Senate Bill 4 in Action: Transforming Faith Lands into Affordable Housing Havens

Robert Tyler, Managing Partner

December 8, 2023

Affordable Housing on Faith Lands Act

In October 2023 the Governor of California approved Senate Bill 4 known as the “Affordable Housing on Faith and Higher Education Lands Act of 2023.”  Supporters of the Bill have nicknamed it the “YIGBY” bill – “Yes in God’s Backyard.”

Overview: The Game-Changing Senate Bill 4

Senate Bill 4 provides a streamlined process for religious organizations to develop affordable housing on their property regardless of local zoning restrictions. This bill requires that a housing development project be deemed a use by right upon the request of an applicant who submits an application for streamlined approval on any land owned by a religious institution on or before January 1, 2024.

Historical Context: Faith Organizations and Affordable Housing

Faith-based organizations have a long history of partnering with nonprofit developers to build affordable housing.  Often, these religious organizations have excess land that they make available for affordable housing developments.

Affordable housing development is limited both by available funding as well as land-use restrictions that prohibit residential uses at densities adequate for affordable housing development.

Challenges: Zoning and Development Hurdles for Faith-Based Organizations

Many of these faith-based organizations are located in areas that are not zoned to permit multifamily housing.  This means that the religious institution and affordable housing developer partner have to rezone the land, which is a tricky process that costs money and can cause long delays in building the affordable homes Californians need.  Further, the rezoning process opens up the affordable housing development to significant risk and unpredictability in the approval process as there are more avenues for lawsuits and appeal.

Senate Bill 4: A Streamlined Approach for Faith-Based Housing Projects

Senate Bill 4 streamlines the building process for faith-based institutions that want to build affordable projects for low-income families by allowing them to build multifamily housing, regardless of local zoning restrictions.  This legislation guarantees “by-right” approval of projects so long as they are consistent with all objective standards of the jurisdiction and comply with listed environmental protections.  That means faith-based organizations don’t have to go through time-consuming, costly approvals, reviews, zoning changes, or environmental review and will enjoy exemption from, or reduction of, density limitations, parking standards and various fees, among other things.  Furthermore, the proposed affordable housing development project does not require a conditional use permit, planned unit development permit, or other discretionary local government review.  This would take many months, if not years, off the development timeline and reduce development costs considerably.

Senate Bill 4 makes building affordable housing easier, faster, and less expensive for faith-based institutions in a broad range of communities across California.  Many of the faith-based institutions are already community anchors, and Senate Bill 4 will help them build stable, safe, affordable housing for local residents and families.

Give Us a Call

Riverside County: (951) 600-2733

Orange County: (714) 978-2060

Northwest Arkansas: (479) 377-2059

March 27, 2025

Navigating Internal Church Disputes: How Bylaws Can Provide Clarity and Direction

Discover how strong church bylaws help prevent leadership conflicts, clarify roles, and resolve internal disputes with transparency and legal protection.

Read full post

November 12, 2024

Charitable Giving to Churches: A Strategic Tool in Estate Planning to Lower Taxes

Explore the benefits of integrating charitable donations to churches in your estate plan. Discover how strategic giving can lower taxes and support your philanthropic goals, while ensuring your legacy aligns with your faith.

Read full post

October 17, 2024

Are Religious Organizations Exempt from California’s New Captive Audience Law and Non-discrimination Laws?

Are religious organizations exempt from California’s Captive Audience Law and non-discrimination laws? Learn the details, exemptions, and legal considerations for religious employers under the new employment restrictions taking effect in 2025.

Read full post