Two Adaptive Reuse Bills Pass California Assembly  

Downtown Assemblymember Miguel Santiago's adaptive reuse bills have passed the California Assembly. 

With the changing nature of work post-pandemic, there is a need for building owners to have greater flexibility with the use of their buildings.  

What You Need to Know   

Assembly Bill 2909 would expand the Mills Act and make it easier to convert old business buildings into homes in the City of Los Angeles. 

Starting January 1, 2026, buildings over 30 years old in business areas can be turned into rental homes, with tax breaks for owners to fund the conversion. 

Mixed-use projects must be 80% residential and include at least one community amenity. Conversions will also need to have at least three artist lofts and support active transportation. 

Assembly Bill 2910 would allow California cities with over 400,000 people with compliant Housing Elements and ordinances to speed up adaptive reuse projects, to create simpler code rules for older buildings.  

This aims to reduce the retrofitting burden on safe, repurposed buildings.  

The California Building Standards Commission must review and approve these rules within 90 days. 

How it Impacts You

These bills have the potential to give building owners greater flexibility with their properties to adapt to the changing nature of work and what the market demands.   

Currently, adaptive reuse projects are difficult to pencil out with high retrofit costs and narrow margins. 

These bills could reduce some of those burdens and make these projects more attractive.  

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