SB9 in Saratoga

Saratoga earns a B grade for SB9 implementation, indicating a moderately favorable environment for investors interested in lot splits and duplex developments under SB9. The city shows growing activity and approvals, but the overall approval rate remains below 50 percent. Investors can expect a market with some hurdles but meaningful opportunities, especially given the large lot sizes and affluent Silicon Valley location.

Saratoga’s SB9 ordinance reflects the city’s status as an affluent Silicon Valley suburb with large lot sizes that encourage lot splits. The ordinance allows for standard SB9 lot splits and duplex construction, with design standards and setback requirements that maintain neighborhood character. Parking requirements and minimum lot sizes remain consistent with typical SB9 guidelines. The ordinance itself is straightforward and does not impose unusual restrictions beyond standard SB9 compliance.

Saratoga saw a surge of SB9 applications in 2022, with 36 submitted but only 3 approved. This low approval rate suggests initial caution or stricter local review processes. The Terner Center reported 21 lot split applications in 2022 alone, confirming significant interest from property owners in leveraging SB9. In 2023 and 2024, the number of applications dropped sharply to 6 per year, but approval rates jumped to 100 percent. This shift indicates that applicants became more selective or better prepared, and the city’s review process may have become more predictable or streamlined. No applications or approvals were recorded in 2025, which may reflect market saturation, shifting demand, or other external factors. Overall, Saratoga’s trajectory is growing due to the steady approvals in the middle years and the city’s large lot sizes that continue to drive SB9 uptake. There is no charter city litigation affecting SB9 implementation in Saratoga.

There is no record of any enforcement action by the California Department of Housing and Community Development (HCD) against Saratoga related to SB9 compliance.

Saratoga represents a solid SB9 market for investors willing to navigate a moderate approval environment. The city’s large lot sizes and affluent location create strong underlying demand for lot splits and duplexes. While initial approvals were limited in 2022, the city improved its approval consistency in subsequent years. The absence of enforcement actions and litigation risk adds stability. Investors should consider Saratoga a buy market for SB9 projects, especially if they focus on well-prepared applications that meet local design and setback standards. The pause in 2025 applications warrants monitoring but does not undermine the overall positive trend. For the grading methodology, see the SB9 City Guide post.