Unlawfully restrictive covenants: housing developments: Palisades Fire.

Assembly Member Petrie-Norris's legislation expands California's restrictions on certain real property covenants to include properties in counties affected by the January 2025 Palisades Fire emergency declaration. The measure builds upon existing law that makes recorded covenants limiting residential development unenforceable against affordable housing projects when proper modification documents are filed.

Under the amended provisions, property owners in fire-affected counties can petition to modify or remove deed restrictions controlling the number, size, or location of residences, or limits on occupancy, through an established county review process. Owners must submit original covenant documents and supporting materials to county recorders, who then coordinate with county counsel to evaluate whether modifications meet legal requirements. Upon approval, owners must notify other parties with property interests through certified mail or public notice.

The legislation maintains existing exemptions for certain types of covenants, including those governing aesthetic standards, common area maintenance fees, and rent limits. Conservation easements recorded before 2022 or held by accredited land trusts also remain protected. County recorders can charge standard fees for processing modification requests, while prevailing parties in related litigation may recover costs and attorney fees incurred after recording approved changes.