SB 35 Eligibility Checklist: A Complete Guide for Developers

Case Study: Streamlining a Mixed-Use Development with SB 35 in Los Angeles

Let’s look at a real-world example where JDJ used SB 35 to accelerate a client’s multifamily development.

Project Overview

• Location: South Los Angeles, near Expo Line

• Project Type: Mixed-use building with 22 residential units and 2 ground-floor retail spaces

• Zoning: C2-1VL (Commercial, but allows housing by-right)

• Affordability Mix: 6 very low-income units (27%)

• Timeline: 91 days from submission to full approval

• Labor: Prevailing wage met through general contractor partnership

Challenges We Solved

• The site bordered a historical overlay district. JDJ coordinated an objective design compliance memo to prevent disqualification.

• The first plan set missed minor setback details. We revised the design within 3 days and avoided triggering delays.

• The city questioned affordability covenant structure. Our housing compliance team provided precedent examples from other SB 35 approvals and resolved the issue quickly.

Results

• CEQA exemption granted automatically

• No planning commission review

• Full building permit ready within 14 weeks

• Cost savings of over $85,000 in environmental and legal fees

This is just one example of how JDJ helps clients take advantage of streamlining laws like SB 35—while avoiding the pitfalls that derail other projects.

What Types of Housing Projects Qualify Under SB 35?

Understanding which development proposals qualify under SB 35 is key to saving time and money. Not every residential project is eligible—even if it’s multifamily or meets local zoning requirements.

Qualifying Projects Must Be Residential or Mixed-Use

SB 35 applies primarily to multifamily residential projects, including:

• Apartment buildings

• Condominiums

• Townhome complexes

• Mixed-use buildings where at least two-thirds of the floor area is residential

Note: Single-family homes and projects with a majority of commercial square footage do not qualify.

Projects Must Be in Urban Infill Areas

To be eligible, your site must meet urban infill criteria. This means:

• At least 75% of the site’s perimeter must be adjacent to urban uses (housing, businesses, roads)

• The site is located within city limits or an urbanized unincorporated area

• It’s not on farmland, open space, or environmentally protected land

Zoning Compliance Is Mandatory

One of the most critical checks: Does your proposal align with the city’s zoning map and General Plan? If your project:

• Exceeds height or density limits

• Requires a zone change or plan amendment
  Then it’s not eligible for SB 35 streamlining.

JDJ Consulting can help verify zoning conformance early in the process to avoid costly delays.

Labor Standards and Workforce Requirements

Even if your project checks every other box, SB 35 will not apply unless you meet strict labor requirements—especially for larger developments.

Projects of 10+ Units Must Pay Prevailing Wages

If your project involves 10 or more units, California law requires:

• Prevailing wage rates for construction workers

• Certified payroll documentation

• Compliance with California’s Department of Industrial Relations

Projects of 50+ Units Must Use Skilled & Trained Workforce

Larger projects (50+ units) have additional obligations. In addition to prevailing wage, you must:

• Use a skilled and trained workforce, including workers enrolled in state-approved apprenticeship programs

• Hire crews with verified hours in applicable trades

• Submit proof of compliance as part of your project approval

These workforce rules ensure labor quality, but they can also increase costs. JDJ Consulting can connect you with labor compliance experts to help keep your project eligible.

What Are the Affordable Housing Requirements Under SB 35?

Not all cities have the same affordability requirements under SB 35. The rules vary depending on how well a city or county is meeting its housing goals under California’s Regional Housing Needs Allocation (RHNA) targets.

SB 35 Uses Two Housing Compliance Categories:

Cities and counties fall into one of two buckets:

• Category 1: Underperforming jurisdictions
  These localities have not met their lower-income housing targets and face stricter affordability rules.

• Category 2: Partially compliant jurisdictions
  These have made moderate progress and have slightly looser affordability rules.

The chart below shows how many affordable units your project must include depending on your location and unit count.

SB 35 Affordable Housing Threshold Table

Pro Tip: You can check a city’s RHNA progress through the California Housing Dashboard.

JDJ Tip for Developers

It’s not just about including affordable units—it’s about how they’re managed. SB 35 requires:

• Units to be deed-restricted for 55 years (rental) or 45 years (ownership)

• Inclusionary units to be distributed proportionally throughout the project

• No discrimination in design, access, or amenities between market-rate and affordable units

JDJ Consulting helps clients learn about these requirements while still preserving project financials.

Environmental Review and Exemptions: What SB 35 Means for CEQA

One of the biggest advantages of SB 35 is that it streamlines the approval process by skipping CEQA review — under specific conditions.

When Does SB 35 Exempt You from CEQA?

If your project qualifies for SB 35 ministerial approval, it’s not subject to CEQA. That means:

• No Environmental Impact Report (EIR)

• No Negative Declaration

• No Mitigated Negative Declaration

• No public comment period or environmental appeals

This saves developers time, money, and legal risk.

But there’s a catch — you must meet all location-based exclusions and site criteria.

Sites Ineligible for SB 35 Streamlining (and CEQA Exemption)

Your development is not eligible for SB 35 ministerial approval if it’s located in any of the following:

• Prime farmland or land under Williamson Act contract

• Wetlands or flood hazard areas (unless mitigated by FEMA)

• Very high fire severity zones (unless cleared by local agency)

• Hazardous waste sites (unless certified clean)

• Earthquake fault zones (unless building complies with special state regulations)

• Historic districts or landmarks (unless exemption is cleared under CEQA)

Projects that don’t meet these location tests may still proceed — but they won’t get CEQA streamlining under SB 35.

JDJ Strategy Insight

We advise our clients to conduct a Site Eligibility Scan early in the feasibility phase. JDJ Consulting reviews parcel data, General Plan overlays, and environmental layers to identify red flags. This prevents wasted time on sites that look good on paper but won’t qualify in practice.

Labor Standards: Do SB 35 Projects Require Prevailing Wages or Union Labor?

SB 35 doesn’t just fast-track housing approvals — it also sets strict labor compliance standards, especially for larger projects. Before you assume your project is eligible, it’s crucial to understand what kind of workforce you’re required to use.

Which Labor Rules Apply Under SB 35?

The labor requirements depend mainly on the number of units and whether the developer is a public entity or private applicant.

Here’s a breakdown:

What Is a Skilled and Trained Workforce?

A skilled and trained workforce means your contractors must use tradespeople who have graduated from state-approved apprenticeship programs — or be enrolled in them.

Key trades include:

• Carpenters

• Electricians

• Ironworkers

• Plumbers

This requirement can significantly affect your project costs and timeline, especially if your GC is not already aligned with union labor standards.

JDJ Strategy Insight

We help our clients prepare for SB 35 labor compliance early by:

• Vetting general contractors with verified labor compliance history

• Reviewing bid documents for prevailing wage clauses

• Flagging labor-intensive trades subject to training rules

This minimizes risk of delays, stop-work orders, or project denial due to workforce violations.

Understanding Objective Standards: Why Design Guidelines Still Matter Under SB 35

One of the most misunderstood parts of SB 35 is the role of design review. Many assume the law eliminates all local control — but that’s not quite true. While SB 35 streamlines the entitlement process, it still allows cities to enforce objective development standards.

What Are Objective Standards?

Objective standards are measurable, rule-based criteria — not open to interpretation.

They include things like:

• Building height limits (e.g., 45 feet max)

• Setbacks (e.g., 5 feet from property line)

• Floor-area ratio (FAR)

• Parking ratios

• Façade materials if listed with specific definitions (not just “aesthetic compatibility”)

Local governments can reject or condition SB 35 projects only if the project fails to meet objective standards on the books when the application is submitted.

Can Cities Deny a Project Based on Design?

No — if the project meets all objective criteria, subjective design review is not allowed. That means:

• No hearings

• No planning commission vote

• No appeals based on “neighborhood character”

But here’s the catch: some cities try to stretch the definition of “objective.” That’s where careful entitlement strategy comes in.

How JDJ Helps Navigate Objective Criteria

At JDJ Consulting Group, we help developers:

• Analyze every objective zoning, design, and development standard upfront

• Identify potential conflicts or outdated local codes

• Negotiate clarity with planning staff before formal application

This ensures your SB 35 application is bulletproof from Day 1 — reducing delays and costly redesigns.

Understanding Eligible Sites: What Types of Land Qualify for SB 35 Streamlining?

Even if your project meets affordability and zoning requirements, it won’t qualify under SB 35 unless the site itself is eligible. That’s why location analysis is a core part of every SB 35 feasibility study.

SB 35 Site Eligibility Checklist

Use the table below to quickly identify if your site qualifies:

If your site checks all these boxes — and your project meets the earlier eligibility standards — you may qualify for streamlined ministerial approval under SB 35.

Final Thoughts: Use SB 35 as a Strategic Tool — Not a Shortcut

SB 35 isn’t a magic wand, but it’s one of the most powerful tools in California housing law. Used properly, it can:

• Cut project timelines from 2+ years to a few months

• Eliminate discretionary hearings and local opposition

• Provide a clear path to entitlements — especially for affordable and mixed-income housing

But the key is early-stage feasibility analysis. One misstep — like misreading zoning or skipping a labor requirement — can derail your project.

Ready to See If Your Project Qualifies for SB 35?

If you’re looking to use SB 35’s streamlined approval process, we’re here to guide you — step-by-step. At JDJ Consulting Group, we specialise in helping developers figure out:

• whether your project meets the SB 35 eligibility criteria (units, affordability, zoning, site conditions)

• how to align your design with the required objective standards

• how to complete the notice-of-intent, tribal consultation, and entitlement tasks

• how to accelerate the path from plan to permit

Visit us at 12925 Riverside Dr Suite 302, Sherman Oaks, CA 91423
Call (818) 793-5058
Email sales@jdj-consulting.com
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Don’t let eligibility questions slow you down. Reach out and let’s move your project forward with clarity and confidence.