AB2181 - Housing development: density bonuses: rent.

Amended IN Senate August 21, 2026 Amended IN Senate June 11, 2026 CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION Assembly Bill No. 2181 Introduced by Assembly Member Zbur (Principal coauthors: Senators Allen and Durazo) (Coauthor: Senator Arreguín) February 19, 2026 An act to amend Section 65915 of add Section 65915.9 to the Government Code, relating to housing. LEGISLATIVE COUNSEL'S DIGEST AB 2181, as amended, Zbur. Housing development: density bonuses: rent. Existing law, commonly referred to as the Density Bonus Law, requires a city or county to provide a developer that proposes a housing development, as defined, within the city or county with a density bonus, other incentives or concessions, and waivers or reductions of development standards, as specified, if the developer agrees to construct, among other options, specified units and meets other requirements. This bill would prohibit land improved with an operating hotel or motel from being valued by the landowner, valued, for purposes of establishing, adjusting, or resetting ground rent under an existing lease, based on residential density or density bonuses, concessions or incentives, or waivers, as specified, unless those density increases are entitled and vested as of the valuation date, as provided. The bill would also prohibit its provisions from being construed to alter the existing requirements for obtaining a density bonus. bonus, as specified. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill Text The people of the State of California do enact as follows: SECTION 1. Section 65915.9 is added to the Government Code, to read: 65915.9. (a) Notwithstanding Section 65915, land improved with an operating hotel or motel shall not be valued, for purposes of establishing, adjusting, or resetting ground rent under an existing lease, based on density bonuses, concessions or incentives, or waivers pursuant to Section 65915, unless those density increases are entitled and vested as of the valuation date, including the issuance of all required discretionary land use approvals and permits. (b) Nothing in this section shall be construed to alter the requirements for obtaining a density bonus pursuant to Section 65915.