Southern California landlords, facing looming deadlines to cut water use, are swapping grass for poppies, succulents and other drought-resistant plants at office campuses and apartment complexes across the region. And they're getting paid to do it.
The region’s Metropolitan Water District, an importer of water for the 19 million people across Los Angeles, Orange, Riverside, San Bernardino, San Diego and Ventura counties, has doubled the amount of money — to at least $7 per square foot — it will give owners of commercial buildings to swap grass for native shrubs and rock gardens.
“Looking around you still see ... grass that isn’t played on, or picnicked on, or even walked on except when it is being mowed,” said a statement from Michael Camacho, vice chair of Metropolitan’s board. “This rebate helps these properties comply with the new state mandates while also switching to an alternative that is water-efficient, beautiful and supports our local ecosystems.”
Owners have a limited window in which to act. The federal and state programs that set $120 million aside to fund the rebates expire in 2026, while California is preparing to ban the watering of decorative grass in 2027. Property owners must pre-apply online to secure funds for landscaping projects that qualify.
For some commercial landlords, the push is about more than just water savings and regulations. Properties that cut irrigation costs, reduce heat and create shaded gathering spaces can be more attractive to tenants and customers seeking eco-friendly spaces, landlords tell CoStar News.
Other drought-prone regions are taking similar steps, with Phoenix suburbs paying residents thousands to swap grass for desert plants. In Texas, San Antonio’s water utility offers coupons and rebates to push homeowners toward drought-tolerant gardens that can handle long, dry summers.
Saving water and money
The Southern California water district estimates there are about 20,000 acres of nonfunctional turf across Southern California, and replacing that space could save more than 100,000 acre-feet of water annually — enough to supply roughly 300,000 households.
Converting grass to drought-tolerant gardens can transform a property’s look while cutting costs and signaling permanence, according to landscape architect David McCullough, principal at San Diego-based McCullough Landscape Architecture.
“Landscaping isn’t just about saving water — it’s about creating places people actually want to be,” McCullough told CoStar News. “Shifting to drought gardens with the right plant choices cuts costs and boosts value in a way that artificial fixes never can.”
Property owners looking to take advantage of the new rebate must apply before starting projects and meet program requirements, including planting at least three water-efficient plants per 100 square feet of turf removed.
Projects in Los Angeles can qualify for a rebate of $9 per square foot — due to overlapping incentives with the Los Angeles Department of Water and Power — on the first 50,000 square feet of turf removed and $3 per square foot for any additional area up to 7 acres.
Synthetic turf doesn’t qualify. Rebate recipients must also use plants suited to Los Angeles’ climate, add mulch or groundcover to lock in soil moisture and include a rain-capture feature with drip irrigation. The new landscape also has to stay in compliance with program rules for at least five years.