Aliso Viejo, CA Zoning Overlays & Bonuses: Density Bonus Law (2026)

Chapter 15.58 of the Aliso Viejo zoning code, Affordable Housing Incentives, implements California Government Code Sections 65915 and 65917 through a single section, 15.58.010. A project qualifies only if it has five or more dwelling units and includes one of the following: 10 percent of units for lower income households; 5 percent for very low income households; a senior citizen housing development or age-restricted mobile-home park; or 10 percent of units in a common interest development for moderate income households, with all units offered to the public for purchase.

The minimum bonus is a 20 percent increase in density for the lower income, very low income and senior tracks, 5 percent for the moderate income track, and 15 percent for a land donation that meets Government Code Section 65915(g)(1) and (2) and supports very low income units equal to at least 10 percent of the total. More affordable units earn more: 1.5 percent for each one percent above 10 percent lower income units, 2.5 percent for each one percent above 5 percent very low income units, and 1 percent for each one percent above 10 percent moderate income units. Fractional units round up, density bonus units are not counted in the total, and in no event must the city grant more than a 35 percent increase over the otherwise maximum allowable residential density.

Incentives come in numbers of one, two or three. Lower income projects earn one at 10 percent, two at 20 percent and three at 30 percent of units. Very low income projects earn one at 5 percent, two at 10 percent and three at 15 percent. Moderate income condominium or planned development projects earn one, two or three at 10, 20 and 30 percent. The menu covers reduced development standards such as coverage, setback, zero lot line, reduced parcel sizes and parking, mixed use zoning approval, and other regulatory concessions.

The applicant must submit a proposal naming the incentives sought. The city grants them unless it makes a written finding, based on substantial evidence, that the incentive is not required for affordable housing costs, would have a specific adverse impact on health, safety, the physical environment or a California Register historical resource with no feasible mitigation, or would be contrary to state or federal law. Inconsistency with the zoning ordinance or general plan is not a specific adverse impact. If bonus units cannot fit because of strict compliance with the title, the city council shall waive or modify development standards.