ARTICLE
10 August 2026

Sustainable Development And Land Use Update

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Allen Matkins Leck Gamble Mallory & Natsis

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Allen Matkins, founded in 1977, is a California-based law firm with more than 200 attorneys in four major metropolitan areas of California: Los Angeles, Orange County, San Diego, and San Francisco. The firm's areas of focus include real estate, construction, land use, environmental and natural resources, corporate and securities, real estate and commercial finance, bankruptcy, restructurings and creditors' rights, joint ventures, and tax; labor and employment, and trials, litigation, risk management, and alternative dispute resolution in all of these areas. For more information about Allen Matkins please visit www.allenmatkins.com.
California cities are pushing back against state housing mandates through ballot measures and legal challenges, while wildfire-affected communities navigate new building regulations and environmental groups clash over endangered species protections that impact development. From Malibu to the Central Valley, local governments and residents are attempting to reclaim control over housing policy as state preemption laws continue to reshape land use authority.
United States California Real Estate and Construction
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Focus

In Menlo Park housing fight, Bonta sends a potential warning to California cities

San Francisco Chronicle – August 3

After nearly two years of legal conflict over one of Menlo Park’s largest proposed developments on the former Sunset Magazine headquarters site, California Attorney General Rob Bonta has sided with the developer, saying the city violated state housing law in its effort to stop the project. In a letter sent last week, Bonta’s office said Menlo Park improperly changed its reasons for rejecting the streamlined approval of the proposed 665-unit 80 Willow Road development, denied the project protections available under California’s builder’s remedy law and wrongfully required the developer to pay the city’s legal costs.

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News

Two cities burned in LA fires settle YIMBY lawsuit

CalMatters – July 31

Homeowners in Malibu and Pasadena who saw their neighborhoods burn in the Eaton and Palisades fires last year will soon be able to build up to four units on their properties following settlements with pro-housing groups. The settlements come almost a year to the day after Governor Gavin Newsom and Los Angeles Mayor Karen Bass signed executive orders letting local governments nullify a state housing law, Senate Bill 9, in areas deemed to be “very high” wildfire severity zones in the region’s burn scars.

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Homebuilders in Solano County petition state to drop endangered species protection for hawk

SFGate – July 31

A homebuilders association is seeking to roll back protections for Swainson’s hawks under California’s Endangered Species Act, the first delisting in 17 years, according to the state’s Fish and Game Commission. The hawks nest in Solano County and the Central Valley from March through September, traveling thousands of miles to spend winters in Mexico and Argentina. A petition to remove the hawk from environmental safeguards was filed with the commission on June 10 by the president of the California Building Industry Association, which advocates for deregulation of housing development.

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Effort to limit building heights in SLO County beach town suffers a major setback

The Tribune – July 31

A citizen-led initiative to restrict building heights in Grover Beach will not be enforceable even if voters pass it this November, according to California’s Department of Housing and Community Development. If Measure F-26 is enacted in Grover Beach, the city would be in violation of the Housing Crisis Act, a July 27 letter from the state housing department said.

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Residents across four California cities trying to take back control of housing through ballot measures

The Real Deal – August 4

Over the last decade, as the California Legislature has worked to preempt local governments’ authority over new housing supply, cities have tried to claw it back, most recently through citizen-initiated ballot measures. From Silicon Valley to surf towns along the central and southern coasts, at least four California cities will vote on ballot measures in the Nov. 3 election aimed at reclaiming local control over housing development.

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Rent control measure draws opposition from Redwood City Council

Patch – August 4

The Redwood City Council has voted to oppose a rent control and just-cause eviction measure headed to the November ballot, saying the proposal could threaten the city’s finances and undermine existing tenant protection and affordable housing efforts. If approved, the ballot measure would cap annual rent increases at 5 percent for most multifamily properties built before February 1995. Supporters say the measure would help stabilize housing costs, among other benefits.

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