Los Angeles charges a per-square-foot linkage fee on most new market-rate residential and commercial development. Revenue feeds the Affordable Housing Trust Fund to subsidize income-restricted units citywide.
Under LAMC §19.18, added by Ordinance 184996 in 2017, builders pay a fee at building-permit issuance based on project type and market zone. The city is split into high, medium, and low market areas. Multi-family residential ranges roughly $8 to $15 per net habitable square foot in high-market zones, lower elsewhere. Commercial uses pay smaller per-square-foot rates. Affordable units, 100-percent-affordable projects, and accessory dwelling units are exempt. Density-bonus projects under State Density Bonus law receive partial credits. Fees adjust annually based on construction cost indices.
Building permits will not issue until the linkage fee is paid in full or a deferral agreement is recorded. Unpaid fees become liens on the property.
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See how Los Angeles's affordable housing linkage fee rules stack up against other locations.
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