Housing development: transit-oriented development.

Senator Wiener's transit-oriented development legislation establishes new state standards for housing construction near public transit stops, requiring local governments to permit increased residential density and building heights within specified distances of rail and bus stations.

The bill creates a three-tiered system of development standards based on transit type and frequency. Within a quarter-mile of heavy rail or very frequent commuter rail stops (Tier 1), local governments must allow buildings up to 75 feet tall with densities of 120 dwelling units per acre. Areas near light rail and high-frequency bus stops (Tier 2) must permit 65-foot heights and 100 units per acre, while zones around less frequent rail and ferry stops (Tier 3) require 55-foot heights and 80 units per acre. Maximum densities decrease slightly for projects located between a quarter-mile and half-mile from transit.

Local jurisdictions must incorporate these standards into their zoning codes by July 2026 unless they adopt alternative plans maintaining equivalent overall housing capacity. The Department of Housing and Community Development will review local ordinances for compliance. Projects meeting the bill's criteria qualify for streamlined approval, though they must include affordable units - either 7% for extremely low income, 10% for very low income, or 13% for lower income households.

The legislation prohibits development that would demolish rent-controlled housing or housing occupied by tenants within the past five years. Transit agencies may establish their own development standards for agency-owned properties near stations, provided the standards meet or exceed state minimums. Starting in 2027, cities that deny qualifying projects in high-resource areas face automatic penalties under the Housing Accountability Act unless they demonstrate specific health and safety concerns.