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Governor Newsom signs SB 79 into law

Before we explain what this means for San Diego, we want to thank everyone who called or wrote to their state leaders about this bill. Because of your efforts and the hard work of Neighbors for a Better San Diego and other groups, the bill was changed significantly before it passed. It started out as outrageously bad, and now it’s “just” really bad.


SB 79

   - doesn’t promote housing near transit.

   - favors wealthy areas and developers.

   - ignores how much housing San Diego already allows.

   - hurts working-class homeowners.

 

Why SB 79 Doesn’t Solve the Real Housing Problem

California’s high housing costs are not due to cities refusing to build near transit. Cities already allow housing near bus and train lines and are actively planning for more. It doesn’t make sense to think cities would spend millions on transit, then ban housing next to it.

 

However, SB 79 forbids building on properties that already have rent-controlled apartments (typically buildings with three or more units). That means the bill actually blocks housing near transit, even though supporters claim the opposite.

 

Because of this rule, SB 79 projects will be more likely to happen on single-family home lots or duplexes, often up to a mile away from transit. People who live in these new apartments will still drive cars instead of taking the bus or train.

 

So SB 79 isn’t really about supporting transit or fighting climate change. Instead, it paves the way for developers to take over single-family neighborhoods, hurting those who worked hard to buy their homes in those neighborhoods, or aspire to do so.

 

SB 79 Won’t Increase Housing — It Just Moves It Further Away From Transit

San Diego has already zoned for three times the amount of housing the state says we need. With bonus-density programs, developers can build up to twenty times that number.

 

SB 79 won’t build more homes, it will just shift which sites builders choose because it can’t be applied on properties with three or more rental units. This encourages developers to go after older single-family homes far from transit, where homeowners won’t realize how much SB 79 has increased their property values. 

 

This already happened with San Diego’s “Bonus ADU” program, and the same pattern will likely repeat statewide, continuing the increase in California land costs, taking home prices and rents with it.

 

A Problematic and Unfair Law

SB 79 barely passed in the state legislature. To win enough votes, its Bay Area authors added special exceptions for wealthy Bay Area cities and counties. That means the communities most affected by the law will be middle-class and working-class neighborhoods in Southern California.
 

Possible Legal Challenges

Here’s why SB 79 may face lawsuits:

    •    It treats different parts of California unequally. For example, it exempts many Bay Area counties for no good reason.

    •    It targets areas with more moderate- and low-income homeowners, while protecting richer ones.

    •    It assumes that adding more “upzoning” will lower housing costs, even though cities like San Diego already have plenty of zoned capacity and developers aren’t building more housing.

 

Because of these problems, the courts could find that SB 79 unconstitutionally overrides local planning.

 

Where SB 79 Applies

Neighbors For A Better San Diego has mapped which areas of San Diego are impacted by SB 79.

    •.   Areas in high-fire zones or historic districts are excluded (until 2029).

    •    Small cities (under 35,000) are only affected within a quarter-mile of designated transit stops, largely exempting wealthy cities such as Atherton in the Bay Area – for no clear reason.

 

What Happens Next

SB 79 doesn’t take effect until July 2026. That gives cities time to change their zoning laws to reflect SB 79. San Diego can also create an “Alternative Plan” to decide where new housing can go. We expect strong public input in that process.

 

We’ll also be watching for any follow-up bills that could change SB 79 before it starts.

 

In Short

Some important changes were made in order for SB 79 to pass the Legislature:

    •    The number of rail stations and bus stops that qualify for SB 79 has been greatly reduced.

    •    It focuses on transit plans for the next five years, not unrealistic 20-year plans that are unlikely to be delivered.

    •    It limits the distance from housing to transit to one mile walking distance.

 

Even with those changes, SB 79 still doesn’t truly promote housing near public transit. It allows building homes up to a mile away, where people will continue to rely on personal vehicles instead of mass transit.

 

Neighbors For A Better San Diego will keep fighting to protect our neighborhoods, and we will do our best to ensure that any housing laws are fair, transparent, and truly helpful.


Click HERE to view our interactive map of SB 79 eligible areas.
 

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Our SB 79 editorial in the Times of San Diego

Understand why SB 79 will push dense development far from transit and into single-family neighborhoods up to a mile or more away.

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