As the state continues to grapple with soaring housing costs, lawmakers are increasingly turning to policies aimed at boosting housing production in areas with existing infrastructure. With home prices and rents remaining among the highest in the nation, state officials have identified transit-oriented development as a key strategy for creating new housing opportunities.
Starting July 1, Senate Bill 79 (SB 79) will officially take full effect, requiring cities in eligible regions to allow denser residential development near major transit stops. The law is expected to unlock zoning capacity for over a million potential homes.
What Is SB 79?

SB 79 was signed into law back in October 2025. The legislation allows housing projects to be built by right on qualifying residential and commercial properties located within a quarter-mile or half-mile of major rail stations and bus rapid transit stops.
The law applies to several of California’s largest urban counties, including L.A., Orange, San Diego, San Francisco, Alameda, Sacramento, San Mateo, and Santa Clara counties. By overriding certain local zoning restrictions, SB 79 is designed to encourage higher-density housing near public transportation, increase housing supply, support transit ridership, and reduce greenhouse gas emissions.
SB 79 new zoning map

This June, the Southern California Association of Governments (SCAG) released its preliminary SB 79 map, outlining eligible transit-oriented development zones throughout L.A. County. According to Urbanize LA, the mapped areas largely follow existing and planned Metro rail and bus rapid transit corridors, including the A, B, C, D, E, G, and K Lines, as well as several future transit projects.
Los Angeles alone contains roughly 150 transit stations covered by the legislation. However, the city’s response may slow implementation in some neighborhoods. The Los Angeles Times reports that the law could unlock zoning for more than 1 million homes in urban areas, making it the most significant housing reform in recent California history.