The state of Washington is preparing to pass a bill that would require cities to allow residential development in some commercial areas.
That’s a priority for Gov. Bob Ferguson, according to Realtor.com.
Senate Bill 6026 would require cities with more than 30,000 residents to allow residential uses in areas zoned for commercial and mixed-use development. It just passed the state House by a vote of 69-27 and was approved by the Senate last month, 36-12.
Once the state Legislature gives its final approval, Ferguson will be able to sign it into law.
The bill was introduced at Ferguson’s request earlier this year and it has evolved significantly in the past few months during legislative debate. Ferguson said in January that the goal was to allow for more housing and incorporate more mixed-use development in areas that had previously been reserved for commercial use.
“This is one way to increase access to affordable housing,” Ferguson said. “For example, an abandoned strip mall or shuttered big-box store could be turned into housing without having to go through the process of changing its zoning to residential.”
Originally, Realtor.com noted, the bill prevented cities from requiring ground-floor retail in buildings. Lawmakers amended the bill, however, with more carve-outs after cities expressed concern that it would complicate the development of mixed-use neighborhoods.
Rural Areas Are Unaffected
Now, many sites targeted for transit-oriented development have exceptions—as do business improvement districts that seek to enliven commercial areas.
Realtor.com noted that rural areas are unaffected.
The bill is “delicately negotiated,” said Rep. Strom Peterson, a Democrat, at a final hearing. Cities were worried about how the bill could affect their local planning and comprehensive plans.
Officials in the state capital of Olympia have produced a set of other changes to local zoning in recent years aimed at helping the state produce the 1.1 million housing units it needs over the next 20 years.
“This is a well-thought-out and tricky but well-negotiated supply bill to get more housing, especially into our urban cores,” Peterson said. The bill “will give developers and cities an opportunity to still create walkable neighborhoods” with affordable housing.
Rep. April Connors, a Republican who is the ranking minority member of the House Appropriations Committee, said there is some resistance among Republicans who want more tweaking to the bill.
“We’re going to be talking about housing supply for many, many, many years to come in Washington state due to the lack of housing we have now,” said Connors, who herself supported the bill. “We think that we want to work on the policy, talk about the policy a little bit more.”
Realtor.com noted that changes to the bill have required the state to provide ways for cities to seek exceptions or opt-outs that could water down the bill’s impact. But Democratic Rep. Gerry Pollet said at a hearing that the bill doesn’t force developers to reapply for permits.
The Puget Sound Regional Council found Seattle alone has about 4,000 eligible parcels. Spokane, Vancouver, and Tacoma have more than 2,000 parcels each, Realtor.com reported. Only a fraction of those sites could be considered “under-developed,” where it might be financially appealing to redevelop the land.
An analysis found relatively few parcels affected by the outright ban on residential development. But almost 71% of them restrict residential development with requirements for ground-floor retail, Realtor.com noted.
The bill was backed by Realtors in the state and The Washington Trust for Historic Preservation said it is generally supportive, but it is concerned the bill might damage the historic character of older downtowns and hamstring architectural reviews.
