Executives at Realogics Sotheby’s International Realty (RSIR); a leading full-service real estate brokerage and Realtie; a progressive builder matchmaker platform powered by artificial intelligence and a “virtual architect,” have combined hundreds of years of experience to inspire, to educate, and to activate dozens of licensed real estate agents now specializing in land brokerage solutions responding to House Bill 1110. This certification program optimizes brokers to understand the zoning, leverages proprietary technology to filter properties primed for redevelopment, and provides best practices to represent the property journey from initial concept through final closing in the first vertically integrated, turnkey solution in the industry.
“Today is the day we implement the full potential of RSIR and Realtie’s collaboration to begin solving the missing middle housing crisis, one community at a time,” said Dean Jones, President and CEO of RSIR. “This is the future of housing for our region, and RSIR is uniquely poised for the opportunity.”
Jones expects most municipal governments will release their new zoning regulations today, or stage their announcements over time to align with the legislated guidelines. He calls this mass upzone a modern-day “space race,” noting that city leaders are in competition with each other.
Supply and demand are never evenly distributed between cities or neighborhoods. The land needs to be available, and builders will decide where it makes the most sense to invest in new development. Home buyers are drawn to the greatest value, all things considered. The variables include unit density incentives, parking requirements, property line setbacks, entitlement processes and timelines, permit fees and required contributions to affordable housing funds, and consumer tolerances.
House Bill 1110, also known as the “Middle Housing” bill, was signed into law by Governor Jay Inslee on May 8, 2023. The legislation became effective on July 23, 2023. This bill mandates that many cities in Washington State revise their zoning laws to permit increased housing density, such as duplexes, triplexes, and fourplexes, in areas previously designated for single-family homes. The goal is to address the state’s housing shortage by promoting more diverse and affordable housing options. Cities are required to implement these changes by today, June 30, 2025, and integrate them into their comprehensive plans.
Matthew Gardner, a noted real estate economist in the Pacific Northwest, was an advisor to Governor Jay Inslee’s task force, which begat House Bill 1110. He notes that the regional housing crisis is not so much a matter of supply but rather zoning.
“Builders want to deliver the products that consumers want to buy, but it was time that our zoning caught up with the demand,” said Gardner. “This is a major change for municipal governments and for the region’s homebuilders to look at single-family lots differently. The most desperate need is attainable housing priced well below the median values of single-family homes, especially given inflation and elevated mortgage rates. Design matters!”
The Puget Sound region is projected to require approximately 810,000 new housing units by 2050 to accommodate anticipated population growth and address existing housing shortages. This estimate, provided by the Puget Sound Regional Council (PSRC), encompasses the four central counties: King, Pierce, Snohomish, and Kitsap. The projection accounts for both the backlog of about 50,000 housing units needed to meet current demand and the additional units necessary for future growth.
To meet this goal, the region must average the construction of approximately 2,250 housing units per month through 2050. The PSRC emphasizes the importance of diversifying housing types, including “missing middle” options like duplexes and townhomes, and focusing development near high-capacity transit areas to promote affordability and reduce displacement.
These housing targets are integral to the VISION 2050 plan, which aims to guide sustainable growth and ensure equitable access to housing across the region.
“We have assembled the right team, in the right place, at the right time to make a meaningful contribution to a much-needed product type and price point for our communities,” said Tadashi Shiga, Co-Founder of Realtie and Vice President of Land Division for RSIR. “We couldn’t do this without the power of artificial intelligence and certification of our Realtie Real Estate Advisors who are uniquely trained by RSIR to service the needs from dirt to done.”
Shiga and Jones discuss the massive up-zone mandate. ↓
Shiga and his partner, Co-Founder Ofer Avnery, have partnered with RSIR to curate a clock-hour course curriculum entitled “Supporting Residential Development: Practical Tools for Real Estate Brokers” a high-impact, 9-clock-hour certification course taught by industry professionals within RSIR’s registered It was designed specifically for real estate professionals who want to confidently serve builders and investor clients. The course will instruct on how to:
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- Accurately estimate future property value to help builders underwrite
- Identify zoning potential and site constraints before clients spend a
- Target would-be sellers both on the market and off market to generate land
- Support feasibility, financing, and legal processes to accelerate
- Guide clients from land acquisition to resale — and win repeat
- Expertly represent finished inventory for retail
“We are elated to have our first graduates ready for deployment, and many are already active on new development opportunities in anticipation of HB 1110,” said Natalie Kelly, Vice President of Learning for RSIR. “Our classes have been oversubscribed, and our partners at Realtie are working around the clock to update their virtual architect as municipal governments are announcing their guidelines. There is going to be an extraordinary deployment of computing power and human capital in the months ahead.”
By example, Shiga shared with an audience of hundreds at the 2025 Futurecast Forum on June 5, 2025, that Realties’ virtual architect determined the City of Bellevue could add 17,686 DADUs (Detached Accessory Dwelling Units) of 1,000 square feet or more in the backyards of the existing 34,926 upzoned single-family lots.
“If we hired an experienced architect to review the data and summarize the conclusions in the same way, it would take a team working full time for many years, but Realtie accomplished this goal in just a few days,” added Shiga. “The speed and accuracy of these product test fits are so important, especially when Realtie can process hundreds of new listings a day and sift through layers of complex data sets and generate a redevelopment probability score. It is a gamechanger for our builders.”
Shiga and Jones have confirmed that several of the largest homebuilders and land entitlement teams are already working within the system successfully. This collective is committed to monitoring each city council’s decisions and evolving Realtie’s underwriting algorithms as these policies are announced or changed.
“It’s like Tinder for timber, given we can help matchmake between would-be sellers and prospective homebuilders – effectively swiping right for yay, left for nay,” mused Jones. “Once we know the zoning guidelines, we can quickly analyze opportunities and prioritize right-fit solutions for our builders and start the process instantly.”
Currently, several Washington state municipalities have announced or are in the process of implementing compliance measures for House Bill 1110, which mandates the allowance of middle housing types in residential zones.
Municipalities Announcing or Implementing Compliance
- Seattle: The city has proposed interim zoning changes to align with HB 1110 requirements, including permitting various middle housing types such as duplexes, triplexes, and stacked flats in traditional single-family zones. These changes are part of Seattle’s broader One Seattle Plan, aiming for full compliance by June 30, 2025.
- Kirkland: Kirkland is adopting a phased approach to update its zoning code, focusing initially on meeting the minimum requirements of HB The city plans to allow at least four units per lot in all residential zones, with provisions for six units near major transit stops or if two units are designated as affordable housing.
- Marysville: Marysville is actively working on a comprehensive plan and municipal code amendments to comply with HB 1110. The city has proposed rezoning certain single-family areas to a new “Neighborhood Residential” zone to facilitate the development of middle housing
- Redmond: Redmond has been proactive in adopting new zoning regulations to meet HB 1110 mandates, focusing on increasing housing density and diversity in residential areas.
Explore Realtie’s interactive map designed to track Washington state cities’ compliance here →
Overview of HB 1110 Requirements
HB 1110 requires cities with populations over 25,000 to allow a variety of middle housing types in residential zones. The specific requirements vary based on city size and proximity to transit:
- Cities over 75,000: Must allow at least four units per lot in all residential zones and six units per lot if within a quarter mile of a major transit stop or if two units are affordable housing.
- Cities between 25,000 and 75,000: Must allow at least two units per lot and up to four units per lot under certain conditions, such as proximity to transit or inclusion of affordable housing units.
- Cities under 25,000 within urban growth areas: Must allow at least two units per lot.
The bill also includes provisions to streamline design review processes and limit off-street parking requirements for middle housing developments.
Compliance Deadline
All applicable municipalities are required to adopt compliant zoning regulations by June 30, 2025. Failure to do so will result in the state’s model code taking effect in those jurisdictions.
Explore the following resources for further information on this exciting turning point in the development market and coverage on the Realtie and RSIR collaboration.
Inman article by Lillian Dickerson: “Realogics Sotheby’s Realty partners with AI startup Realtie”
Puget Sound Business Journal article by Marc Stiles: “Proptech Company Introduces Tool to Find ‘Middle Housing’ Deals in Washington”
King 5 News article by Drew Andre: “As King County Housing Prices Hit Record High, a New State Zoning Law Aims to Attract First-Time Home Buyers”
Seattle Times article by Heidi Groover: “Seattle Dropped Key NIMBY Rules. Why Aren’t Developers Swarming?”
Seattle Agent Magazine by Anne Hartnett: “How Realogics Sotheby’s International Realty is preparing brokers for success with House Bill 1110”
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Realtie combines over 100 years of hyperlocal brokerage expertise with cutting-edge artificial intelligence to decode Washington’s most complex upzone legislation. In partnership with RSIR, the Puget Sound region’s premier project marketing firm, they offer the only fully integrated platform that enables brokers to identify, certify, and connect HB1110-qualified sites with the region’s top builders. The exclusive Realtor Certification Program ensures that RSIR brokers are not only compliant, they are leading the charge on a once-in-a-generation housing opportunity. Together, we don’t just react to zoning change — we lead the market transformation. Visit www.Realtie.com