NM HB194

Expands New Mexico's Metropolitan Redevelopment Code to add "housing shortage areas" as a new category alongside slum and blighted areas, defined as areas experiencing housing affordability problems, rising costs outpacing wages, low vacancy rates, or inadequate multifamily/workforce housing supply

Creates "qualifying multifamily property" designation for developments with 5+ units where at least 15% of units are reserved for households earning 70-95% of area median income, with average tenant income at qualifying units not exceeding 85% of area median income

Extends property tax exemptions for qualifying multifamily properties in housing shortage areas from the standard 7-year period up to 20 years, as specified in the local government's metropolitan redevelopment plan

Authorizes local governments to designate housing shortage areas through maps, narrative descriptions, zoning references, or other reasonable methods and to undertake redevelopment projects specifically for constructing or rehabilitating qualifying multifamily housing

Applies to qualifying multifamily properties acquired by municipalities or counties on or after May 20, 2026