AB 253, AB 507, AB 671, AB 1308: California Builder Laws 2026 - Pacific Beach Guide
January 1, 2026 marked a significant turning point for California builders with the simultaneous implementation of four major streamlining laws. These laws fundamentally reshape how building permits are reviewed, how inspections are scheduled, and which projects qualify for fast-track approval in San Diego and across California.
Introduction: Four Major Streamlining Laws Now in Effect for San Diego Builders
January 1, 2026 marked a significant turning point for California builders with the simultaneous implementation of four major streamlining laws: AB 253, AB 507, AB 671, and AB 1308. These laws fundamentally reshape how building permits are reviewed, how inspections are scheduled, and which projects qualify for fast-track approval in San Diego and across California.
For Pacific Beach builders (92109) working on residential projects, restaurant tenant improvements, or adaptive reuse conversions in La Jolla (92037), Mission Beach (92109), Bird Rock, and Tourmaline Surfing Park areas, these laws offer unprecedented opportunities to reduce permit delays that have historically averaged five to seven months for complex projects. AB 253 alone gives builders the power to bypass city plan review delays by hiring certified private professionals after just 30 business days. AB 671 fast-tracks restaurant tenant improvement permits to 20 days for initial review. AB 507, effective July 1, 2026, will allow adaptive reuse projects with at least 50% residential uses to proceed by-right without discretionary review. AB 1308 requires building departments to conduct final inspections within 10 business days of completion notice.
Understanding how these laws work together is essential for builders looking to accelerate project timelines, reduce carrying costs, and stay competitive in San Diego's construction market. This guide answers the most common questions Pacific Beach contractors have about implementing these new streamlining provisions.
What is AB 253 and when can I use private plan check services?
AB 253, known as the California Residential Private Permitting Review Act, allows applicants for certain residential projects to hire certified private professionals to perform plan checks if the San Diego Development Services Department doesn't complete reviews within 30 business days. The law took effect immediately when signed by Governor Newsom on October 10, 2025.
Your project qualifies for AB 253 private plan check if it meets these criteria: the project is 100% residential, contains between 1 and 10 total units, is a ministerial building permit application (not requiring discretionary approval), and has no floors for human occupancy located more than 40 feet above ground level. This covers most single-family homes, duplexes, small apartment buildings, and ADU projects in Pacific Beach, La Jolla, Mission Beach, and Tourmaline Surfing Park neighborhoods.
The process works like this: after you submit your building permit application, if the city's estimated review time exceeds 30 business days or if they don't complete the review within 30 days, you can retain a qualified private plan check provider at your own expense. The private provider must be either a licensed professional engineer or architect who is also certified as a residential plans examiner by the International Code Council or a certified plans examiner by the International Association of Plumbing and Mechanical Officials.
Once the private plan checker submits their report affirming code compliance, the city has just 10 business days to either issue the permit or notify you of noncompliance. If the city fails to respond within that 10-day window and the private checker's report confirms compliance, your permit is deemed approved automatically. This provision remains in effect until January 1, 2036, giving San Diego builders a full decade of permit acceleration options.
How does AB 507 adaptive reuse streamlining work and when does it take effect?
AB 507 provides streamlined ministerial approval for qualifying projects that convert nonresidential buildings into residential or mixed-use developments, with the residential component deemed a use "by right" regardless of existing zoning. This law becomes effective July 1, 2026, making it operational for the second half of the year.
To qualify as an adaptive reuse project under AB 507, at least 50% of the square footage (excluding underground space) must be designated for residential uses. The building must be either less than 50 years old or meet specific historic preservation criteria. The project site must be within a city that has an urbanized area within its boundaries (which includes San Diego), and at least 75% of the site perimeter must adjoin parcels developed with urban uses.
The law includes affordability requirements. For rental housing projects, you must provide either 8% of units for very low income households and 5% for extremely low income households, or alternatively, 15% of units for lower income households. For owner-occupied housing, you must provide either 30% of units affordable to moderate-income households or 15% of units affordable to lower income households.
The major advantage is that qualifying adaptive reuse projects receive ministerial approval, meaning no environmental review under CEQA and no discretionary hearings before planning commissions or city councils. For Pacific Beach builders eyeing older commercial buildings along Garnet Avenue between Crystal Pier and the Pacific Beach Pier, or properties on Cass Street, AB 507 opens new opportunities to convert underutilized retail or office space into housing starting mid-2026. La Jolla's upscale commercial corridors also present adaptive reuse opportunities for mixed-use developments combining ground-floor retail with residential units above. Cities and counties may also establish adaptive reuse investment incentive programs to provide financial assistance to project proponents for up to 30 consecutive fiscal years.
What are the fast-track timelines for restaurant tenant improvements under AB 671?
AB 671, which took effect January 1, 2026, establishes aggressive timelines for restaurant tenant improvement permits that dramatically accelerate what used to be months-long approval processes. Local building departments must now approve or deny permit applications within 20 business days of receiving a complete application, and the plan is deemed approved if the department doesn't act within that timeframe.
For resubmissions after initial corrections, the timeline compresses even further: local building departments must approve or deny within just 10 business days. This means a restaurant tenant improvement project in Pacific Beach could theoretically receive full permit approval in 30 business days (20 days initial review plus 10 days for resubmittal) compared to the previous average of three to five months.
The law also allows qualified professional certifiers—licensed architects or engineers who meet specific requirements—to certify plans and specifications, similar to the AB 253 private plan check process. This gives restaurant owners and commercial contractors an additional path to accelerate approvals.
One important limitation: Senate amendments excluded fast food restaurants from the definition of "restaurant" for AB 671 purposes, so the streamlined process applies to sit-down restaurants, cafes, and similar food service establishments but not fast food chains. For Pacific Beach contractors working on restaurant build-outs along Garnet Avenue, Mission Boulevard, or Grand Avenue, AB 671 represents a significant competitive advantage in securing tenant improvement contracts by promising clients much faster permitting.
What inspection deadlines does AB 1308 impose on building departments and contractors?
AB 1308, effective January 1, 2026, requires local building departments to complete final inspections of permitted work within 10 business days after being notified that construction is completed. This applies specifically to new residential construction and residential additions to existing buildings.
The law creates a two-way accountability system. As the contractor or builder, you must notify the building department when permitted construction is complete and ready for inspection. Once you provide that notice, the building department has exactly 10 business days to conduct the inspection. If the department fails to inspect within that timeframe, it constitutes a violation of California's Housing Accountability Act.
For Pacific Beach builders, this eliminates one of the most frustrating bottlenecks in the construction process: waiting weeks for final inspections while holding completed projects and tying up capital. Previously, final inspection delays could stretch two to four weeks depending on inspector availability and department workload. AB 1308 cuts that maximum wait to just 10 business days.
The practical impact is significant for project cash flow. Every day a completed home or ADU waits for final inspection is a day of carrying costs without rental income or sale proceeds. By legally mandating the 10-day inspection window, AB 1308 provides builders with certainty for project closeout timelines and helps bring new housing to market faster. The law's connection to the Housing Accountability Act means cities face potential legal consequences for non-compliance, making enforcement more reliable than previous advisory timelines.
How many ADUs can I build on multi-family properties in San Diego as of 2026?
Under current San Diego regulations effective January 2025, multi-family properties can build as many ADUs as the number of existing units, up to a maximum of eight detached ADUs. This limit comes from state law SB 1211 and represents a significant opportunity for builders working with apartment building owners in Pacific Beach, Mission Beach, Bird Rock, La Jolla, and Tourmaline Surfing Park areas. This opportunity extends to multi-family properties throughout Mission Beach, where older apartment buildings along Mission Boulevard can add multiple ADUs to create additional housing units.
For example, if you're working with a property owner who has a four-unit apartment building, you can build up to four detached ADUs on the same lot. If the property has 12 existing units, you can still only build eight detached ADUs due to the cap. Additionally, multi-family properties can convert non-livable space (like garages, storage areas, or basements) into at least one ADU, with conversions capped at 25% of existing units.
The City of San Diego made significant changes to its ADU program on July 23, 2025, with amendments taking effect August 22, 2025. The city eliminated the bonus ADU program in eight single-family zones and now limits permitted ADUs and JADUs based on lot area for single-family properties: lots under 8,000 square feet allow four units maximum, lots 8,001-10,000 square feet allow five units maximum, and lots over 10,000 square feet allow six units maximum.
For multi-family ADU projects, the amendments require one off-street parking space for each affordable ADU and bonus ADU developed outside of Transit Priority Areas. Applicants must also pay a Community Enhancement Fee for bonus and affordable ADUs under 750 square feet. These requirements add project costs but don't eliminate the fundamental opportunity to add up to eight ADUs on qualifying multi-family properties throughout San Diego's coastal communities.
What are the costs and benefits of using AB 253 private plan check versus waiting for city review?
The cost-benefit analysis for AB 253 private plan check hinges on comparing private plan checker fees against the carrying costs of permit delays. While specific private plan check fees vary by provider and project complexity, the typical range is $3,000 to $8,000 for residential projects of 1-10 units, according to industry sources.
These costs must be weighed against the financial impact of permit delays. For Pacific Beach builders, permit review times currently average five to seven months for complex residential projects like custom homes and ADUs, though more than 50% of simple permits are issued the same day. Every month of delay generates significant carrying costs: loan interest on construction financing, property taxes, insurance, opportunity costs of capital, and potentially lost rental income or sale proceeds.
A typical scenario: you're building a custom home in Bird Rock near La Jolla Hermosa Park with a construction loan at 8% annual interest on $600,000. Each month of permit delay costs $4,000 in loan interest alone, not counting property taxes ($1,000-$1,500 monthly for coastal properties), insurance ($500-$800 monthly), and opportunity costs. If city plan review takes six months but AB 253 private plan check could reduce that to one month (30 days for the trigger plus 10 days for city response to private checker's report), you save five months of carrying costs: approximately $20,000-$30,000 in hard costs alone.
Even if the private plan check costs $6,000, you achieve net savings of $14,000-$24,000 while gaining timeline certainty that helps you schedule subcontractors, order materials, and plan project phases more efficiently. The intangible benefits include competitive advantages in bidding projects (you can promise clients faster delivery), improved cash flow management, and reduced exposure to construction cost inflation during permit delays.
The calculation shifts for smaller projects. A simple ADU conversion with $200,000 in construction financing would generate about $1,300 monthly in interest costs at 8%, making a $5,000 private plan check less attractive unless delays exceed four months. Builders should evaluate each project individually based on loan amounts, expected city review times, and project urgency.
Do these new laws apply to projects in Pacific Beach's Coastal Zone and what are the limitations?
Yes, AB 253, AB 507, AB 671, and AB 1308 all apply to projects in Pacific Beach's Coastal Zone, but with important limitations related to California Coastal Commission jurisdiction. The fundamental question is whether your project requires a Coastal Development Permit (CDP) and whether that permit represents discretionary or ministerial approval.
For AB 253 private plan check, the law requires that your project be a "ministerial building permit application," meaning it doesn't require discretionary approvals like CDPs for development in areas of deferred certification or appeals jurisdiction. Many smaller residential projects in Pacific Beach qualify for CDP exemptions or have ministerial CDPs, making them eligible for AB 253. However, projects on bluff-top properties, beach-fronting lots, or within 50 feet of the mean high tide line typically require discretionary Coastal Commission review, which would disqualify them from AB 253's private plan check provisions. Properties near Tourmaline Surfing Park, particularly those south of Tourmaline Street, may have different coastal overlay requirements that affect AB 253 eligibility.
AB 507 adaptive reuse projects face similar coastal considerations. While the law provides ministerial approval "by right" regardless of zoning, it doesn't supersede Coastal Act requirements. An adaptive reuse project converting a commercial building on Garnet Avenue (outside the Coastal Commission's appeals jurisdiction) would likely qualify for AB 507 streamlining. However, a beachfront property conversion in the Commission's original jurisdiction or appeals area would still require coastal development permits and potentially public hearings.
AB 671 restaurant tenant improvements generally avoid coastal complications because most restaurant TI projects occur in existing commercial buildings that don't involve exterior changes triggering coastal development review. A restaurant build-out in an existing shopping center on Garnet Avenue near the Pacific Beach Pier would qualify for the 20-day review timeline regardless of Coastal Zone location. For La Jolla contractors working on restaurant conversions along Prospect Street or Girard Avenue, AB 671 provides the same 20-day streamlined approval process.
AB 1308's 10-day inspection requirement applies universally to all residential construction in Pacific Beach, including Coastal Zone projects, because it governs building inspection timelines, not land use approvals. Even if your coastal project required extended Coastal Commission review for the initial permit, once construction is complete, the building department must conduct final inspection within 10 business days of your completion notice.
Pacific Beach builders should consult with the City of San Diego Development Services Department early in project planning to determine whether Coastal Zone requirements affect eligibility for these streamlining laws. The City's Coastal Development Section can advise whether your specific property and project type requires discretionary coastal permits that would limit AB 253 or AB 507 benefits.
Conclusion: Strategic Use of 2026 Builder Laws in Pacific Beach
The four major streamlining laws that took effect in 2026—AB 253, AB 507, AB 671, and AB 1308—represent California's most significant effort to reduce permitting delays and accelerate housing production in decades. For builders serving Pacific Beach (92109), La Jolla (92037), Mission Beach, Bird Rock, and Tourmaline Surfing Park communities, understanding how to strategically deploy these tools can mean the difference between profitable projects and cost overruns driven by extended permit timelines.
AB 253's private plan check option provides a critical escape valve when city review times threaten project economics. For projects with substantial carrying costs, the $3,000-$8,000 investment in private plan check can save tens of thousands in financing costs while providing timeline certainty. AB 671's restaurant permit streamlining opens opportunities for contractors to secure commercial tenant improvement work in Pacific Beach's coastal dining district and La Jolla's restaurant corridors by offering 30-day approval timelines that competitors can't match. AB 507's adaptive reuse provisions, effective July 1, 2026, will create an entirely new category of by-right housing projects converting underutilized commercial buildings along Pacific Beach's Garnet Avenue corridor and throughout Mission Beach. AB 1308's 10-day final inspection mandate eliminates the most frustrating project closeout bottleneck builders have faced for years.
The key to maximizing these laws' benefits is understanding their eligibility requirements and limitations, particularly in Pacific Beach's Coastal Zone where Coastal Development Permit requirements can override some streamlining provisions. Early consultation with the San Diego Development Services Department and, when necessary, the California Coastal Commission's San Diego office ensures projects are structured to qualify for maximum streamlining benefits while avoiding delays from regulatory conflicts.
Pacific Beach builders who master these new regulatory tools will gain significant competitive advantages in bidding projects, managing cash flow, and delivering completed buildings faster than competitors still operating under pre-2026 assumptions about permit timelines. The decade-long sunset provisions for AB 253 and the permanent nature of AB 1308 mean these aren't temporary programs—they represent a fundamental shift in California's approach to building permit administration.
This article provides general information about California's 2026 builder streamlining laws including AB 253, AB 507, AB 671, and AB 1308 for educational purposes. Laws, timelines, and requirements can vary by jurisdiction and specific property conditions. Always consult with qualified professionals—licensed architects, contractors, plan check providers, and local planning departments—and verify current City of San Diego and California Coastal Commission requirements before starting your project. Pacific Beach Builder provides professional construction services and permit navigation assistance throughout Pacific Beach, La Jolla, Mission Beach, and Bird Rock.