AB 818 Explained: 10-Day Permitting for Modular Homes After the LA Fires

More than a year after the Eaton and Palisades fires destroyed nearly 13,000 homes, only about 28 have been fully rebuilt. The average permit processing time in LA County fire zones runs 100 days, and that's the fast track. Outside designated fire areas, comparable permits take up to 24 months. For families burning through ALE insurance and living in temporary housing, that gap is not an abstraction. It determines whether they get their lives back this year or in 2028.

AB 818, signed by Governor Newsom on October 10, 2025, and effective January 1, 2026, changes the math for one specific category of homeowner: anyone willing to place an HCD-approved or federally approved modular home on their cleared lot while the primary rebuild is underway.

What AB 818 Actually Requires

AB 818 adds Section 65946.1 to the Government Code. The operative requirement is direct: after a parcel has been deemed safe for development following a declared local emergency, a local agency must approve or deny a complete permit application within 10 business days for temporary housing structures.

The structures covered include:

• State-approved or federally approved modular homes

• State-approved or federally approved prefabricated homes

• A detached structure that qualifies as an ADU on the affected property

• Structures similar to the above

The 10-business-day clock starts when the agency receives a complete application. The word "complete" matters. An incomplete submittal does not start the clock. This is where working with a manufacturer who has pre-approved plans eliminates the most common source of delay.

AB 818 also waives solar panel installation requirements under Title 24 for properties rebuilding after a disaster, and requires utility providers to respond to connection requests within 30 days of receipt.

Why HCD Approval Is the Key Variable

The 10-day clock in AB 818 applies to state-approved or federally approved modular homes. Not every modular manufacturer holds HCD approval. Without it, the local agency is not bound by the 10-business-day timeline and can revert to its standard review process, which in LA County currently averages 100 days even in expedited fire-zone mode.

Abodu units carry HCD state approval. That approval, combined with pre-reviewed plans already on file, is what makes a complete application submittable quickly. The factory production of the unit runs concurrently with the lot preparation and permit review. By the time the permit issues, the unit can be ready to install.

This compression of the timeline is not theoretical. The same local agencies that take three to six months to process a standard rebuild permit are legally required to act within 10 business days on a complete AB 818 application for an HCD-approved modular home.

How AB 462 Stacks on Top of AB 818

AB 818 addresses permitting speed. AB 462, signed the same day as an urgency statute effective immediately, addresses what happens after the permit issues.

Under prior law, an ADU or modular unit could not receive a Certificate of Occupancy until the primary dwelling was also ready for occupancy. For fire rebuild families, that created a catch-22: you couldn't legally move into your new modular home until your primary rebuild, which could take 18 to 24 months, was also complete.

AB 462 eliminates that requirement for properties in emergency-declared counties where the disaster occurred on or after February 1, 2025. The Eaton and Palisades fires qualify. This means an Abodu placed on your cleared lot under AB 818 can receive its own Certificate of Occupancy independently, allowing your family to move back onto your property months before your primary rebuild is finished.

The combined effect: a complete AB 818 application gets a decision within 10 business days, and the issued unit can be occupied immediately upon installation under AB 462, without waiting for the primary rebuild to reach completion.

The Third Piece: SB 625

AB 818 and AB 462 handle the permitting and occupancy questions. SB 625, also signed October 10, 2025, handles a separate obstacle that affects homeowners in HOA communities and neighborhoods with CC&Rs.

SB 625 prohibits homeowners associations from blocking the rebuilding of homes destroyed in disasters over design differences, as long as the new structure is substantially similar to what existed before. HOAs that attempted to delay or veto rebuild plans based on aesthetic disagreements no longer have that authority.

For homeowners in Altadena neighborhoods with active HOAs, this removes what could have been a significant source of additional delay.

What This Means for Altadena and Palisades Homeowners

The data on conventional stick-built rebuilds in LA County is not encouraging. As of early February 2026, 6,116 rebuild applications had been submitted to LA County. About 2,894 permits had issued, roughly 47 percent of applications, and only 28 structures had been completed. Average processing times in fire zones run around 100 days. Outside fire zones, the same process takes up to 24 months.

AB 818 creates a separate, faster lane for homeowners willing to place an HCD-approved modular home on their lot during the rebuild. That lane has a mandatory 10-business-day decision window. For families whose ALE insurance is expiring, whose children need to return to schools in their community, and who cannot afford to wait out a 12 to 24 month permitting backlog, that lane is the difference between getting home this year and not.

The caveat is practical: the 10 days apply to a complete application. Submitting a complete application requires pre-approved plans, accurate site documentation, and a unit that already holds HCD approval. Working with a manufacturer who has that infrastructure in place is the fastest path to a complete submittal on day one.

Frequently Asked Questions

Does AB 818 apply to my property if I was affected by the Eaton or Palisades fires? Yes, provided your parcel has been deemed safe for development by the state or local agency following the declared local emergency. The January 2025 LA fires qualify under the statute's definition of a disaster resulting in a declared local emergency.

Does the 10-business-day requirement mean the permit will definitely be issued within that window? AB 818 requires the local agency to approve or deny a complete application within 10 business days. A denial must be in writing with reasons. If your application is incomplete, the clock does not start. This is why submitting through a manufacturer with pre-approved plans and complete site documentation is critical.

Can I live in the modular home before my primary dwelling is rebuilt? Yes, under AB 462. That law allows an ADU or modular home on a fire-affected property to receive its own Certificate of Occupancy before the primary dwelling is rebuilt, provided the disaster occurred on or after February 1, 2025. The Eaton and Palisades fires qualify.

Does AB 818 apply in Malibu and Pasadena in addition to Altadena and Pacific Palisades? AB 818 applies wherever a parcel qualifies as an affected property under a declared local emergency. Malibu and Pasadena properties affected by the January 2025 fires qualify. Confirm with your local agency that your specific parcel has received a safe-for-development determination.

Is an Abodu unit eligible for the AB 818 10-day permitting pathway? Yes. Abodu holds HCD state approval, which qualifies Abodu units under AB 818's definition of state-approved modular homes. Combined with Abodu's pre-approved plan sets, the submittal can be complete from day one, starting the 10-business-day clock immediately.

Ready to find out if your lot qualifies for the AB 818 pathway? Schedule a free site assessment with Abodu.