Question 1

What is the Starter Home Revitalization Act?

Accepted Answer

It's the umbrella name for a series of state laws — starting with SB 684 (2023) — that let a development proponent subdivide a lot into up to 10 parcels and build up to 10 units, with ministerial (no hearing, no CEQA) approval, as long as the project meets specific site and design requirements. SB 684 applies to lots zoned for multifamily use; SB 1123 (2024) extended the same pathway to vacant lots in single-family zones.

Question 2

What does SB 1123 actually do?

Accepted Answer

SB 1123 opened the SHRA's streamlined ministerial pathway to vacant single-family-zoned lots up to 1.5 acres, where previously the law only reached multifamily-zoned lots up to 5 acres. It also expanded the list of eligible ownership structures to include tenancies in common and community land trusts, and took effect July 1, 2025.

Question 3

What is SB 1116, and is it the same thing as SB 1123?

Accepted Answer

No — SB 1116 is a separate, newer bill (introduced by Senator Anna Caballero in February 2026) that amends the same underlying statutes SB 1123 created. Think of it as a cleanup and enforcement bill: it responds to how cities actually implemented SB 1123 in its first year, including instances where HCD found Oakland and Hayward imposing restrictions the law didn't allow.

Question 4

How does SB 1116 change the definition of "vacant"?

Accepted Answer

Under SB 1123, a lot with an existing structure only counted as vacant if that structure was abandoned and uninhabitable — an undefined standard. SB 1116 changes "and" to "or" and replaces "uninhabitable" with "untenantable, as defined in Section 1941.1 of the Civil Code," California's existing statutory habitability standard (covering things like weatherproofing, plumbing, heat, electrical, and safe stairways/railings). The result is a looser, more concrete test: a structure only has to fail one of two clearly defined conditions, not both.

Question 5

What other changes does SB 1116 make?

Accepted Answer

It allows smaller newly created parcels in some cases (down to 960 square feet for single-family-zoned lots, from 1,200, when lot-size averaging is used), narrows what setbacks and height limits cities can impose, requires local agencies to submit implementing ordinances to HCD for a compliance review, and adds new annual reporting requirements so the state can track how the law is being used.

Question 6

Is SB 1116 law yet?

Accepted Answer

Not as of this writing. It passed the Senate without opposition and was ordered to a third reading in the Assembly in mid-August 2026. If signed, most of its provisions would apply to applications received on or after January 1, 2027.

Question 7

Why did HCD flag Oakland and Hayward?

Accepted Answer

HCD's technical assistance letters found Oakland requiring conditional use permits and enforcing setback and open-space standards the law doesn't allow, and found Hayward improperly limiting SB 1123's reach to sites zoned exclusively for multifamily use. SB 1116 is a direct legislative response to that pattern of local reinterpretation.

Question 8

How does this compare to California's ADU law?

Accepted Answer

Panelists at the summit repeatedly held up ADU law as the model to replicate: upzoning, streamlined ministerial review, and capped fees, all together. They see the Starter Home Revitalization Act (SB 684, SB 1123, and now SB 1116) as following that same formula for small-lot subdivisions and homeownership product, rather than rental ADUs.

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