Density Bonus Bypasses Pacific Beach Height Limits 2026
On December 30, 2025, the California Supreme Court rejected San Diego's appeal to preserve Measure C, which voters approved in 2022 to remove the 30-foot height limit in the Midway District. Despite this setback, Midway Rising developers immediately announced they would proceed using California's density bonus law—specifically AB 1287, which provides a 100% height increase for projects with affordable housing.
On December 30, 2025, the California Supreme Court rejected San Diego's appeal to preserve Measure C, which voters approved in 2022 to remove the 30-foot height limit in the Midway District, located approximately 5 miles northwest of downtown San Diego and 2 miles east of Pacific Beach. Despite this setback, Midway Rising developers immediately announced they would proceed using California's density bonus law—specifically AB 1287, which provides a 100% height increase for projects with affordable housing. This creates a game-changing legal precedent: state housing law can override voter-approved local height restrictions throughout San Diego's coastal communities, including Pacific Beach's Proposition D, which governs development from the coastline east to Interstate 5 (spanning approximately 0.5-1.2 miles inland). For builders and contractors, this ruling unlocks vertical development opportunities on Garnet Avenue (Pacific Beach's main commercial corridor running 0.3-0.8 miles from the ocean), Mission Boulevard (the beachfront arterial connecting Mission Beach 1.5 miles south to La Jolla 3 miles north), and other coastal corridors that were previously impossible due to the 1972 height limit. However, the path forward requires navigating both legal compliance and intense community opposition.
Can Density Bonus Really Override Voter-Approved Height Limits in Pacific Beach?
Yes. The California Supreme Court's December 30, 2025 ruling, combined with SB 713 (effective January 1, 2024), establishes that state density bonus law supersedes local voter initiatives including Pacific Beach's Proposition D. SB 713 explicitly states that "development standard" includes standards "enacted by the local government's electorate exercising its local initiative or referendum power." This means Proposition D's 30-foot height restriction west of Interstate 5 can be bypassed if your project qualifies for density bonus. The California Department of Housing and Community Development (HCD) affirmed this in a 2024 letter stating "the state Legislature can and does preempt local initiatives" and that the 30-foot height limit "conflicts with state density bonus law and is void." Rose Creek Village at 2662 Garnet Avenue provides proof: this 60-foot, five-story building located 0.4 miles inland from the Pacific Beach coastline and just 0.2 miles west of Kate Sessions Park received HCD approval despite violating Proposition D, with construction starting February 2026. The same legal precedent applies throughout the coastal zone from Bird Rock (located along La Jolla Boulevard 3.5 miles south of Pacific Beach) north through Tourmaline Surfing Park (0.8 miles north of Crystal Pier) and into La Jolla's coastal neighborhoods.
How Does AB 1287 Provide 100% Density Bonus Above Base Zoning?
AB 1287, effective January 1, 2024, allows developers to "stack" density bonuses for a total 100% increase above base zoning. Here's the mechanism: If you provide 15% of units for very low-income households, you receive a 50% density bonus under existing law. AB 1287 adds a second bonus of up to 50% if you also include 15% moderate-income units, creating a combined 100% density increase. For Pacific Beach builders, this means a property zoned for 20 units at 30 feet could legally build 40 units at 60+ feet with the appropriate affordable housing mix. This applies equally to sites along Garnet Avenue near Crystal Pier (0.1 miles from the coastline), properties along Pacific Beach Drive between the ocean and Interstate 5, and development opportunities in neighboring La Jolla where similar coastal height restrictions apply within 1 mile of La Jolla Shores. Midway Rising demonstrates the scale: developers plan 4,254 apartments in 85-foot buildings on land restricted to 30 feet by providing approximately 2,000 affordable units (47% of total)—far exceeding the minimum 15% requirement to maximize bonuses and minimize legal challenges. The financial math is compelling: dedicating 15-20% of units to below-market rents costs significantly less than the revenue gained from doubling buildable square footage.
What Percentage of Affordable Units Is Required to Access 100% Density Bonus?
The minimum threshold is 15% of total units designated for very low-income households (earning 50% or less of area median income), plus an additional 15% for moderate-income households (earning 80-120% of median income), to achieve the full 100% density bonus under AB 1287. However, the Midway Rising precedent suggests exceeding minimums strategically reduces legal vulnerability. The project allocates 47% of units as affordable, creating a bulletproof justification for height waivers. For Pacific Beach projects, targeting 20-25% affordable units provides cushion against challenges while maintaining strong project economics. San Diego's 2026 median income is approximately $93,700, meaning very low-income units serve households earning under $46,850 annually, while moderate-income serves those earning $75,000-$112,400. Rent restrictions apply for 55 years, but tax credits (federal Low-Income Housing Tax Credit program) and density bonus revenue typically offset these constraints. The Rose Creek Village project demonstrates feasibility at 98% affordable (59 of 60 units) for very low-income and homeless veterans.
Does the Midway Rising Supreme Court Ruling Apply to Pacific Beach Proposition D?
Absolutely. Both the Midway height limit and Pacific Beach's Proposition D are voter-approved initiatives restricting coastal development west of Interstate 5 to 30 feet. The Supreme Court's December 2025 denial of San Diego's appeal—combined with SB 713's explicit language about voter initiatives—creates binding precedent applicable throughout the coastal zone extending from Mission Beach (bordering Pacific Beach's southern edge along Mission Boulevard) through La Jolla (beginning 2.5 miles north at Bird Rock). Voice of San Diego called Midway Rising "the largest test of what state housing laws allow," and the outcome is clear: density bonus law prevails. Pacific Beach Planning Group cannot legally block projects meeting AB 1287 requirements, though they will scrutinize applications heavily. The Turquoise Tower at 970 Turquoise Street (239 feet, 23 stories), located 0.6 miles from Crystal Pier and 0.5 miles inland from the beach, invokes this same legal pathway despite fierce opposition from 150+ residents. The critical distinction from Midway is project size and community relations strategy. While La Jolla's historic preservation overlay creates additional complexity for density bonus projects near La Jolla Boulevard, and Bird Rock's narrower commercial corridor presents different site constraints than Pacific Beach's wider Garnet Avenue lots, the fundamental legal pathway remains identical across all coastal neighborhoods. Midway Rising's 49-acre, $2+ billion public-private partnership with substantial park space differs from private developments. Pacific Beach builders should expect Turquoise Tower-level opposition unless they invest in community engagement early.
Will the City of San Diego Approve Density Bonus Projects That Exceed Proposition D Height Limits?
The city has no legal choice once projects meet statutory requirements. Mayor Todd Gloria and City Attorney Heather Ferbert confirmed in January 2026 that the city is "actively pursuing options that will provide a clear and durable path forward" for Midway Rising despite the Supreme Court restoring the 30-foot limit. The city attorney will "release a public memo outlining its legal opinion" when Midway reaches City Council vote in early 2026. However, AB 87 (Boerner, 2025) and SB 92 (effective January 1, 2026) impose new restrictions. SB 92 limits commercial floor area in density bonus projects to 2.5 times local zoning—directly targeting hotel-heavy projects like the Turquoise Tower. AB 87 requires affordable residential housing take priority over hotels. These laws don't affect projects with preliminary applications filed before January 1, 2026, but Pacific Beach builders filing in 2026 must structure projects as primarily residential with minimal commercial space. The city will approve compliant applications but faces intense political pressure to find denial justifications.
How Does This Supreme Court Ruling Differ from AB 87 Density Bonus Restrictions?
AB 87 and the Midway ruling operate on opposite ends of the density bonus spectrum. The Supreme Court ruling expands developer rights by confirming state law overrides local voter initiatives, while AB 87 restricts abuse by blocking hotel-focused projects. AB 87 specifically targets the Turquoise Tower scenario where developers proposed 139 hotel rooms alongside minimal affordable housing (10 units). The law requires projects claiming density bonus prioritize affordable residential over commercial hospitality. For Pacific Beach builders, this means you can still use AB 1287's 100% density bonus to exceed Proposition D heights, but your project must be genuinely residential-focused. Midway Rising's 4,254 apartments versus 510,000 square feet commercial (mostly the arena) demonstrates compliance: 90% residential by built space. Structure Pacific Beach projects with 80%+ residential square footage, include 15-20% affordable units, and minimize hotel/commercial components. AB 87 closes the loophole; the Supreme Court ruling confirms the legitimate pathway remains wide open for housing-focused developments.
What Community Opposition Should I Expect for Density Bonus Projects in Pacific Beach?
Expect Turquoise Tower-scale resistance: 150+ residents at rallies, planning group letters challenging density calculations, and ongoing negotiations with the Mayor's office into 2026. Community opposition varies significantly across service areas: Pacific Beach has demonstrated selective acceptance (approving 100% affordable Rose Creek Village while fiercely opposing mixed-income Turquoise Tower), La Jolla's historic preservation advocates add preservation arguments to height objections, Bird Rock residents along La Jolla Boulevard express concerns about commercial corridor character changes, and Mission Beach property owners cite unique constraints of the narrow beachfront peninsula (averaging 0.2-0.4 miles wide from bay to ocean). Even Tourmaline Surfing Park neighbors north of Pacific Beach organize around beach access and parking impacts. Councilmember Joe LaCava opposed Rose Creek Village loans despite its affordability, citing height limit violations. Develop community relations strategy before filing applications. Key tactics: (1) Engage Pacific Beach Planning Group informally 6+ months pre-application, (2) Exceed minimum affordable percentages (20-25% vs. 15%), (3) Include veteran housing or special needs units like Rose Creek, (4) Provide public benefits (parks, street improvements, beach access improvements near landmarks like Crystal Pier or Kate Sessions Park), (5) Host community workshops showing project benefits across all affected service areas. Neighbors for a Better California mobilized against Turquoise Tower using "stop the tower" campaigns. The Save Our Access group promises to challenge Midway Rising's density bonus application. Legal compliance alone is insufficient—political capital determines project timeline and community support. Budget 12-18 months for community engagement and expect City Council hearings with hundreds of speakers.
The California Supreme Court's December 2025 ruling on Midway Rising fundamentally changes Pacific Beach development economics by confirming that AB 1287's 100% density bonus can override Proposition D height limits. For builders and contractors, this creates unprecedented opportunities to unlock vertical development on Garnet Avenue (0.3-0.8 miles from the ocean), Mission Boulevard (connecting Mission Beach 1.5 miles south to La Jolla 3 miles north), and throughout the coastal zone from Tourmaline Surfing Park south through Bird Rock. Properties within a 10-minute drive of downtown San Diego (6-8 miles) that were previously restricted to 30 feet can now reach 60+ feet with proper density bonus applications. However, legal compliance is only half the battle—community engagement, strategic affordable housing commitments exceeding minimums, and transparent public process determine whether projects succeed or face years of opposition. Pacific Beach Builder specializes in navigating the complex intersection of state density bonus law and local coastal restrictions across all five service areas (Pacific Beach, La Jolla, Mission Beach, Bird Rock, and Tourmaline Surfing Park), with expertise in both legal compliance and community relations strategies that transform controversial projects into neighborhood assets.
Frequently Asked Questions
Can density bonus really override voter-approved height limits in Pacific Beach?
Yes. The California Supreme Court's December 30, 2025 ruling, combined with SB 713 (effective January 1, 2024), establishes that state density bonus law supersedes local voter initiatives including Pacific Beach's Proposition D. SB 713 explicitly states that "development standard" includes standards "enacted by the local government's electorate exercising its local initiative or referendum power." This means Proposition D's 30-foot height restriction west of Interstate 5 can be bypassed if your project qualifies for density bonus. This applies throughout the coastal zone from Bird Rock (3.5 miles south along La Jolla Boulevard) through Tourmaline Surfing Park (0.8 miles north of Crystal Pier).
How does AB 1287 provide 100% density bonus above base zoning?
AB 1287, effective January 1, 2024, allows developers to "stack" density bonuses for a total 100% increase above base zoning. If you provide 15% of units for very low-income households, you receive a 50% density bonus under existing law. AB 1287 adds a second bonus of up to 50% if you also include 15% moderate-income units, creating a combined 100% density increase. For Pacific Beach builders, this means a property zoned for 20 units at 30 feet could legally build 40 units at 60+ feet. This applies equally along Garnet Avenue near Crystal Pier (0.1 miles from the coastline), Pacific Beach Drive, and throughout La Jolla's coastal corridors within 1 mile of La Jolla Shores.
What percentage of affordable units is required to access 100% density bonus?
The minimum threshold is 15% of total units designated for very low-income households (earning 50% or less of area median income), plus an additional 15% for moderate-income households (earning 80-120% of median income), to achieve the full 100% density bonus under AB 1287. However, the Midway Rising precedent suggests exceeding minimums strategically reduces legal vulnerability. For Pacific Beach projects, targeting 20-25% affordable units provides cushion against challenges while maintaining strong project economics.
Does the Midway Rising Supreme Court ruling apply to Pacific Beach Proposition D?
Absolutely. Both the Midway height limit (located 5 miles northwest of downtown San Diego) and Pacific Beach's Proposition D are voter-approved initiatives restricting coastal development west of Interstate 5 to 30 feet. The Supreme Court's December 2025 denial of San Diego's appeal—combined with SB 713's explicit language about voter initiatives—creates binding precedent applicable throughout the coastal zone extending from Mission Beach (bordering Pacific Beach's southern edge) through La Jolla (beginning 2.5 miles north at Bird Rock). Voice of San Diego called Midway Rising "the largest test of what state housing laws allow," and the outcome is clear: density bonus law prevails.
Will the City of San Diego approve density bonus projects that exceed Proposition D height limits?
The city has no legal choice once projects meet statutory requirements. Mayor Todd Gloria and City Attorney Heather Ferbert confirmed in January 2026 that the city is "actively pursuing options that will provide a clear and durable path forward" for Midway Rising. However, AB 87 (2025) and SB 92 (effective January 1, 2026) impose new restrictions limiting commercial floor area to 2.5 times local zoning and requiring affordable residential housing take priority over hotels.
How does this Supreme Court ruling differ from AB 87 density bonus restrictions?
The Supreme Court ruling expands developer rights by confirming state law overrides local voter initiatives, while AB 87 restricts abuse by blocking hotel-focused projects. AB 87 targets scenarios where developers proposed hotel rooms alongside minimal affordable housing. For Pacific Beach builders, you can still use AB 1287's 100% density bonus to exceed Proposition D heights, but your project must be genuinely residential-focused with 80%+ residential square footage and minimal hotel/commercial components.
What community opposition should I expect for density bonus projects in Pacific Beach?
Expect Turquoise Tower-scale resistance: 150+ residents at rallies, planning group letters challenging density calculations, and ongoing negotiations. The Pacific Beach community accepted Rose Creek Village at 2662 Garnet Avenue (0.4 miles inland, 100% affordable) exceeding height limits, but mixed-income projects with only 15-20% affordable face fiercer scrutiny. Community dynamics vary: La Jolla adds historic preservation arguments, Bird Rock residents along La Jolla Boulevard cite commercial corridor concerns, and Mission Beach property owners reference the peninsula's narrow 0.2-0.4 mile width from bay to ocean. Develop community relations strategy before filing applications: engage Pacific Beach Planning Group 6+ months pre-application, exceed minimum affordable percentages, include veteran housing, provide public benefits near landmarks like Crystal Pier or Kate Sessions Park, and host community workshops across all affected service areas.
Sources
- Midway District's 30-foot height limit will be restored following California Supreme Court ruling - San Diego Union-Tribune (January 5, 2026)
- Morning Report: Supreme Court Shuts Door on Height Limit - Voice of San Diego (January 6, 2026)
- How San Diego cleared the way for Midway Rising to crack the coastal height limit - Times of San Diego (December 10, 2025)
- Midway's Ambitious Redevelopment Plan Is Now a Massive Test of What State Housing Laws Allow - Voice of San Diego (November 5, 2025)
- AB 1287 Makes Technical Changes to State Density Bonus Law to Maximize Housing Production - Hanson Bridgett LLP (December 7, 2023)
- 2023 California Legislation Update: A Continued Focus on Land Use Laws to Promote Housing Production - Cox Castle & Nicholson LLP (October 15, 2023)
- Affordable housing project in Pacific Beach first to breach San Diego's 30-foot coastal height limit - San Diego Union-Tribune (August 1, 2024)
- Development and affordability among top issues to impact Pacific Beach in 2026 - San Diego Union-Tribune (January 1, 2026)
- 'We have options.' San Diego may be able to deny Turquoise tower in Pacific Beach - San Diego Union-Tribune (December 17, 2024)