Nathan Daum, economic development program manager for the City of Shoreline, and Bethany Wahlberg Dunn described Shoreline’s layered approach to encourage housing: rezoning, multifamily tax exemptions (MFTE), and future inclusionary requirements tied to HB 1491.
Daum said Shoreline has pursued density around light‑rail stations since incorporation and adopted successive policy changes to convert legacy commercial districts into walkable, mixed‑use neighborhoods. The city expanded MFTE eligibility and in 2021 gained a 20‑year MFTE option that developers said made projects financeable; Shoreline staff reported more than 1,300 units completed in station areas since the extension and many more in the pipeline.
Wahlberg Dunn said Shoreline rezoned roughly 80 percent of the city to allow multifamily forms and created nine MFTE zones clustered around station areas. She said MFTE alone is not “one size fits all” across the city and noted that restrictive covenants and infrastructure costs had previously suppressed development in some zones. The MFTE program’s ZIP‑ or station‑level targeting and the 20‑year term were credited with improving project viability, and the city expects MFTE to remain an important tool to implement inclusionary housing under HB 1491 in areas that get rezoned.
Daum and Wahlberg Dunn told senators Shoreline plans an affordable‑housing feasibility study to analyze whether MFTE adjustments would expand development beyond current station clusters. They also noted financing markets and lender scrutiny remain major drivers of when projects proceed.
Committee members thanked Shoreline staff and asked for further updates as rezoning and program adjustments proceed.