Microsoft is backing a bill in Washington state that aims to facilitate housing development by allowing residential projects on commercial land without the need for special permissions. The tech giant is advocating for SB 6026, which would require cities with populations over 30,000 to permit housing in designated commercial areas.

This initiative is part of Microsoft’s comprehensive strategy to address the housing crisis in the region after significant investments in affordable housing. The company’s recent report emphasizes the interconnected nature of housing issues and the need for systemic solutions.

Reflecting on their housing investments, Microsoft’s Jane Broom highlighted the critical importance of addressing various aspects of housing, from shelter space to market-rate housing, to create a sustainable solution.

Microsoft’s housing advocacy stems from its commitment to economic opportunity and improving quality of life for residents. The company recognizes housing affordability as a key concern for Washingtonians, affecting the state’s ability to attract and retain a diverse workforce.

In response to the housing crisis, Microsoft proposes a four-point plan centered on unlocking more land for housing, streamlining the permitting process, reducing construction costs through innovation, and fostering long-term public-private partnerships.

• Unlock more land for housing, especially underused commercial property like strip malls and big-box stores, by making residential development the default in commercial zones.
• Fix the permitting process to make it faster and more predictable, removing unnecessary delays that add costs and drive developers out of the market.
• Lower construction costs through innovation in materials and methods, expanded tax incentives, and use of AI to streamline regulatory compliance.
• Build long-term public-private partnerships with clear accountability, leveraging private and philanthropic capital alongside public investment.

Microsoft is also exploring the use of AI in housing development, collaborating with tech companies to integrate AI into permitting systems for faster and more efficient processing of building codes and regulations.

While Microsoft focuses on middle-income housing on the Eastside, Amazon has directed its affordable housing investments towards lower-income households with a total commitment of over $3.6 billion.

Despite their different approaches, Microsoft and Amazon align on housing policy objectives, emphasizing the need for collaborative solutions to address the complex housing challenges in the state.

Editor’s Note: Microsoft underwrites GeekWire’s independent coverage of civic issues. Learn more about underwritten and sponsored content on GeekWire.