Last month, Salt Lake City's planning commission unanimously approved a proposal to revise the city's zoning rules for R-1 districts, marking what would be the first major update to single-family neighborhood regulations in more than three decades. The "Expanding Housing Options" plan would authorize construction of duplexes, triplexes, fourplexes, and townhomes with up to four units on parcels as compact as 2,000 square feet, according to an analysis published by the Pacific Research Institute in October 2024. Beyond streamlining the zoning code, the proposal aims to tackle a housing shortage that has priced out young families and burdened renters across the city.

Under the proposed changes, these "small lot dwellings" would become a permitted use, eliminating requirements for planning petitions or public hearings when projects comply with the revised code. The planning commission noted that the amendment expands what property owners can do with their land, enabling construction of additional housing types while removing restrictive standards that currently limit development. The city reported in 2023 that despite a surge in housing construction, prices indicate an overall shortage of supply, particularly for deeply affordable housing targeting renters earning 30% or less of area median income, with demand continuing to outpace what's being built. Salt Lake City has pursued multiple housing reforms through its Housing SLC plan in recent years, but this R-1 revision represents a substantial departure from existing rules.

The planning commission emphasized that the types of small lot housing the proposal seeks to enable will often cost less—sometimes significantly less—than standard-sized homes, which the commission described as "necessary to keep households with children in the city and in homes that they can afford without any additional subsidy." A coalition of community groups, homebuilders, and Realtors backed the zoning reform, arguing that spreading modest housing growth across more neighborhoods would ease pressure on a handful of areas and foster more equitable access to high-opportunity communities. Public comments submitted to the commission reflected predictable divisions, with one resident warning the proposal was a developer scheme that "does nothing to solve the affordable housing crisis, and ruins these neighborhoods," while supporters countered that adding supply of any housing type in demand prevents higher-income buyers from competing with lower-income residents for limited options.

Though the commission approved the plan without dissent, one commissioner suggested requiring at least one unit on affected lots to be owner-occupied, a condition the commissioner ultimately withdrew after agreeing with city planning staff that adjustments could come later if needed. However, the Salt Lake City Council indicated through a straw poll that property owners using the housing incentives would need to live on-site if the rules are ultimately adopted. The proposal faces public hearings in mid-November, where anti-developer arguments and complaints about neighborhood impacts are expected to resurface. The Pacific Research Institute analysis notes the proposal is modest—legalizing small units rather than unlimited apartments—and won't trigger development on every eligible property, but it offers owners more flexibility and could open opportunities for aspiring homeowners and renters. Whether the council moves forward remains uncertain, particularly given its willingness to reconsider terms before the public hearing even begins.