Austin proposes new missing middle and mixed-use zoning rules

AUSTIN, TX. View down Pleasant Vally Rd. in East Austin. Julia Reihs/KUT

AUSTIN — Austin City Council approved a resolution Thursday to begin creating new zoning districts aimed at encouraging more and varied housing in the city.

The changes are part of ongoing updates to Austin’s Land Development Code (LDC), which federal officials have previously said positively influence housing affordability.

The resolution initiates two new zoning types. The first, for “missing middle” housing, will allow smaller housing types such as townhomes and cottage courts. The second will promote mixed-use development, enabling commercial and residential properties to be built together.

Austin received a Housing and Urban Development grant to study the city’s missing middle and mixed-use housing inventory. The Planning Department found gaps in the existing LDC, which was adopted in 1984, noting that current rules limit mixed-use development and that most post‑1984 housing does not qualify as missing middle.

About three dozen residents spoke at Thursday’s council meeting. Supporters said more nuanced zoning is needed to create abundant housing of all types. Some speakers, however, expressed concerns that the changes could negatively affect single-family neighborhoods. Austin resident Jeffery Bowen asked, “Why are single families always being targeted in this process?”

Austin City Council Member Paige Ellis, who introduced the resolution, said the update is necessary to allow residents to live in smaller, walkable neighborhoods. The resolution passed with only Austin City Council Member Marc Duchen voting against it.

The resolution directs City Manager TC Broadnax to draft the new missing middle and mixed-use zoning districts and regulatory changes and return them to the council by March 2027 at the latest. The city manager will provide quarterly updates to the Planning and the Council Housing and Planning Committee until then.

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