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Apr
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CHIP Ordinance Los Angeles: New Housing Incentives Explained

Effective February 2025, the Citywide Housing Incentive Program (CHIP) expands housing potential across Los Angeles.

At Bittoni Architects, we believe architecture can play a key role in building a more equitable and vibrant Los Angeles. The recently adopted CHIP Ordinance Los Angeles, which took effect in February 2025, is a major step in that direction.

If you’re a developer, property owner, or investor in Los Angeles, the CHIP Ordinance may be the tool that makes your next project more viable, more flexible, and more impactful—even if you’re not near a major transit line.

What Is the CHIP Ordinance Los Angeles?

The Citywide Housing Incentive Program (CHIP) is the city’s newest affordable housing tool, offering expanded zoning and density bonuses to more parcels across Los Angeles—not just those near public transit.

It’s designed to promote housing growth by giving developers the flexibility to build more units—including affordable housing—through incentives and streamlined approvals.

You can learn more about the program on the L.A. City Planning website.

Who Qualifies for CHIP?

The CHIP Ordinance Los Angeles applies citywide, unlocking opportunity in neighborhoods that previously didn’t qualify for programs like TOC. If your project includes a percentage of deed-restricted affordable housing, you may be eligible.

CHIP Ordinance Benefits for L.A. Housing Projects

If your site qualifies, the CHIP Ordinance Los Angeles offers major incentives:

  • Up to 50% density bonus (build more units)

  • Additional height and floor area (design taller or denser buildings)

  • Parking reductions

  • Waivers from certain zoning rules (like setbacks, lot coverage)

This makes it easier to unlock underused lots and maximize your development potential.

How the CHIP Ordinance Can Benefit Your L.A. Housing Project

Whether you’re working on a multifamily development, infill housing, or adaptive reuse, CHIP can:

  • Improve project feasibility

  • Unlock added value on sites previously constrained by zoning

  • Help meet affordability goals

At Bittoni Architects, we’ve already begun applying the CHIP Ordinance Los Angeles to current projects. It’s changing the conversation around what’s possible—both financially and architecturally.

FAQs About the CHIP Ordinance Los Angeles

Who can use the Citywide Housing Incentive Program?
Most L.A. property owners and developers can qualify, especially those including affordable housing.

What’s the difference between CHIP and TOC?
TOC is tied to transit. CHIP applies citywide, regardless of transit access.

What kind of affordable housing is required?
Typically, a portion of the units must be deed-restricted for low- or very low-income households.

Can CHIP be used with other incentives?
In many cases, yes. CHIP may be combined with AB 2097, which eliminates parking minimums near transit, and other state bonus laws.

For policy reference, you can also visit the Los Angeles Housing Department.

Our Take

The CHIP Ordinance Los Angeles is one of the most promising housing tools in recent memory. For us, it’s not just a code change—it’s a design opportunity.

It allows us to help clients build smarter, contribute to affordability, and create architecture that’s both thoughtful and future-focused.

Ready to See if Your Site Qualifies?

We’re currently offering complimentary CHIP feasibility reviews to help clients understand what’s possible under the new ordinance.

Let’s explore what CHIP could unlock for your site.
Contact Bittoni Architects to get started.