Irvine Approves 108 New Townhomes on Von Karman
The development replaces commercial space with 108 new townhomes to help the city meet its state-mandated housing goals.
Updated on Oct. 21, 2026 in Commercial
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The Irvine Planning Commission has approved a plan to replace a 99,000-square-foot office and industrial building with 108 new townhomes. Located at 16842 Von Karman Avenue, this project is part of a broader push to reach state-mandated housing targets.
Why it matters
The development signals a shift in land use within the Irvine Business Complex, where city zoning is actively prioritizing high-density housing over older commercial properties to help meet state mandates for 23,610 total homes by 2029.
The city has now permitted 7,442 homes as of the end of 2025 toward its 2029 goal of 23,610 units. This new project will add 108 townhomes, including 11 designated as affordable, to the existing 11,280 homes currently in the Irvine Business Complex.
The players
Irvine Planning Commission
The local regulatory body that manages land use, zoning, and project approvals for residential and commercial development in the city.
KB Home
A residential homebuilder that constructs and sells new townhomes and houses for families and individuals.
Dayani Partners
A real estate entity that currently owns the Von Karman Avenue commercial property.
The details
The approval allows KB Home to proceed with the development of 16 three-story residential buildings after it finalizes its purchase of the site. The developer plans to demolish the existing office and industrial building at 16842 Von Karman Avenue to clear space for the new units, which will range from 1,240 to 2,290 square feet. Because the commission approved the project, it can move forward without a separate City Council vote unless an appeal is filed.
Timeline
2020: Dayani Partners purchased the site for $25.4 million.
End of 2025: The city had issued permits for 7,442 residential homes.
April 2026: The Irvine Business Complex reached 11,280 total homes.
October 21, 2026: The Planning Commission approved the 108-townhome development.
2029: The deadline for the city to plan for a total of 23,610 homes.
Money Landscape
This project follows a trend of converting commercial space in the Irvine Business Complex into high-density residential housing to meet state-mandated housing targets. The development aligns with the city's ongoing effort to reach 23,610 total units by 2029.
The transition from commercial space to townhomes expands the local housing supply, potentially affecting the availability of residential units in the Irvine Business Complex. Prospective buyers or those tracking local property values should monitor how these zoning shifts impact neighborhood density.
The takeaway
Irvine is actively repurposing commercial land to meet state residential growth requirements. If you live or own property near the Irvine Business Complex, it is worth tracking local planning meeting agendas for future residential developments.
Further reading
Learn more about local land development trends in our Commercial section.
Source note: This article includes information reported by The Real Deal New York.
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