San Diego Expands Transit Housing Density After SB 79 Dispute

San Diego has agreed to expand housing density allowances near public transit stops, resolving a dispute with the San Diego Association of Governments (SANDAG) over the implementation of state law Senate Bill 79. Initially, city officials proposed limiting eligible transit stops to just four locations, a map that was deemed too restrictive by regional and state regulators. SANDAG, the region's transit planning authority, subsequently proposed a revised map in June that identifies 17 additional bus stops qualifying for high-density housing development under SB 79. This expansion could significantly increase the city's housing capacity, potentially adding tens of thousands of new units. These newly eligible bus stops will be added to the 47 existing trolley stations that are already recognized as eligible under the law. SANDAG anticipates finalizing the updated map in the coming weeks.

The resolution in San Diego reflects a broader challenge across California as cities and counties grapple with SB 79, a law that took effect on July 1. While some municipalities have readily adopted the new regulations, others have explored strategies to delay or limit full implementation, such as phasing in density over several years. This statewide tension was highlighted in March when Governor Gavin Newsom warned of potential legal action against noncompliant cities and counties, particularly after the Los Angeles City Council voted to restrict density allowances. California's SB 79 followed a precedent set by Massachusetts, which enacted similar legislation in 2021, and its passage in California was the result of an eight-year effort spanning three legislative attempts.

San Diego had already demonstrated a commitment to increasing housing density prior to the SB 79 dispute. In 2020, the city adopted its "Complete Communities: Housing Solutions" initiative, designed to promote dense, affordable, and mixed-income housing developments near transit corridors. More recently, in 2024, Mayor Todd Gloria signed an executive order that further supported these housing goals. The current agreement with SANDAG signifies a step forward in aligning local housing strategies with state mandates for transit-oriented development.