Peoria planners weigh middle-housing code to meet Jan. 1, 2026, state deadline

Peoria Planning and Zoning Commission members on Oct. 2, 2025 heard a staff presentation on a proposed middle-housing code amendment intended to meet a state deadline of Jan. 1, 2026 and to comply with a 2024 legislative bill referenced in materials as "House Bill 27 21." The study-session presentation outlined where the city must allow duplexes, triplexes, fourplexes and townhouses and sought input on several areas where the bill leaves local discretion.

The amendment matters because the state law requires Peoria to allow middle housing by right in specified scenarios or face a penalty that would require the city to allow it without locally adopted limits until the city adopts its code. "If we don't have the code amendment in place by the deadline, January 1, we have to allow it without any limitations, until we have the language completed and then codified," Director Hockas said during the presentation.

City staff described two specific situations the law creates: allowing middle housing by right on single-family zoned parcels within 1 mile of the city's central business district (identified in the meeting as the P83 entertainment area) and permitting middle housing in at least 20% of any new development of 10 contiguous acres or more. Staff recommended interpreting the 20% requirement as 20% of gross acreage of a development parcel, not 20% of units, and asked the commission for feedback on several other implementation choices.

Staff also summarized areas of local discretion and recommended approaches. Elias Valencia, a city planner, said staff proposes to: exclude…