Insights
Beverly Hills, the South Bay and Orange County: Luxury Markets Outside Measure ULA
Oliver Thornton · October 24, 2026
General information only. This article is educational and is not legal, tax, financial, lending or investment advice. Do your own due diligence and confirm everything with your own qualified professionals before relying on it. Read the full disclaimer.
Measure ULA changed the math for high-end development inside the City of Los Angeles. For developers who still want to build and sell above the threshold, a set of nearby markets outside city limits has become more attractive: Beverly Hills proper, the South Bay and parts of Orange County.
Why These Markets
- No Measure ULA. Sales outside City of Los Angeles limits aren’t subject to it, so a higher finished price doesn’t hit the same tax cliff. Other local transfer taxes may still apply.
- Deep luxury demand. These markets have established buyer pools for high-end homes and above-average resale liquidity.
- Strong fundamentals. Schools, beaches, employment centers and limited new supply support values.
How the Markets Differ
| Market | What draws buyers | What to watch |
|---|---|---|
| Beverly Hills proper | Global name recognition, flat streets, top-tier price levels | The city’s own design review and building standards |
| South Bay | Beach cities, schools, family demand | Coastal-zone permits on some sites; city-specific rules |
| Select Orange County | Coastal and master-planned luxury communities | HOA and community design approvals in some areas |
What Changes When You Leave the City
Every city writes its own zoning, floor-area rules, design review and permitting process. A strategy that works on a Westside street in the City of Los Angeles may need a different scope, timeline or design in Beverly Hills or a beach city. That is why these markets need local diligence on every site, and why we pass on sites that require design review boards or Coastal Commission approval.
Where This Fits Our Buy Box
In the City of Los Angeles, we generally price luxury acquisitions so the finished home sells below the Measure ULA threshold. Outside the city, in Beverly Hills proper and select Orange County and South Bay markets, we consider higher purchase prices where resale liquidity supports them. If you have a property in one of these markets, see our luxury buy box.
Transfer taxes and local rules vary and change; confirm the requirements for a specific property with qualified professionals.
Frequently Asked Questions
Does Measure ULA apply in Beverly Hills?
No. Measure ULA applies only to sales within City of Los Angeles limits. Beverly Hills is a separate city.
Do South Bay and Orange County cities have their own transfer taxes?
Transfer taxes vary by city and county. Buyers and sellers should confirm the taxes that apply to a specific property before pricing a sale.
Why consider higher price points outside the City of Los Angeles?
Without Measure ULA, a higher finished price doesn't trigger the same transfer tax cliff, and some of these markets have deep, liquid luxury demand.
Are the rules different outside the City of Los Angeles?
Yes. Each city has its own zoning, floor-area limits, design review and permitting process, so every market needs its own local diligence.
Important Disclaimer
This article is published by Assemble Capital for general informational and educational purposes only. It is not legal, tax, accounting, lending, appraisal, real estate brokerage or investment advice, and it is not an offer to sell or a solicitation of an offer to buy any security. Laws, regulations, government programs, lending practices, market conditions and local procedures change often and vary by jurisdiction and by property. The information here may be incomplete, out of date or not applicable to your situation, and we have no obligation to update it.
No one, including investors, lenders, property owners, buyers, sellers, agents, brokers, wholesalers or developers, should rely on this article in making any decision. Before acting on any topic discussed here, independently verify the information and conduct your own due diligence with qualified legal, tax, financial, lending, appraisal and real estate professionals and the applicable government agencies.
References to projects, timelines, approvals, appraisals, financing, prices or market conditions are illustrative, may change, and are not predictions, promises or guarantees of any result. Past performance is not indicative of future results.
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