The City of Encinitas is dedicated to creating and maintaining safe, clean and affordable housing for all residents. The City achieves this in part through Inclusionary Housing. The Inclusionary Housing Program requires new residential projects of seven units or more to provide either:

a.     Fifteen percent (15%) of the dwelling units made available at affordable sales price to low-income households; or
b.     Ten percent (10%) of the dwelling units in the residential development made available at affordable sales price to very low-income households include 20% affordable housing.

The City offers alternative compliance options that are outlined in Section 30.41.080 of the Zoning Code such as an in-lieu fee and off-site compliance. The applicability, requirements, and exemptions can be found in Chapter 30.41 Affordable Housing.

The City annually adjusts the incomes, rents and sales prices for inclusionary units as they are updated by the State Department of Housing and Community Development. The updated rent and income schedule is available here.

Proposed Affordable Housing Amendments

On August 11, 2021, City staff pulled the City Council Agenda item to adopt Ordinance 2021-02 (Inclusionary Housing Ordinance) to address concerns raised regarding Residetnial Care Facilities. Staff will be renoticing the Ordinance and Fee Resolutions for a future meeting in September/October. The last staff report is available here. All past staff reports and meeting videos are available on the Agendas and Webcasts webpage.

Current Studies

In June 2018, City Council directed staff to prepare a nexus study, gap analysis, and economic feasibility study to evaluate opportunities for increasing affordable housing units citywide and on sites to be upzoned to 30 dwelling units per acre (du/ac).

Following the City Council's review of the findings in October 2018, additional analysis was requested. The City's consultant, Keyser Marston Associates, Inc. (KMA), has completed the requested studies. The feasibility study evaluates the impacts that various potential inclusionary requirements would have on the financial feasibility of new residential development in Encinitas both citywide and on select R-30 Overlay upzoned sites.

The nexus study was prepared to support adoption of a potential new affordable housing fee applicable to Residential Care facilities and to support in-lieu fees that apply to residential development projects. The findings of these studies were presented to City Council and Planning Commission for direction to staff on December 11, 2019.

The final studies are available here: