{"id":1809,"date":"2026-10-27T12:01:56","date_gmt":"2026-10-27T19:01:56","guid":{"rendered":"https:\/\/www.metroabundance.org\/?post_type=legislation&p=1809"},"modified":"2026-10-27T12:01:57","modified_gmt":"2026-10-27T19:01:57","slug":"downzoning-protection","status":"publish","type":"legislation","link":"https:\/\/www.metroabundance.org\/legislations\/downzoning-protection\/","title":{"rendered":"Downzoning Protection"},"content":{"rendered":"\n

About the bill<\/h3>\n\n\n\n

\u201cWhen a city reduces what you can build on your own property, you lose real value with no right to compensation. This bill fixes that. It protects property owners from arbitrary government action and keeps homes from being killed before they ever get built.\u201d<\/p>\u2014 Jim Manley, State Policy Director, Pacific Legal Foundation<\/a>, 2026<\/cite><\/blockquote><\/figure>\n\n\n\n

\u201cThis bill [SB 330] is based on a simple premise: Once a community has set their local rules, housing that meets those rules should get the green light and not face years of unnecessary delays.\u201d<\/p>\u2014 State Senator Nancy Skinner, author of SB 330, Berkeleyside<\/a>, June 2022<\/cite><\/blockquote><\/figure>\n\n\n\n

What this bill does<\/h4>\n\n\n\n

Cities often \u201cdownzone\u201d residential property, quietly reducing how much housing a property owner can build. These actions not only restrict homebuilding; they can also sharply reduce property values, often with little notice. This model legislation prohibits local governments from reducing the potential number of homes a property owner can build unless the owner is compensated for the loss in value.<\/p>\n\n\n\n

Why it’s needed<\/h4>\n\n\n\n

Reducing how many homes a property can hold doesn\u2019t always look like a rezoning. A city can add a new permit requirement, adopt a design rule, or pass a neighborhood plan that lowers the number of homes that can be built on a lot. Each change may seem small on its own, but together they can quietly shrink a community\u2019s capacity for new housing. These changes also cost property owners real value, and in most states, local governments can make them without compensating owners or accounting for the homes that will no longer be built.<\/p>\n\n\n\n

Frequently asked questions<\/h4>\n\n\n
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\n\t\t\t\t\tWhat does this bill actually do?\n\t\t\t\t\t <\/svg>\n\t\t\t\t\t <\/svg>\n\n\t\t\t\t<\/div>\n\t\t\t\t
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This bill prevents local governments from enacting or enforcing any zoning change that reduces what can be built on a property, except when needed to protect federal and state law, and for nuisance abatement. Downzoning is defined broadly: it includes reductions in density, height, or floor area, but also new procedural barriers like discretionary reviews or conditional use permits, use restrictions, and overlays or plans that reduce buildable area. Cities can still downzone, but they must pay owners for the lost value.
\nProperty owners, developers, and nonprofits have a clear path to challenge downzoning in court, to stop enforcement, get a declaratory ruling, or recover damages for lost property value. Attorney’s fees go to prevailing plaintiffs. Local governments bear the burden of proving a valid exception applies, and can avoid compensation by withdrawing the downzoning within 60 days of a formal challenge.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t

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\n\t\t\t\t\tWho is getting hurt by the status quo? \n\t\t\t\t\t <\/svg>\n\t\t\t\t\t <\/svg>\n\n\t\t\t\t<\/div>\n\t\t\t\t
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Anyone who owns property or is counting on being able to build on it. Seniors who bought a lot expecting to build a smaller home to age in place. Families who bought land as a long-term investment. Growing families counting on the ability to add a unit for a parent or rent out space to cover their mortgage. Small builders who planned a project based on what the zoning allowed when they bought the land.
\nThe broader cost falls on everyone who needs a home. When cities reduce what can be built, fewer homes get built, and families looking for a place to live have fewer options.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t

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\n\t\t\t\t\tHow common is downzoning?\n\t\t\t\t\t <\/svg>\n\t\t\t\t\t <\/svg>\n\n\t\t\t\t<\/div>\n\t\t\t\t
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For most of the 20th century, downzoning was one of the most common zoning changes in American cities. What began as a tool to guide growth became a tool to prevent it, as established neighborhoods used zoning to lock in low density and exclude new housing. A 2025 study of Chicago found hundreds of downzoning actions between 1970 and 2016, concentrated in the city’s highest-value neighborhoods. The pattern is not unique to Chicago.
\nThere is no national tracking system for downzoning. Most cities don’t report when they reduce development rights, and nothing requires them to. That invisibility is part of what makes it so persistent and so costly. A review by the Urban Institute found that downzonings limit construction and raise rents.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t

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\n\t\t\t\t\tWhy can’t local jurisdictions just fix this themselves?\n\t\t\t\t\t <\/svg>\n\t\t\t\t\t <\/svg>\n\n\t\t\t\t<\/div>\n\t\t\t\t
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A statewide rule sets one consistent guardrail, so whether a property keeps its housing capacity doesn\u2019t depend on who shows up to a particular meeting. Downzoning decisions can easily be driven by a few organized voices. A small group of nearby residents can push to reduce what a property can hold, while the people who would have lived in those homes aren\u2019t there to object. Even a city council that wants more housing can struggle to resist that pressure one hearing at a time.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t

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\n\t\t\t\t\tWould my state benefit from passing this bill?\n\t\t\t\t\t <\/svg>\n\t\t\t\t\t <\/svg>\n\n\t\t\t\t<\/div>\n\t\t\t\t
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Yes. Local governments in every state have the power to reduce what can be built on private property, and the majority of states have no rule preventing them from doing it without compensation. A handful of states have acted: Arizona, California, Florida, Oregon, and North Carolina have passed some form of downzoning protection. Everywhere else, property owners have no recourse for when a city changes the rules.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/div>\n\t<\/div>\n\n\n