HB2721 Summary

• Municipalities with 75,000+ residents must authorize duplexes, triplexes, fourplexes, and townhomes as permitted uses by January 1, 2026, on all single-family residential lots within one mile of the central business district and on at least 20% of new developments exceeding ten contiguous acres.

• Municipalities are prohibited from discouraging middle housing through overly restrictive requirements, including restrictions to less than two floors, floor area ratios below 50%, owner occupancy mandates, commercial building codes, fire sprinkler requirements, or parking requirements exceeding one space per unit.

• Zoning and permitting processes for middle housing must not be more restrictive than those for single-family dwellings in the same zone.

• If a municipality fails to adopt required regulations by January 1, 2026, middle housing becomes automatically permitted on all single-family residential lots without limitations.

• Exemptions apply to unincorporated areas, areas lacking urban services or water/sewer service, non-residentially zoned areas, and areas within specified distances of public or military airports.