A development agreement is a contract between a local government agency and a developer, which outlines the terms and conditions for a proposed development project. In California, the development agreement is governed by the California Government Code, specifically sections 65864 to 65869.5.
The purpose of the development agreement is to ensure that the proposed project complies with local land use regulations while providing certain benefits to the community. The agreement may include provisions such as the type of development, timeframes, construction standards, and performance guarantees.
One of the key benefits of the development agreement is that it provides certainty to the developer regarding the project`s approval and the terms of development. This certainty allows the developer to invest time and money into the project, knowing that the local government agency has committed to approve the proposed development.
The development agreement also provides benefits to the community by ensuring that the project meets certain requirements, such as affordable housing units or funding for public infrastructure improvements. The agreement may also include provisions for community benefits, such as open space or recreational areas.
The California Government Code requires that a development agreement be adopted by a local government agency following a public hearing. The agreement must be in writing and must include specific terms and conditions, including the project`s description, the responsibilities of the parties, and the rights of the parties.
One of the benefits of the development agreement is that it allows for flexibility in the land use entitlement process. The agreement can provide a framework for the development of a project, enabling the developer to make modifications to the project as long as they are consistent with the terms of the agreement.
In conclusion, the development agreement is an essential tool for developers and local government agencies in California. The agreement allows for flexibility in the land use entitlement process while ensuring that the proposed development complies with local regulations and provides benefits to the community. As a result, the development agreement has become an increasingly popular option for developers seeking to secure a project`s approval while also meeting community needs.