Housing Production & R1 Zoning Reform — Densifying a Built-Out City

active• albany

Albany faces one of the most structurally difficult housing challenges in the East Bay: producing hundreds of new units in a city that is 1.7 square miles, almost entirely built out, and commands median home prices approaching $1.6 million. Albany has formally moved to eliminate language that exclusively designates R1 districts for single-family homes, replacing it with a broad "dwelling" classification to permit a mix of housing types per SB 9 — a foundational zoning reform that opens nearly every residential parcel in the city to accessory dwelling units, junior ADUs, and small multiplex development. A comprehensive update to the ADU code was slated for spring 2026, with potential "for-sale" ADU provisions to encourage middle housing — a creative approach to affordability in a market where homes routinely sell with seven offers on a 12-day clock, averaging 18% above list price and pushing transaction values toward $1.9 million. The San Pablo Avenue Specific Plan — which raised height limits to 68 feet with up to 85 feet in some locations — and zoning changes along Solano Avenue and Albany Hill are the city's primary tools for meeting its RHNA obligation.

Related cause: Housing Affordability

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