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Fort Worth faces major changes to zoning, housing design rules due to new Texas laws

The Butler Place public housing project, a historic low-rent, federally subsidized apartment complex east of downtown, officially closed in 2020.
Fort Worth Report
The Butler Place public housing project, a historic low-rent, federally subsidized apartment complex east of downtown, officially closed in 2020.

Fort Worth houses, neighborhoods and apartments could look vastly different soon due to a slate of new Texas laws aimed at tackling rising housing costs.

City officials, however, will be limited in their authority to regulate housing developments under the laws that go into effect Sept. 1.

City Council on Aug. 26 formally affirmed its compliance with the new legislation, which was signed by the governor in May and June.

“Until this happened, all our ordinances followed state law,” City Manager Jay Chapa said at a recent council work session. “We just want to be able to say, legally, the council directed us to follow the new state law, and we’re in the middle of actually amending all our ordinances so that we can comply.”

Lawmakers said many of the changes were aimed at making housing more affordable.

Such costs have been a top-of-mind issue for many, with 90% of Texans naming it as a problem where they live, according to a 2024 poll.

The median home prices in Texas rose by 40% between 2013 and 2019, according to the Texas comptroller’s office. Fort Worth’s average home price is around $340,000, according to Redfin.

City staff are untangling what must legally change. Council members are expected to adopt related ordinance updates on Sept. 30.

Here’s a look at new Texas laws and how they could change Fort Worth:

Smaller homes on smaller lots

New homes could be built on smaller lots under Senate Bill 15, which lawmakers touted as a way for more starter homes to be built in new neighborhoods.

The law requires cities to allow such development in new subdivisions. It also permits the use of small, auxiliary residences behind a larger main house.

Legislators hope this will help lower housing costs.

The new measure “allows the option of building homes at different types and price points to meet the demand and needs of buyers,” Rep. Gary Gates, R-Richmond, said during debate on the bill.

Under the law, Fort Worth cannot require a single-family residential lot to be larger than 3,000 square feet, which will change how the city zones new neighborhoods.

The city can continue having its residential zoning districts, as the law comes into play when someone wants to develop lots smaller than an area’s zoning district would allow on still-developing property over 5 acres, said Natalie Foster, a spokeswoman with the Fort Worth Development Services Department.

The new requirements wouldn’t apply to existing neighborhoods or in cases where a homeowners association prevents smaller lot sizes.

Fort Worth’s current zoning requirements for residential lots vary by residential district.

The smallest single-family requirement is 2,500 square feet for cluster housing and townhouse-type developments. Lot requirements for a new home build range from 5,000 square feet to 2.5 acres.

Some criticized the legislation for mandating what kinds of homes can be built and where — authority historically possessed by cities.

Rep. Ramon Romero Jr., D-Fort Worth, a former member of Fort Worth’s city planning and zoning boards, tried to kill the bill during the last days of the regular session in May.

“It’s already been proven that just because you have smaller (homes) does not immediately equate to more affordable (homes),” Romero told The Texas Tribune. “So if the argument is that that’s what it is, then I’d say, show it to me.”

Lawmakers also limited what cities can require related to parking on these small lots. Fort Worth now can only require one parking space per unit, instead of the typical two to four spaces.

Such mandates can still apply to lots greater than 4,000 square feet, said LaShondra Stringfellow, Fort Worth development services assistant director.

What areas are exempted from the new law?

Senate Bill 15 says every zoning district that allows single-family can have a lot size as small as 3,000 square feet in new neighborhoods, with the following exceptions:

  • Within 3,000 feet of an airport
  • Within 15,000 feet of a clear zone and accident potential zone
  • Land subject to development agreements

Texas eliminates need for home builders to rezone

Developers will have an easier time building apartments and mixed-use developments in old buildings and along retail corridors under the new laws.

Namely through Senate bills 840 and 2477, cities must allow such developments in most commercial areas without a change in zoning.

That means mixed-use or multifamily residential developments can be built in any zoning district that already allows office, commercial, retail, warehouse or mixed-use projects, with few exceptions. Historically, such repurposing would require the city to rezone.

Fort Worth and other cities are barred from imposing many restrictions on projects that convert old buildings into housing, such as traffic studies and special-use permits.

Over the legislative session, advocates for the bill argued that the rezoning process and city restrictions bog down efforts to create affordable housing.

Parking for such properties will also be affected, Stringfellow said, as the city can only require one parking space per dwelling unit instead of the typical one per bedroom.

The law will require the city to make several changes to its zoning and fee ordinances, Stringfellow said, including adjustments to the transportation impact fee and water maintenance fee.

These changes will affect design standards in neighborhoods such as Near Southside, the Stockyards and Downtown Urban Design District if and when developers convert buildings into housing, Stringfellow said.

Housing affordability widespread concern

Fort Worth recently had several affordable housing efforts crop up.

As officials plan out the city’s $840 million 2026 bond proposal, some council members are pushing to include money for housing needs. City staff proposed earmarking $5 million for such projects.

Fort Worth is the largest city in Texas that has not included a housing proposition in its bond.

Last year, Dallas voters approved that city’s first bond propositions specifically dedicated to housing efforts, including $26.4 million for infrastructure and $19 million to address homelessness.

Drew Shaw is a government accountability reporter for the Fort Worth Report. Contact him at drew.shaw@fortworthreport.org or @shawlings601

At the Fort Worth Report, news decisions are made independently of our board members and financial supporters. Read more about our editorial independence policy here.

This article first appeared on Fort Worth Report and is republished here under a Creative Commons Attribution-NoDerivatives 4.0 International License.