AZ HB 2720 & HB 2721: Gov. Katie Hobbs signs major housing bills
Arizona Gov. Katie Hobbs signed two significant housing bills on Tuesday, aiming to expand housing options and improve affordability for Arizonans. The bills will limit cities' ability to restrict backyard casitas and require denser housing near city centers.
The "casita bill" (HB 2720) allows single-family homeowners in 15 cities to build up to two backyard rentals by right, with larger lots permitted to have three units. Cities cannot impose parking requirements or mandate that the units match the main home's appearance.
The "middle housing" bill (HB 2721) requires cities with populations over 75,000 to allow the construction of duplexes, triplexes, and townhomes on all single-family lots within a mile of central business districts.
Why it matters
Arizona has been grappling with a severe affordable housing shortage in recent years, caused by factors such as the Great Recession, population growth, and investor activity. These bills aim to address the issue by increasing housing density and variety.
Yes, but
NIMBYs opposed the casita bill, arguing that it lacked restrictions on short-term rentals and could exacerbate concerns about "party houses." Gov. Hobbs acknowledged that this “issue” could be addressed later.
Additional Details:
The new laws will not apply to newer single-family home areas covered by homeowners' associations, which are contracts that lawmakers believe they cannot legally override.
These bills are part of a series of housing measures Gov. Hobbs has signed this year, including allowing "adaptive reuse" of old commercial sites and setting time limits on city zoning change decisions.
Gov. Hobbs praised the bipartisan nature of the votes and expressed pride in signing the measures. "I'm glad the Legislature heard my calls to come to the table to pass commonsense, bipartisan legislation that will expand housing options and help mitigate the effects of rising costs to make life more affordable for everyday Arizonans," she said.
Bottomline
The signing of these bills marks a significant step in Arizona's efforts to address its housing crisis. However, it is still insufficient, and much more work must be done. Gov. Hobbs has also taken other steps to appeal to other groups, including investing in the state's Housing Trust Fund and creating a mortgage assistance program for homebuyers.