AZ neighborhood asks for housing law exemption
A recent assessment shows Phoenix has a shortage of about 59,000 housing units, but efforts to solve that are at odds with some, as a historic neighborhood near Downtown Phoenix asks for an exemption from a new housing law that is set to take effect in January. FOX 10’s Taylor Wirtz reports.
PHOENIX – A city assessment shows the City of Phoenix has a shortage of about 59,000 housing units, but efforts to solve that are at odds with some residents, as people in the historic Willo neighborhood are asking for an exemption from HB 2721.
The backstory:
HB 2721, which was passed by state legislators in 2024, is set to take effect on Jan. 1, 2026. The law requires towns and cities with at least 75,000 residents to allow ‘middle housing’ such as duplexes, triplexes, fourplexes and townhomes to be built in neighborhoods traditionally zoned for single-family homes.
“It’s notoriously known in Arizona that we are undersupplied in housing,” said attorney Adam Baugh.
Baugh said the change is needed to keep up with housing demand.
“It’s the only way I know to create housing supply rapidly and keep our rents affordable so people can grow up here and return and live here,” said Baugh.
Local perspective:
The historic Willo neighborhood is located near Downtown Phoenix. Driving down the streets of the neighborhood can feel like going back in time.
“We have everything from Tudor-style homes to bungalows to — there’s a Georgian revival next door to me,” said resident Opal Wagner.
“They’re honestly an amazing part of our city’s heritage,” said Helana Ruter, the Historic Preservation Officer for the City of Phoenix. “Having those places that reflect our past is extremely important.”
People living in the historic Willo district are worried the new law will take away what they’ve worked hard to preserve.
“We believe it will incentivize teardowns of historic homes, because it gives entitlements of up to a fourplex,” said Wagner. “We already live in an area of Phoenix that is the most densely populated area of the city, so we’ve already welcomed a lot of density into our area.”
The residents involved are asking for an exemption for historic districts from the new law as a wa to protect them from what they believe will be an unintentional consequence of the new law.
“We understand the need for more housing in Arizona, certainly,” Wagner said. “We can build the future of Arizona without destroying Arizona’s past and demolishing it.”
The other side:
Baugh said he doesn’t think the historic neighborhoods will be affected as much as people in the Willo neighborhood fear, simply because there is so much red tape around tearing down a historic home and building something in its place. He added there aren’t that many lots there big enough to accommodate middle housing.
Baugh went on to say without new legislation like HB 2721, he fears many will be priced out of living in Arizona.
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