Development Agreements
California law authorizes cities to conduct structured, bilateral negotiations with developers in order to obtain desired improvements in exchange for development rights. The extent to which a new development project can contribute to the provision of infrastructure or other public improvements depends on construction costs, lot size and configuration, parking ratios, market prices, and other factors related to the anticipated costs and revenues of the development project. All of these factors vary depending on the particular project and timing of development, so the amount of public benefits that can be provided is unpredictable and must be negotiated case by case.
