(a) For purposes of this section:

1. (1) “Acutely low income” has the same meaning as defined in Section 65582.
2. (2) “Affordable housing cost” has the same meaning as defined in Section 50052.5 of the Health and Safety Code.
3. (3) “Affordable rent” has the same meaning as defined in Section 50053 of the Health and Safety Code.
4. (4) “Extremely low income” has the same meaning as defined in Section 65582.
5. (5) “Low income” has the same meaning as defined in Section 65582.
6. (6) “Very low income” has the same meaning as defined in Section 65582.

(b)

1. (1) For purposes of the housing element portion of the annual report required by paragraph (2) of subdivision (a) of Section 65400, beginning with the report due by April 1, 2027, for up to 25 percent of a jurisdiction’s regional housing need allocation for low-, very low, extremely low, or acutely low income households, the planning agency may include the number of units in an existing multifamily building that were converted to affordable housing by imposition of long-term affordability covenants and restrictions that require the unit to be available to persons or families of low, very low, extremely low, or acutely low income at an affordable rent or affordable housing cost for at least 55 years.
2. (2) The report shall clearly indicate that the units described in paragraph (1) were not newly constructed units and shall provide all relevant project- and unit-level information, as described in subparagraph (H) of paragraph (2) of subdivision (a) of Section 65400.

(c) For purposes of this section, a unit may be reported as a converted unit under subdivision (b) only if all of the following apply to the unit:

1. (1) The unit was not subject to any affordability covenants or restrictions prior to the conversion.
2. (2) The unit is subject to a long-term recorded regulatory agreement with a public entity that requires the unit to be affordable to, and occupied by, persons of low, very low, extremely low, or acutely low income for a term of at least 55 years.
3. (3) Notwithstanding the occupancy restrictions required by paragraph (2), the unit is subject to a requirement that a household or member of a household that resides in the property at the time of conversion shall not be evicted, nor shall their tenancy be terminated, on the basis of their income or other eligibility requirements for deed-restricted units in the property.
4. (4) Any occupants temporarily displaced by rehabilitation or improvements related to the conversion have been provided temporary replacement housing during the period of their temporary displacement.
5. (5) The unit is in decent, safe, and sanitary condition after conversion, including, but not limited to, any necessary initial rehabilitation.
6. (6) The unit is subject to a governmental monitoring program to ensure continued affordability and occupancy by qualifying households throughout the term of the affordability restriction.

(d) Units reported under this section shall be separated into the following categories:

1. (1) Acutely low income units.
2. (2) Extremely low income units.
3. (3) Very low income units.
4. (4) Low-income units.