Olympia: The Three Pillars of the New Comprehensive Plan

The City of Olympia is confronting a major housing crisis with a comprehensive strategy outlined in the Public Hearing Draft of the Olympia 2045 Comprehensive Plan Housing Chapter. This plan acknowledges that while the city has sufficient land capacity for future growth, the critical issue is affordability and access for all residents.

Olympia's housing market is severely strained, with demand outpacing supply and rising costs putting stable housing out of reach for many. The city needs approximately 14,295 new housing units by 2045, and over half of those, 7,616 units, must be affordable for low-income households (0–80% Area Median Income). A major concern is the significant risk of physical displacement due to the loss of existing affordable rental units and a decline in low-income homeownership. The plan also recognizes that past restrictive zoning policies, often focused on preserving neighborhood character in single-family zones, have contributed to racially disparate impacts, limiting access to high-opportunity neighborhoods for BIPOC (Black, Indigenous, and other people of color) and lower-income residents.

The new chapter is built on core values—Affordability & Accessibility, Equity & Inclusion, Sustainability & Smart Growth—with a singular vision: to create a diverse, inclusive, and sustainable community where everyone has access to safe, stable, and affordable, high-quality housing. The city commits to revising policies that may have had racially disparate impacts and collaborating regionally to find creative solutions.

The Comprehensive Plan Housing Chapter outlines extensive goals and policies across three key strategic areas.

1. Expanding Housing Supply and Diversity

Olympia is moving away from restrictive zoning to encourage diverse housing types across the city. The plan mandates zoning changes to allow a wider variety of densities and housing types, including Accessory Dwelling Units (ADUs), small cottages, and townhouses. To boost production, the city will work to streamline regulatory reviews and eliminate development barriers. New residential growth will be guided by smart growth principles, encouraging multi-family structures near transit services and neighborhood centers to promote vibrant, walkable communities.

2. Promoting Equity and Preventing Displacement

A central part of the new strategy is to address historical inequities and protect current residents from being forced out. The city commits to regularly evaluating local housing policies for disproportionate impacts and will incentivize equitable development in high-opportunity areas that historically excluded BIPOC residents. For tenants, the plan aims to increase stability by establishing and enforcing strong tenant protection policies. These include requiring a 90-day advance notice for significant rent increases and developing a formal relocation assistance program for displaced tenants. The city will also consider a Tenant Opportunity to Purchase Ordinance (TOPO) and explore community land trusts to preserve affordability.

3. Supporting Vulnerable Populations and Preserving Stock

The plan outlines specific strategies to address homelessness and special needs housing. This involves a commitment to preserve existing affordable housing units at risk of conversion to market rate and to support the creation of new low-income housing through funding and partnerships. Housing for low-income and special-needs populations will be dispersed throughout the urban area to avoid concentration. The city will also continue to work with regional partners to maintain a strong network of emergency shelters, transitional housing, and supportive services for the unhoused.

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