Olympia City Council approves middle housing code updates

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The Olympia City Council approved an ordinance updating the city’s housing code to expand middle housing, accessory dwelling units and co-living housing.

The update, which was endorsed at a meeting on Tuesday, Nov. 18, aims to allow more flexible housing options in the city.

Among the changes under the ordinance are the following:

Accessory dwelling units (ADUs)

  • Two ADUs per lot
  • All housing types, not just single-family detached homes
  • Each ADU can be up to 1,000 square feet in size
  • Impact fees cost no more than 50% of those of principal units

Co-living housing

These units are allowed on any lot in urban growth areas permitting six or more multifamily units. The changes address density, parking, sewer connection fees, land use review and tree protection.

Middle housing

Changes include revisions to definitions, unit lot density standards, and processing requirements to ensure consistent treatment of single-family homes and middle housing units. The changes also adjust design review thresholds, tree protection requirements and land use review processes.

The ordinance allows four units per lot in most residential zones and up to six units near frequent transit routes, or if at least two units are designated long-term affordable housing.

Tier 1 and Tier 2

Joyce Phillips, Long Range Planning Manager with Community Planning and Economic Development, explained Olympia is currently classified as a Tier 2 city, meaning its population is between 25,000 and 75,000.

Under state law, Tier 2 cities must meet minimum requirements for residential density, ADUs and co-living units. For Tier 2 cities like Olympia, only two units are allowed per lot, and four units are allowed if within one-quarter mile of a major transit stop, and four units if at least one unit is for affordable housing for at least 50 years.

Phillips said Olympia’s proposal is designed to meet Tier 1 city requirements, which apply to cities with populations of 75,000 or more.

“This proposal goes beyond the Tier 2 requirements for future growth and increases housing opportunities,” Phillips said. “It allows us to provide more units per lot and greater flexibility in housing types than state minimums require, so we are planning ahead for the city’s anticipated growth.”

Olympia’s current population stands at 57,450 within city limits. According to Thurston Regional Planning Council’s 2024 projections, the city is expected to reach the 75,000 person threshold by 2030 when including the urban growth area.

If Olympia meets Tier 1, the code would allow up to six units per lot within one-half mile of frequent transit routes or when two units are designated as affordable housing for 50 years.

Phillips added while the draft focuses on middle housing, it also addresses related bills covering ADUs, co-living housing and unit lot subdivisions. She said the changes are intended to streamline regulations and make it easier to build diverse housing types in Olympia.

The amendments followed an extensive planning process. Public input was solicited through surveys, e-newsletters, neighborhood meetings, and presentations to the planning commission and city council committees.

“This ordinance represents 18 months of work, public engagement and collaboration to expand housing options, while respecting neighborhood character,” Phillips said. “The work addresses code amendments to implement the new state requirements for housing under the state law.”

She noted if the changes are not adopted by the end of the year, state law and model ordinances would automatically supersede local regulations.

Council member Dani Madrone, who also chairs the Land Use and Environment Committee, emphasized the changes not only bring Olympia into compliance with state law, but also provide opportunities for gentle infill development, allowing neighborhoods to grow while addressing the city’s housing needs.

Comments

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  • VDRAKE2

    Now we will witness neighborhoods squeezing 'tiny homes' onto their backyards and every green space will slowluly disappear. On a one acre 5 families units. Here in NW Olympia a developer drew up. Plans for 17 single family apartments on 5 acres. Each allowed two cars but no parking except on a street with no sidewalks and they were then allowed to pave in 60 feet of sidewalk in the side of the road in front of this. It's still coming on. Sounds like now they could put in 25 apartments. Great. Just another mess to contend with. Oh but hey wait till the same city council opens West Bay Road up for a 125 new condos down by Annie's wipe out a marina, level it. Then put in a ferry to take folks back n forth to Oly.

    Wednesday, November 19, 2025 Report this

  • BobJacobs

    Talk about propaganda. "Gentle infill development". "Respecting neighborhood character."

    Blatant lies. When developers start taking advantage of these new regulations, we'll see what our neighborhoods think of this ordinance.

    When one party is in full control of the government, invariably that party goes to extremes in policy making. We see this in the federal government, state government, and local government.

    Very sad.

    Bob Jacobs

    Wednesday, November 19, 2025 Report this

  • mhjwilson

    The population expected by 2030 suggest a significant increase. It would be nice to know how many people could be added using the current regulations. Another issue that needs to be discussed concerns cost. What will the code cost the new local home owner or renter? And how does that compare to what is being spent today?

    Thursday, November 20, 2025 Report this

  • Southsoundguy

    Central planning DOES NOT WORK. Abolish zoning and adopt traditional development patterns. See, A Timeless Way of Building by Christopher Alexander.

    Thursday, November 20, 2025 Report this

  • BuddBayBat

    11 out of 10 Boomers hate this One Thing. Click here to watch right now.

    Thursday, November 20, 2025 Report this

  • The_Armed_Gardener

    First off: "Homelessness" is a propaganda term. It means "junkies." We all know that now. Other terms are "high density", "increased density", etc., etc. It means... whatever??? Where is the **** going? Why are there always septic system regulations and sewer limitations regulations when traditional families want new homes? Why are the junkies and "certain other people" afforded supremacy? You can't keep hiding from these questions. It's over. Push it, push it. There is no end to it. Enough.

    Thursday, November 20, 2025 Report this

  • Yeti1981

    Nimby's are big mad! Suck it up buttercup. We need housing, and your racist "neighborhood character" arguments no longer work.

    Tuesday, November 25, 2025 Report this