News Summary
Developers are suing Beverly Hills after the city rejected two proposed 19-story housing projects on Wilshire Boulevard. King’s Arch, Inc. claims the denials were unlawful, emphasizing the need for additional housing in light of the city’s housing shortage. The lawsuits are based on California’s Builder’s Remedy law, which allows developers to bypass local rules if a certain percentage of units are affordable. City officials defend their denial as justified, citing increased building area. This legal battle highlights ongoing tensions between state housing demands and local governance.
Beverly Hills, California – Developers are taking legal action against the city of Beverly Hills in response to the denial of two proposed housing projects, each standing 19 stories tall, along Wilshire Boulevard. The lawsuits have been filed by King’s Arch, Inc., a company owned by the Shamooilian family, alleging that the city’s rejection of their projects at 8800 and 8820 Wilshire Blvd. was unlawful.
The complaints were filed in Los Angeles Superior Court, where the developers argue that the city’s failure to approve the projects is both egregious and a violation of state law. With Beverly Hills currently wrestling with housing shortages, the projects are seen as crucial to providing additional housing stock. The attorney representing the developers has criticized the city, stating the city is not taking the housing crisis seriously.
Details of the Proposed Projects
The proposed development at 8800 Wilshire Blvd. aims to create 139 residential units, 17 of which would be designated as affordable housing. It also plans to include 1,381 square feet of retail space as well as 225 parking spaces located in an underground facility. Meanwhile, the project at 8820 Wilshire Blvd. proposes 134 units, with 16 affordable units, alongside 1,870 square feet of retail space and 223 above-ground parking spaces.
Legal Framework and City Compliance Issues
The lawsuits hinge on California’s Builder’s Remedy law, which permits developers to circumvent local regulations when at least 20% of the housing is classified as affordable. The application of this law is triggered when a city’s housing element is deemed out of compliance, which has been the case with Beverly Hills for approximately three years, from 2021 to 2024. Preliminary applications for these projects were submitted in December 2023, placing further pressure on the city’s housing policy.
Beverly Hills has faced scrutiny not only from King’s Arch but also from two housing nonprofits that have filed their own lawsuits regarding the same projects. Californians for Homeownership and the California Housing Defense Fund have both contested the city’s rejection of the proposed developments and asserted violations of state housing laws.
City’s Position and Response
City Attorney Laurence Wiener stated that the city’s decisions regarding the projects were justified, pointing to an increase in the overall building area of over 20%, which he claims disqualifies the projects from the Builder’s Remedy process. However, the developers argue that the projects’ total square footage has not changed enough to warrant such a disqualification. Currently, Beverly Hills is contending with at least six separate builder’s remedy lawsuits, indicating a broader conflict between local governance and state housing mandates.
City officials have announced their intention to formally respond to the lawsuits while maintaining that the application’s denials were justified due to non-compliance with city requirements. The city has until early July to schedule trial-setting conferences for the legal battles concerning the Wilshire Boulevard projects and awaits how these developments will unfold amidst increasing pressure to address housing shortages.
Broader Implications
This legal battle underscores ongoing tensions in California’s approach to housing development, especially within affluent areas like Beverly Hills where housing demands clash with local regulatory practices. As the state grapples with a significant housing crisis, the outcomes of these lawsuits could have lasting implications for urban planning and affordable housing initiatives in California.
Deeper Dive: News & Info About This Topic
HERE Resources
Developers Sue Beverly Hills Over Housing Project Denials
California Becomes Fourth-Largest Economy, Surpassing Japan
Beverly Hills Planning Commission Approves Builder’s Remedy Ordinance
Federal Charges Filed Against Developers for Alleged Bribery
Beverly Hills Council Rejects 15-Story Housing Proposal
Additional Resources
- Beverly Press – Beverly Hills Faces Four New Builders Remedy Lawsuits
- Los Angeles Times – Beverly Hills’ Housing Challenges
- Beverly Hills Courier – Ministerial Permit Process for Builders Remedy Projects
- Google Search: Beverly Hills housing lawsuits
- Bisnow – Beverly Hills Builders Remedy Projects
- Google Scholar: Beverly Hills builders remedy
