Building Small: Assessing Feasibility of 5-to-10 Unit Projects in California
California is currently facing an affordable housing crisis, despite recent legislative efforts to spur housing development. Much of this shortage can be attributed to restrictive land use policies, such as zoning, that limit the amount of housing allowed. In 2021, Senate Bill 9 (SB 9) passed allowing for the development of up to four units on single-family zoned parcels. However, housing professionals and recent studies indicate that the rules of SB 9 do not allow for financially feasible development. This research explores whether larger developments, with 5 to 10 units, are more financially feasible on single-family zoned parcels in California and whether opportunities exist to improve the feasibility of small multifamily housing development.
