LAFAYETTE, CA: The City of Lafayette has reached a settlement of a lawsuit brought by Housing Action Coalition (“HAC”), which alleged that the City’s Housing Element failed to comply with California’s Housing Element Laws. As part of the settlement, the City has agreed to consider upzoning 130 acres of land and will pay $120,080 in attorney’s fees in order to resolve the pending litigation.
“While we dispute HAC’s contentions, this settlement agreement was made as part of a compromise in order to avoid time consuming and costly litigation. Lafayette has been and continues to be committed to providing for more housing in our community, including much-needed affordable housing,” said Mayor Carl Anduri.
In addition to resolving the pending lawsuit, the settlement also allows the City to protect itself from future legal risks. Recent changes in housing law associated with new case law posed risks to the City and by addressing disputed issues now, the City can reduce future litigation risk, avoid future challenges to its Housing Element, and focus its resources on thoughtful planning.
“Planning for more homes near transit in a high-resource community like Lafayette is exactly the kind of action the Bay Area needs to address the housing crisis and advance fair housing,” said Ali Sapirman, Advocacy and Policy Manager at HAC. Tom Mayhew of Farella Braun & Martel, who represented Housing Action Coalition pro bono, agreed: “We’re glad to see Lafayette taking this important step to give more people who can’t afford single-family homes the opportunity to live in a community with great schools, jobs, parks, access to transit, and other amenities.”
The City of Lafayette has agreed to consider the following land use changes by the end of the year through its regular discretionary review and public hearing process for such land use changes:
- Consider increasing the density of the land north of Mt. Diablo Blvd. currently zoned for 60 dwelling units per acre (du/ac) up to 65 du/ac;
- Consider increasing the density of the land that is adjacent to and north of Mt. Diablo Blvd. and lies between the intersections of Mt. Diablo and El Nido Ranch Rd. and Mt. Diablo and Pleasant Hill Road currently zoned for 35 du/ac up to 45 du/ac;
- Consider increasing the density of the land currently zoned for 35 du/ac up to 45 du/ac that immediately abuts the south side of Mt. Diablo Blvd. and lies between Mountain View Dr/Mt. Diablo Blvd. and the western intersection of Golden Gate Way and Mt. Diablo Blvd as well as all of the parcels that lie between Golden Gate Way and Mt. Diablo Blvd.
- Consider adding an additional 2 acres to De Silva South parcel of land at a maximum density of 35 du/ac.
“The City of Lafayette envisions a vibrant, connected downtown where new residential growth along Mt. Diablo Boulevard will create more opportunities for people to live close to restaurants, shops, the library, parks, and other gathering places. Through this upzoning effort, the City will allow greater residential density within the commercial core with convenient access to the BART station, Highway 24, and the Lafayette-Moraga Regional Trail. We are committed to partnering with housing developers to deliver housing that will strengthen the economic health and vibrancy of our downtown” said City Manager Niroop K. Srivatsa.
Additionally, if the proposed upzoning considerations are approved by the City, then the City will no longer rely on development of five specific “faith-based organization” parcels to meet the City’s Regional Housing Needs Allocation (“RHNA”) obligations.
HAC has also agreed to not fund or support any further litigation challenging the City’s Sixth Cycle Housing Element, or any actions taken by the City in accordance with this Agreement.
Background Information:
City of Lafayette (pop. 25,000) is located along Highway 24 between Orinda and Walnut Creek. The community is known for its small-town charm, downtown restaurants and hilly open spaces. While the City does not develop housing, it does establish zoning and land use regulations within which development occurs in the community, and the 2023-2031 Housing Element is a vision and strategy to facilitate 2,114 new housing units to meet the City’s Regional Housing Needs Allocation to help address California’s lack of housing supply. Lafayette’s housing stock is a mix of mostly single-family homes built post-WWII, along with multi-family housing downtown near transit and services and larger semi-rural parcels in and abutting the hillsides. Lafayette has several high-density residential projects that were built or approved in recent years, including:
- Opened Spring 2026: The Brant by Lennar (66 condominiums including 10 Below-Market-Rate units)
- Opened Spring 2026: Blue Oak by Griggs Group (20 condominiums including 3 Below-Market-Rate units)
- Approved 2026: Mount Diablo Condominiums by OUTDO Lafayette LLC (31 condominiums including 3 Below-Market-Rate units plus one commercial space)
- Approved 2025: 1001 Oak Hill Rd by Diamond Construction (90 rental units including 11 Below-Market-Rate units plus commercial spaces on the ground floor)
Housing Action Coalition is a member-supported non-profit with 501(c)3 and 501(c)4 status that advocates for building more homes at all levels of affordability to help alleviate California’s housing shortage, displacement, and affordability crisis.
