Item 12b removes the owner occupancy requirement for Accessory Dwelling Units (ADUs) or the main structure where an ADU is located. This is a significant change from the compromise reached during the public vetting of Recode. I am concerned that the removal of this provision will make residential neighborhoods more attractive investments for out of area investors as it will essentially double the number of available rentals at one location. This unintended consequence will be most pronounced in our most affordable neighborhoods. I am concerned that more out of area and absentee investment property within neighborhoods will further reduce the opportunities for our neighbors to become home owners. Further, this change could ultimately exacerbate the lack of affordability as our housing stock becomes further decreased by well-financed absentee investors. We absolutely need more housing to bring demand in line with supply, but the solution is mixed use development along our corridors where infrastructure can support that growth. This proposed solution doesn’t move the needle on increasing housing availability but I am concerned could very well result in significant negative unintended consequences.

Items 10a-10c propose to add:

When the detailed Council agenda comes out tomorrow, I would appreciate it if you would let me know about any concerns you and the WHCA have with these proposals.

Thank you,