The Scottsdale City Council has amended the city’s Zoning Ordinance to comply with a new state law, HB2721, which addresses Middle Housing. The law permits duplexes, triplexes, and fourplexes—referred to as Middle Housing—to be built on single-family residential lots under certain conditions.
Previously, Scottsdale only allowed multiple-unit development on single-family lots in limited cases. These included accessory dwelling units or attached duplexes in two-family residential districts, and three or more units only in medium-density or planned zoning areas.
Under HB2721, cities like Scottsdale must now allow Middle Housing within one mile of the Old Town Area and as part of 20% of new residential developments larger than ten contiguous net acres within eligible single-family zones. The law excludes locations that are not incorporated, not zoned for residential use, or that lack necessary city services such as water, sewer, solid waste collection, and other urban infrastructure.
The legislation also restricts what municipalities can require from developers. For example, cities cannot limit middle housing buildings to fewer than two floors or require them to follow commercial building codes. They also cannot mandate fire sprinkler systems or more than one off-street parking space per unit. Public input processes and hearings are not required for qualifying Middle Housing proposals under this law if they meet location criteria. However, homeowners associations (HOAs) retain the right to enforce stricter rules within their communities.
Failure by Scottsdale to update its zoning regulations before January 1, 2026 would have resulted in the allowance of Middle Housing on all residential parcels without restriction.
“Failure to amend Scottsdale’s Zoning Ordinance in accordance with the state law before Jan. 1, 2026, would have allowed Middle Housing on all residential lots or parcels without limits.”
More details can be found at ScottsdaleAZ.gov by searching for “Middle Housing”.
