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Existing law requires a housing development project to be an allowed use as a transit-oriented housing development on any site zoned for residential, mixed, or commercial development within prescribed distances of a transit-oriented development stop if the development complies with specified requirements. Existing law applies these provisions to a local agency beginning July 1, 2026, unless the local agency adopts an ordinance or local transit-oriented development alternative plan, as specified. Existing law prescribes requirements for these plans, including requiring that the plan not reduce the capacity in any transit-oriented development zone in total units or residential floor area by more than 50%. Existing law defines various terms for these purposes. This bill would provide that a transit-oriented development alternative plan may reduce the capacity in up to one transit-oriented development zone in total units or residential floor area by more than 50% if certain requirements are met.