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California’s New Housing Laws Are Reshaping Where Contractors Can Build

California’s New Housing Laws Are Reshaping Where Contractors Can Build

Two new laws are changing the landscape for residential contractors in California.

SB 79:
→ Overrides local zoning near BART, LA Metro, and major transit corridors
→ Allows mid- to high-density housing with streamlined approvals
→ Opens land previously locked out of residential development

AB 2166:
→ State-backed insurance for developers using modular/factory-built homes
→ Designed to cut costs, speed construction, and expand affordable housing supply

More projects. Faster approvals. New corridors opening up. But also more competition — especially from modular builders who can now move faster with state-backed coverage.

Know what zones are changing. Position your business before the work shifts.

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