Multi-Family Housing

California Senate Bill 79 (SB 79)

In the Fall of 2025, California adopted the "Abundant and Affordable Homes Near Transit Act" or SB 79. This new housing law prioritizes residential development near transit stops by mandating high densities within a 1/4-mile and 1/2-mile of eligible transit stops. 

SB 79 becomes effective on July 1, 2026 and would apply to seven properties within the Town of Atherton:

• Glenwood Avenue: 110, 120, and 124 Glenwood 
• Laurel Street: 135, 147, and 151 Laurel  
• Victoria Drive: 99 Victoria^.

The following are key state-mandated development standards under SB 79: 

• Height: The Town cannot impose a height limit of less than 75 feet.  
• Density: The Town cannot impose a maximum density of less than 120 dwelling units per acre.   
• Floor Area Ratio: The Town cannot impose a floor area ratio less than 3.5.

The City Council received a report on the new state law from the Town Planner and City Attorney at a Council Study Session on December 3, 2025. At this meeting the Council directed staff to prepare local development standards to apply to an SB 79 project. The Town must adopt new standards and submit them to the state for review and approval by April 1, 2026 in order to ensure the standards are effective by July 1, 2026. To achieve this effort staff anticipates the meetings listed below as opportunities for public input. Links to the agendas and staff reports for the Planning Commission and City Council meetings can be found here.  

• Jan. 20, 2026 - Community Workshop: 
  • Held: 6PM, in person & on-line
  • Meeting Recording: SB 79 Community Workshop
  • Presentation Materials
• Jan. 28, 2026 - Planning Commission Meeting:
  • Staff Report and Attachments (Expand the 'Item Attachment' menu)
  • 6PM
  • In Person: Council Chambers at 80 Fair Oaks Lane, Atherton
  • Zoom Link
    • Meeting ID: 841 5024 9099    
• Feb. 18, 2026 - City Council Meeting #1 (Introduction and First Reading)
  • Meeting Agenda
  • Staff Report and Attachments (Expand the 'Item Attachment' menu)
  • 6PM
  • In Person: Council Chambers at 80 Fair Oaks Lane, Atherton
  • Zoom Link
    • Meeting ID: 506 897 786  
• Mar. 18, 2026 - City Council Meeting #2 (Second Reading and Adoption)
  • Meeting Agenda (Will be published on March 13)
  • Staff Report and Attachments 
  • 6PM
  • In Person: Council Chambers at 80 Fair Oaks Lane, Atherton
  • Zoom Link
    • Meeting ID: 506 897 786   

Comments on the meeting materials and proposed standards are welcome at any point during this process and can be sent to Senior Planner, Tom Ford: tford@athertonca.gov 

Atherton's Residential Multifamily (RM) Zoning Program

The primary hurdle the Town faced in achieving certification from the California Department of Housing and Community Development (HCD) for its 2023-2031 Housing Element Update (HEU) was the absence of multifamily housing accessible to the general public in its initial HEU submission. The Town’s initial proposal did provide opportunities for multifamily developments on private school-owned properties; however, HCD determined that this proposal would violate the state-mandated objective of Affirmatively Furthering Fair Housing (AFFH). 

AFFH is a state-level housing regulation designed to combat housing discrimination, eliminate racial bias, undo historic patterns of segregation and lift barriers that restrict access to housing to foster inclusive communities and achieve racial equity, fair housing choice and opportunity for all Californians.  

HCD has instructed that Atherton must include multifamily housing opportunities to the broader public to achieve compliance with state housing law.

RM-10 Multifamily Overlay District

Atherton is predominately zoned for single-family dwellings, but HCD has directed the Town to identify and rezone areas for multifamily development. Such multi-family developments may occur at various levels of density, usually defined by housing units per acre.

The Council met in July 2023 (Item No. 11) and September 2023 (Item No. 12) to discuss specifics of site selection. In October 2024 adoption of the Town's 2023-2031 Housing Element the Town adopted a multifamily zoning overlay district to the following properties. As an overlay district, property owners may maintain their single-family zoning or they may opt to develop as a multifamily property, subject to the Town's RM-10 Development Standards. 

Multifamily Development Potential on Privately Owned Lots

• Properties in the Park and Open Space Zone
• Private School sites

California Environmental Quality Act (CEQA) Process

The Town is required to conduct CEQA analysis for all sites identified above that are being evaluated for multifamily developments. CEQA is a comprehensive state law that requires local agencies to identify and evaluate the potential environmental impacts of proposed projects and adopt measures to mitigate those impacts. The CEQA process is designed to inform Town decision-makers and the public about the potential environmental effects of a proposed project before approvals are granted.

Once the initial analysis is complete, the public will be invited to review the results of the CEQA analysis before the City Council officially selects the sites for multifamily development zoning. 

The Town released this analysis in May 2024. The analysis and CEQA FAQs are available here. 

As a reminder, the Town is not responsible for building housing; rather, the Town is required to identify and zone property creating opportunities for where housing can be built, what types of housing can be built, how much housing can be built and the process by which it is reviewed and approved.