Two Fire-Ravaged LA Cities Reach Settlement in Housing Density Lawsuit

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Homeowners rebuilding in Malibu and Pasadena after last year’s devastating wildfires will now have the option to build up to four units on their properties, following legal settlements that resolved a lawsuit filed by pro-housing advocates.

The agreements, reached in both cities within roughly a year of the fires, mark a reversal for local officials who had moved to block a state housing law from applying in fire-ravaged neighborhoods. Gov. Gavin Newsom and Los Angeles Mayor Karen Bass had signed executive orders last summer allowing cities and counties to suspend the law, known as Senate Bill 9, in areas classified as “very high” fire hazard zones within the Eaton and Palisades burn areas.

SB 9, passed by state lawmakers in 2021, allows homeowners to split single-family lots and construct duplexes on each half, effectively opening the door to as many as four housing units where zoning once permitted just one home.

The pro-development legal group YIMBY Law challenged the executive orders in court, naming the governor, the mayor, and four local jurisdictions that had opted to block the law. The organization argued that none of them had the legal authority to override legislation approved by the state.

Under the newly finalized settlements, both Malibu and Pasadena agreed to rescind their local ordinances blocking duplex development and to process all SB 9 applications, including those already filed. Pasadena’s City Council approved the change unanimously on July 20. Malibu has until Sept. 29 to formally repeal its restriction.

“For people who are living, or hoping to live, or hoping to move back to Malibu and Pasadena, SB 9 is back,” said Sonja Trauss, executive director of YIMBY Law.

The settlements arrive amid ongoing tension between fire survivors and housing advocates over how devastated neighborhoods should be rebuilt. Many residents who lost homes in the Eaton and Palisades fires have opposed denser rebuilding, citing worries over evacuation routes, traffic congestion and changes to the character of their communities. Among the most outspoken opponents was reality TV personality Spencer Pratt, who leaned into public frustration over the state and local wildfire response during an unsuccessful bid for Los Angeles mayor.

Supporters of the law counter that it gives fire victims greater financial flexibility to rebuild at a time when construction costs are soaring and insurance payouts have often fallen short or been delayed.

The vast majority of the more than 16,000 structures lost in the two fires were located in the city of Los Angeles and in unincorporated Altadena, meaning the settlements with Malibu and Pasadena affect a smaller share of fire-damaged properties. Still, Trauss said the outcome sends an important signal about the strength of the law.

“The writing is on the wall,” she said. “It’s a good signal when parties are settling because it indicates the respondents’ feelings about how defendable their side is.”

The legal fight is far from over. Los Angeles County, the city of Los Angeles, Newsom and Bass remain defendants in the ongoing lawsuit.

At the same time, state lawmakers are weighing a related measure. State Sen. Sasha Renée Pérez, a Democrat representing Altadena, introduced legislation this summer that would temporarily exempt the unincorporated community from SB 9 and another housing law, reflecting the continued debate over how best to balance rebuilding needs with local concerns in fire-affected areas.

Original source: CalMatters

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