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DENVER, CO - The House today passed legislation that would streamline the process for religious and educational institutions to build housing on their land. HB25-1169, sponsored by Speaker Pro Tempore Andy Bosenecker and Representative Javier Mabrey, passed by a vote of 40-23.
“This bill helps build more affordable housing across Colorado to create more options that people can afford,” said Speaker Pro Tempore Andy Boesenecker, D-Fort Collins. “Faith-based organizations across the state have already shown interest in offering housing on their property to low-income and houseless Coloradans. This is a meaningful solution that will help build more housing now and save Coloradans money.”
“Coloradans deserve housing options that they can afford,” said Rep. Javier Mabrey, D-Denver. “Land is one of the biggest cost drivers when it comes to building housing, and our legislation helps alleviate these costs by cutting red tape so religious institutions and schools can lean in and help address the housing shortage. This bill provides essential protections against discrimination so that the housing created will be available to all regardless of religious affiliation. This is one of many steps that Colorado Democrats are taking to reduce housing costs and keep Coloradans safely housed.”
Beginning December 31, 2026, HB25-1169 would allow faith-based organizations, school districts, and state colleges or universities to build housing and other community services on their land, regardless of current zoning laws.
Under the bill, local governments could not reject the construction of a residential development due to height, as long as the development is no taller than three stories or 45 feet or adheres to the standards of the zoning district or standards that apply to contiguous parcels. Additionally, local governments could not restrict the construction based on the number of units, with some exceptions. Local governments could not apply standards that are more restrictive than the standards that they apply to similar housing developments in their jurisdictions relating to structure setbacks from property lines, lot coverage or open space, on-site parking requirements, number of bedrooms in a multi-family residential development, or on-site landscaping, screening, and buffering requirements.
If zoning allows, these residential developments could also include child care centers and facilities that provide recreational, social, or educational services. Local governments would have the right to restrict these centers and facilities to the ground floor and limit them to 15-percent of the structures in the residential development.
California passed a law in 2023 that makes it easier for higher education and religious institutions to build housing on their land, opening up over 170,000 acres of land to be developed into affordable housing or other uses. A church in Washington D.C., built 99 units for low-income families in addition to amenities like office space, a gym, and a culinary arts training program. An Atlanta church plans to build 300 affordable housing units, two schools, and 10,000 square feet of new retail space on their property.
The 2023 Population Summary Report from the state demographer stated that housing grew in Colorado by 45,500 units while the population grew by 36,000 in 2023. A recent Denver Post article reported that Denver rents fell 1.5-percent from the end of 2023 to the end of 2024 due to new housing units doubling the typical pace in recent years. They also noted that Denver renters are paying 3.5-percent less when the 2-percent annual rate of inflation is taken into account.