May 1 Positive Momentum: Three Major Wins for Oregon Multifamily Developers
Multifamily developers in Oregon—the policy winds are finally at your back!
In a flurry of pro-housing action, state and local leaders are passing several key initiatives that remove barriers, reduce costs, and accelerate approvals for new housing construction that will benefit multifamily development. Here’s your roundup of the latest developments working in your favor:
Portland Proposes Three-Year Suspension of System Development Charges (SDCs)
In a bold push to reignite Portland’s lagging housing production, Governor Tina Kotek and Mayor Keith Wilson have unveiled a proposal to temporarily waive all housing-related SDCs—the fees developers pay to fund infrastructure like parks and streets.
- The waiver applies to all housing types, including market-rate apartments.
- The waiver lasts three years or until 5,000 new units are in the pipeline.
- Offers potential savings of thousands per unit.
- Part of a larger strategy to signal that Portland is open for business.
- There is strong support from the Portland City Council and approval is expected soon.
Bottom line: This proposal could transform deal economics overnight. With lower upfront costs and better project viability, developers now have more runway to launch or accelerate projects in a historically slow market.
New Building Code Makes Small-Scale Stacked Housing Construction Easier
Oregon’s recently updated building code now allows attached, stacked two-family dwellings— opening up more options for infill development and density.
- Up to four units allowed: Two side-by-side buildings, each with a stacked duplex.
- No sprinkler system required for projects with 1–2 stacked duplexes (4 units max).
- First-floor units must be ADA accessible.
- No need to meet commercial building codes like the Structural Specialty Code.
Why it matters: These changes reduce construction costs and simplify permitting for fourplex-style housing — a key opportunity in Portland’s residential neighborhoods under HB 2001. It’s a win for affordability and flexibility.
Senate Bill 974: Faster Permits, Less Red Tape
Unanimously passed by the Oregon Senate and now headed to the House, SB 974 is like a legislative rocket booster for housing approvals.
- Mandates a 90-day approval timeline** for development applications once final engineering is submitted — down from 150 days.
- Reduces design review burdens (style, landscaping), while maintaining core safety standards.
- Applies to all housing types within urban growth boundaries.
- Holds local governments accountable: Missing the deadline could mean expensive reimbursement payouts to developers.
Bottom line: Fewer delays. Clearer rules. And real-life consequences for foot-dragging bureaucracies. This is real progress toward faster, more reliable project timelines.
Final Thought
With elected leaders starting to align behind housing production, infrastructure funding in play, and regulations easing, 2025 could be a breakthrough year for Oregon multifamily development.
What do you think? Are these changes enough or is there more that should be done?
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