ED 1 Updates in July

What is ED  1 (Executive Directive 1)?

Executive Directive 1 (ED 1) was signed into effect on December 16th, 2022, and most recently revised on July 1, 2024, by Mayor Karen Bass to assist in the housing crisis. ED 1 encourages the building of 100% affordable housing projects in city of Los Angeles by expediting their processing times, clearances, and approvals. Moreover, ED 1 projects can take advantage of certain incentives and waivers from height, setback, and floor area standards without requiring a discretionary review, which saves significant time and cost for developers.

What qualifies your project for ED 1?

  • Must be 5 or more units
  • All units must be affordable at one of the following rates:
    • All units at 80% or lower of Area Median Income (AMI) according to US Department of Housing and Urban Development (HUD) rent levels.
    • 20% of units at 120% AMI according to the California Department of Housing and Community Development (HCD) rent levels, and the rest at 80% or lower AMI according to HUD or California Tax Credit Allocation Committee (TCAC) rent levels.
  • Must be a for rent project.

Who does not qualify for ED 1?

  • Affordable for sale projects.
  • Projects that would require judicial intervention such as amendments or changes.
  • Projects that require adjustments, variances, specific plan exception, or waiver of dedication/improvement.
  • Projects that need a coastal development permit.
  • Projects that fall under the Subdivision Map Act.

Recent Revisions to ED 1 (July 1st, 2024)

  • Project parcel cannot be in a manufacturing zone unless it allows multifamily residential uses.
  • Project cannot be in a hazardous waste zone, a Historic Preservation Overlay Zone (HPOZ), or a high fire risk zone.
  • Projects on previously used gas/oil wells will be subject to a Phase I environmental assessment before approval.
  • Project cannot be on a property where there are 12 or more RSO units currently occupied or previously occupied within the last 5 years.
  • Projects are only eligible for up to five incentives and one waiver.

ED 1 Combined with State Density Bonus

  • More incentives for mixed income/100% affordable housing (ED 1)
  • ED 1 projects get an 80% density bonus.
  • If the project is located within a half mile of a major transit stop, or within a very low vehicle mile travel area, you get unlimited density, three extra stories, and five incentives.

How can Pattern Planning & Development Inc. help you receive the full benefits of ED 1?

ED 1 can be quite complex with how it interacts with the State Density Bonus law. We can help you determine if your property qualifies for ED 1 and what type of constraints or opportunities you should be aware of with your property. We can also help provide you the type of exemptions and unit mix would be most suitable for your property and project.