Beverly Hills Judge Rules Against Home Upgrades to Boost Affordable Housing

2024-06-23

A judge in Beverly Hills has put a stop to luxury home improvements in the midst of a housing crisis, saying that more affordable housing in the area must come first.

Upgrades Cost More Some Affordable Homes

Image Credit: Shutterstock / Walter Cicchetti

For homeowners in Beverly Hills, obtaining a building permit any time soon is going to be difficult. In these luxury, multi-million dollar homes, upgrades often cost upwards of $100,000. But these projects could be on hiatus for a while.

No Permits for Upgrades

Image Credit: Shutterstock / Francesco Scatena

Judge Curtis A. Kin of the LA County Superior Court has issued a ruling that no building permits in Beverly Hills will be issued with the exception of permits for building new affordable homes. This decision has been met with shock and outrage by locals.

Is Housing a Privilege?

Image Credit: Shutterstock / divanov

Housing in Beverly Hills might seem to be a luxury afforded only to the very rich. Current homes for sale range from a $900,000 condo with under a thousand square feet of space to an $85 million dollar mansion with nearly 25 thousand square feet and 18 bathrooms.

Ruling Causes Friction

Image Credit: Shutterstock / rawf8

Judge Kin’s decision has many homeowners and real estate professionals in Beverly Hills up in arms. Appeals have been filed, and for now, requested building permits are still being processed despite the ruling. 

State Pushes for Affordable Housing

Image Credit: Shutterstock / Michael Warwick

This is not the first attempt at prioritizing affordable housing in the city. The state of California has been asking for cities – even ones occupied by the celebrities and other rich residents that populate them – to expand housing availability to include affordable options for decades.

Pushback From Wealthy Cities

Image Credit: Shutterstock / f11photo

But exclusive destinations for wealthy living like Beverly Hills have not budged. The population of the city has remained stagnant for over 50 years while the rest of the state has doubled in number of residents.

Laws Require Accessibility, but Compliance Varies

Image Credit: Shutterstock / Vitalii Vodolazskyi

California law requires that every locality in the state have a plan in place to support population growth. More specifically, the law requires that housing be accessible to people from every income class, which is not the case in Beverly Hills by a long shot.

Beverly Hills Complied – But How?

Image Credit: Shutterstock / Atomazul

In a stunning revelation back in 2018, reports found that Beverly Hills was one of the only places in the state that reached its goal of new affordable homes. 

Shockingly Low Requirements

Image Credit: Shutterstock / Pickadook

The shock came from the reason why they met their assigned quote: Beverly Hills was only required to build three new housing units in eight years, ranging from very-low to moderate income housing.

Changes to Support Growth

Image Credit: Shutterstock / crystal light

The response that followed led to a renegotiation of the law’s requirements, and in the next cycle, the city’s goal for new affordable housing increased to 3,104 homes. 

Cities Can Follow Law Without Actually Building

Image Credit: Shutterstock / Alessio Laudando

But the caveat is that they are not actually required to build the new residences; they just have to provide zoning for them.

Loopholes: Beverly Hills Looks to Commercial Areas

Image Credit: Shutterstock / Michael Gordon

Because of this, there was room for finding a loophole, which is what Beverly Hills did. Rather than find space in any of the affluent areas of the city, they zoned commercial areas for mixed-use.

Why the Answer Wasn’t That Simple

Image Credit: Shutterstock / Pabkov

They have not found success with this loophole, however, with officials claiming that there are not enough commercial spaces with room for residential growth, and that the plan was ultimately discriminatory because of its protection of exclusive, wealthy, and mostly white areas.

City Hopes for New Plans to Be Approved

Image Credit: Shutterstock / Pickadook

While they appeal Judge Kin’s decision, new blueprints for affordable housing are being sent into the state. Beverly Hills is hopeful that California will approve their plans and that the whole issue can be put to rest.

Developers Look to Profit on City’s Noncompliance

Image Credit: Shutterstock / Ground Picture

In the meantime, developers have seen a new opportunity that they hope to cash in on. Since Beverly Hills is not following requirements, builders have recognized that as long as they include affordable housing in their plans, they will have relative freedom to build what and where they want.

An Urgent Issue in Need of Solving

Image Credit: Shutterstock / MDV Edwards

The housing crisis throughout the state has created urgency for the issue to be resolved, and officials hope for a peaceful resolution that results in a good outcome for everyone. 

Accessibility Sacrificed in Favor of Environment

Image Credit: Shutterstock / divanov

Some who oppose the ruling are prioritizing the look and feel of a wealthy environment over an accessible one, prompting concerns about discrimination. 

Are Low-Density Zoning Laws the Problem?

Image Credit: Shutterstock / Michael Urmann

Acting as an attempt at minimizing population growth, especially for people in lower income classes, low-density zoning laws have created and exacerbated the problem.

Looking Ahead: California Hopes for Change

Image Credit: Shutterstock / Rolf_52

Judge Kin and California officials hope that the new ruling will bring change to Beverly Hills, opening the area up for diversification and providing accessible living to more than just the ultra-wealthy. Results of the appeals and the outcome of developers’ workarounds will ultimately influence what next steps the city takes to comply with state laws.

23 Steep Taxes Adding to California Residents’ Burden

Image Credit: Shutterstock / Alex Millauer

California: a place of sunshine, innovation, and, unfortunately, some of the nation’s highest taxes. From LA’s beaches to Silicon Valley’s tech hubs, residents grapple with a maze of state taxes. Here’s a glance at 23 taxes that might surprise both Californians and outsiders. 23 Steep Taxes Adding to California Residents’ Burden

Cash in on Nostalgia: 21 Toys Now Worth a Fortune

Image Credit: Shutterstock / Kostikova Natalia

Time to dust off the boxes and find that once-cherished toy from your childhood. For collectors and enthusiasts, they items have become valued objects and they can be worth big bucks – are there any of these in your attic? Cash in on Nostalgia: 21 Toys Now Worth a Fortune

Millennials Don’t Buy These 19 Products Anymore

Image Credit: Shutterstock / mariakray

Millennials are changing consumer habits, quietly replacing once-staple products and traditions. Often criticized for their disruptive preferences, this generation is reshaping the marketplace with digital expertise, ethical buying, and a taste for the unconventional. Millennials Don’t Buy These 19 Products Anymore

10 Reasons Firearms Are Essential to America’s Fabric

Image Credit: Shutterstock / rblfmr

Americans’ strong attachment to guns is influenced by constitutional rights, historical context, and cultural traditions. This article explores the cultural perspective driving their unwavering support for gun ownership, revealing the key factors shaping this enduring aspect of American life. 10 Reasons Firearms Are Essential to America’s Fabric

California’s 16 New Laws Raise Red Flags for Prospective Residents

Image Credit: Shutterstock / PeopleImages.com – Yuri A

California, celebrated for its beaches, tech prowess, and diversity, is now gaining attention for its recent legislation, prompting some residents to reconsider their residency. Explore the new laws of 2024 and the controversies and migration they’re stirring. California’s 16 New Laws Raise Red Flags for Prospective Residents

The post Beverly Hills Judge Rules Against Home Upgrades to Boost Affordable Housing first appeared on Thrift My Life.

Featured Image Credit: Shutterstock / Mr. Ashi. Sae Yang.

The content of this article is for informational purposes only and does not constitute or replace professional financial advice.