Laguna Beach receives housing element progress report; staff says city exceeds market-rate production but gaps remain in low-income units

Laguna Beach — City planning staff presented the annual progress report on the housing element, telling the council the city has exceeded market-rate unit targets but still shows little progress producing very-low- and low-income housing.

Planning staff said the city continues to implement 85 programs listed in the housing element; 15 programs are complete and many others remain ongoing. The staff noted the city’s success in producing market-rate housing with little or no city incentive while emphasizing that programs and regulatory work remain to address affordable housing production and supportive services.

Council members asked about items that could accelerate housing outcomes before the next planning cycle, including updates to the Laguna Canyon annexation-area specific plan (listed in the housing element with an anticipated completion of Oct. 30, 2029) and strategies to ensure compliance with affordable housing regulatory agreements. Staff said they have an RFP out for planning-as-needed services that includes housing oversight and are evaluating funding options to support ongoing compliance checks and program delivery.

Council voted to receive and file the report; members asked staff to follow up with a summary table in future annual reports that lists completed, in-progress and continuous programs and to return with options to accelerate programs that can yield affordable units before the next RHNA cycle.

What comes next: Staff will file the annual report with the state Department of Housing and Community Development and return with suggested accelerations for priority programs, and the planning department will continue work on the Downtown Specific Plan Phase 2 and Laguna Canyon plan updates.