AB 1050: Expanding Opportunity to Remove Restrictive Covenants That Block Housing

West Coast Land Use and Environment attorney Daniel Golub contributed a Daily Journal article analyzing California Assembly Bill (AB) 1050 and its potential to accelerate commercial-to-residential redevelopment by removing a deal-stopping obstacle: restrictive covenants recorded in property titles. He explains how AB 1050 builds on two converging legal trends – state programs promoting conversion of underused commercial sites into housing and expanded statutory mechanisms for "redacting" covenants that impede residential development – by extending Civil Code Section 714.6 beyond affordable housing to cover market-rate and mixed-income housing where residential use is permitted under state or local law. Mr. Golub also outlines how developers may combine AB 1050 with other streamlined approval pathways to move projects forward even when neighboring property owners might otherwise use covenants to block them. He also emphasizes that covenant removal is not automatic, requiring a recorded modification filing and proof of statutory eligibility, and notes key limits and carveouts, including exemptions for purely aesthetic standards and certain conservation easements.

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