2026 Regular Session Introduced by Mike Fong

AB 945 expands California's Density Bonus Law to offer regulatory relief and concessions for green housing developments, aiming to increase sustainable residential construction and housing supply.

Referred to Coms. on H. & C.D. and L. GOV.
#densitybonuslaw #greenhousingdevelopments #incentivesandconcessions
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WeVote Research Nonpartisan
Bill Summary · AB 945

Legislative bill overview

AB 945 modifies California's Density Bonus Law to provide additional incentives and concessions for housing developments that incorporate green building features and sustainability measures. The bill aims to encourage environmentally sustainable residential construction by reducing regulatory barriers and development costs for projects meeting specified green criteria.

Why is this important

California faces simultaneous housing affordability and climate challenges. By linking density bonuses (which allow more units on less land) to green building standards, the bill attempts to address both issues—increasing housing supply while promoting energy-efficient, sustainable construction that reduces long-term environmental impact.

Potential points of contention

  • Definitional clarity: What qualifies as "green" housing is undefined in early versions; overly broad definitions could dilute environmental benefits, while overly restrictive ones limit applicability
  • Local government burden: Cities may resist expanded density bonuses as they strain infrastructure and parking, shifting costs to municipalities while developers capture financial benefits
  • Equity concerns: Green building features often increase upfront costs; unclear whether the incentives sufficiently offset these to achieve affordable housing goals, or if benefits primarily flow to market-rate projects

Compiled from official sources — confirm details with the bill’s official record.

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