Lawsuit Dropped Challenging This Bay Area County's Housing Proposal

MARIN COUNTY, CA — A lawsuit filed earlier this year, which challenged the County of Marin’s approval of the Marinwood Plaza affordable housing development, has been voluntarily dismissed.

“This lawsuit was an attempt to stop the creation of affordable housing in unincorporated Marin,” said Board of Supervisors President Mary Sackett, whose District 1 includes Marinwood. “I’m pleased to see that it has been dismissed by the parties who brought the lawsuit.”

A legal challenge against a 125-unit affordable housing development in San Rafael has been dropped by the petitioner.

In December 2024, Supervisors approved a 100% affordable housing project. However, in January 2025, the Marinwood Coalition Against Segregation sued Marin County to overturn the approval, alleging the County code prohibits projects with over 20% affordable units. The Marinwood Coalition Against Segregation v. County of Marin case was later dismissed after petitioners amended their filing.

Marinwood Plaza will offer 125 deed-restricted, affordable apartments for low-income Marin residents, preserving the Marinwood Market and adding a café, county officials said. Affordable housing typically means costs are under 30% of gross income.

The Board approved an additional $1.25 million loan for the project on Aug. 26, following a $6.25 million loan in December 2024, bringing the County's total to $7.5 million. This funding addresses financing challenges from reduced federal tax-credits, rising interest rates, and unmet philanthropic contributions for the approximately $80 million project, officials said.