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Density Bonus Program
Webpage last updated 03/09/2026
Density Bonus Application Processing Fee $1, 200 effective 08/02/2025
Additional applicable fees are located at the bottom of this webpage. City of National City Master Fee Schedule: Adopted 06/03/2025 and Effective 08/02/2025
What is a Density Bonus?
The Individually Requested Density Bonus program offers a path for developers requesting a density bonus pursuant to Section 65915 et seq. of the California Government Code.
The Density Bonus program offers developers additional density, and waivers, concessions and incentives as identified by the project sponsor.
Waivers are modifications of volumetric requirements that are regulated by the Planning Code. Project sponsors may seek any waivers necessary to physically accommodate increased density in the bonus project. Requested waivers may not exceed that which is necessary to accommodate the bonus. Waivers may only be requested after allowable concessions and incentives are used.
Concessions and Incentives are reductions of site development standards or architectural design requirements which result in financially sufficient and actual cost reductions. Project sponsors may seek up to four concessions and incentives, depending on amount of affordable housing provided and the level of affordability of those units. The Department may request additional documentation and verification regarding cost reductions and/or impacts on public health, safety, or historic property. Required verification should include a site-specific analysis, at the sole discretion of the Department, (e.g. a pro forma) of the costs reductions to a project that will be provided by the requested incentive.
How do I apply to use the Density Bonus Law?
- Applicants seeking a density bonus must be familiar with CA Government Code Section 65915
- Complete the application (Word) and provide it to the Planning Department. The Density Bonus Application Processing Fee is due at this time.
- The Planning Department will give feedback on the application.
- When the Planning Department is satisfied with the application they will forward the application to the Housing Authority.
- Housing Authority staff will work with you to draft the Density Bonus Agreement (Word), and a Subordination Agreement (Word) if applicable. The agreement process (this step) will take six to eight weeks. The process includes draft of documents, revisions, legal approval, council agenda write up, and scheduled Council meeting.
- Recorded documents will be emailed to the applicant when they are available.
Calculate Income and Rent
- Start at 100% AMI for the imputed household size (per the Density Bonus Agreement Section 3, bedroom size + 1). State Income Limits (PDF)
- Multiply by the applicable AMI restriction (e.g. 50%, 80%, etc).
- Multiply by 30% to get the proportion of income allocated to housing costs.
- Divide by 12 to get the monthly limit.
- Deduct the applicable utility allowance corresponding to what the tenant is responsible for: National City Section 8 Utility Allowance Schedule . Use the utility schedule to deduct tenant-paid utilities from the rent.
Subsequent Subordination Agreement
Density Bonus Resubordination Template (Word)
Fees
- Density Bonus Application Processing Fee $1, 200 effective 08/06/2025
- Monitoring Fee per unit: $235 annually (subject to change)
- Subsequent Subordination Agreement Fee of $500.00
- Subordination Re-Check Fee of $150.00 (per occurrence)
- *Subject to Third Party Consultant Fees
- *Subject to staff hourly rates
- *Subject to Third Party Attorney Fees
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*Expedited Fee 150% of the Fee (based on staff availability)
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In an effort for the National City Housing Authority to full recover costs for services the fees with an asterisk have been added with the Fee Schedule (City-wide) Effective: August 2, 2025.
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