Irvine Commission Approves 108 Townhomes on Von Karman

The project will replace an existing 99,000-square-foot commercial building with a new high-density residential community.

Updated on Oct. 21, 2026 in Commercial

Irvine Commission Approves 108 Townhomes on Von Karman

Live Poll

Should local officials approve converting aging commercial buildings into residential housing in your area?

The Irvine Planning Commission has approved the construction of 108 townhomes at 16842 Von Karman Avenue. The project requires the demolition of an existing commercial building currently owned by Dayani Partners.

Why it matters

The development advances the city strategy to convert commercial properties into high-density housing within the Irvine Business Complex. This move helps the city work toward its state-mandated goal of planning for 23,610 new homes by 2029.

The development will feature 16 three-story buildings with floor plans ranging from 1,240 to 2,290 square feet. The site consists of 97 market-rate units and 11 designated as affordable housing.

The players

Irvine Planning Commission

This local agency is responsible for reviewing and approving development proposals that align with the city's zoning ordinances and long-term land-use master plans.

KB Home

This national homebuilding corporation intends to finalize the property purchase and manage the construction of the new residential townhome community.

Dayani Partners

This investment group currently owns the commercial site at 16842 Von Karman Avenue and purchased the property in 2020.

KBS Growth & Income REIT

This real estate investment trust sold the development site to Dayani Partners for $25.4 million.

The details

The project will replace a 99,000-square-foot office and industrial facility that was purchased by Dayani Partners for $25.4 million in 2020. Because the Planning Commission has authorized the project, it may move forward without an additional City Council vote unless a formal appeal is filed.

Dayani Partners purchased the site in 2020.
Irvine had issued permits for 7,442 homes by the end of 2025.
The Irvine Business Complex contained 11,280 existing homes as of April 2026.
The Planning Commission approved the project on October 21, 2026.
The city must complete its housing planning requirements by 2029.

Culture Shift

The project represents a broader transition within the Irvine Business Complex as cities pivot from office-centric zoning toward dense, mixed-use living. This movement aligns with the California Housing Element Law which necessitates the conversion of underutilized commercial lands into residential units.

Residents can anticipate the eventual transition of the Von Karman corridor from an industrial area to a residential neighborhood as construction progresses. The addition of 11 affordable units will expand housing options for individuals seeking to live within the Irvine Business Complex.

The takeaway

The transformation of this office site illustrates how local planning commissions are prioritizing high-density residential growth to meet regional housing targets. Residents and investors should continue monitoring the Irvine Business Complex for similar conversions of office inventory into planned housing developments.