Why SB 1123 Matters
 
California’s housing shortage has long been driven by restrictive zoning, slow approvals, and complex regulatory hurdles. SB 1123 represents a major step toward unlocking underused land: by expanding streamlined, ministerial approvals to vacant single-family lots, it opens the door for small-scale infill housing that can increase affordability and flexibility while preserving neighborhood character.

What SB 1123 Enables

Up to 10 Homes on Vacant Single-Family Parcels: Under SB 1123, eligible vacant lots in single-family zones can be subdivided to support up to 10 homes — giving communities more housing options without needing drastic upzoning.
Faster, More Predictable Approval: Projects that meet SB 1123’s objective standards are handled ministerially — meaning no discretionary review, no public hearings, and no delays under environmental law (California Environmental Quality Act, CEQA). That translates into faster timelines and reduced costs for builders and homeowners.
Flexible Ownership Models: The law permits a variety of ownership structures — from traditional fee-simple homes or condominiums to shared-ownership models like tenancy-in-common (TIC) or community-land trusts. This flexibility expands affordable homeownership opportunities for a broader range of buyers.
Complementary ADU/JADU Potential: In many jurisdictions, developments under SB 1123 can include accessory dwelling units (ADUs) or junior ADUs (JADUs) without necessarily counting toward the 10-home limit — enabling creative and efficient use of space, multigenerational living, and increased density where appropriate.

Broader Benefits

Increased Housing Supply — Responsibly and Locally: By enabling small-scale infill on vacant lots, SB 1123 leverages underutilized real estate — often close to jobs, transit, and amenities — helping relieve pressure on the broader housing market while integrating new homes into existing neighborhoods.
Affordability & Starter-Home Access: Because these homes tend to be smaller and built without costly delays or discretionary approvals, they can offer more accessible price points — benefiting first-time buyers, young families, and middle-income households.
Predictability for Developers & Communities: The law’s objective standards mean developers, city planners, and residents all know exactly what to expect — reducing uncertainty, legal risk, and neighborhood friction.
SB 1123: A Path to Equitable, Practical Growth
SB 1123 is more than just a zoning change — it’s a policy tool aimed at making housing development faster, simpler, and more inclusive. By enabling efficient infill subdivisions and broad ownership options, the law helps diversify housing stock, supports affordability, and provides more Californians with a chance at homeownership.