New Zoning Rules Target Affordable Housing in Albuquerque's Core

Albuquerque, The city's Planning Department on Tuesday released a draft overhaul of the 2019 Integrated Development Ordinance (IDO) that would allow duplexes, triplexes and fourplexes in most residential zones currently limited to single-family homes. The proposal, called the IDO 2.0 update, directly targets a citywide shortage of about 25,000 affordable units, according to a 2025 housing needs assessment by the University of New Mexico's Bureau of Business and Economic Research.

The policy shift comes as Bernalillo County’s median rent has climbed 14 percent since 2020, to $1,245 per month, and as federal pandemic-era rental assistance programs have expired. City data shows that nearly 30 percent of Albuquerque households are now cost-burdened, spending more than one-third of income on housing. The proposed changes are intended to accelerate construction of what the city calls 'missing middle' housing, units priced below the market but above deeply subsidized projects.

What the Zoning Changes Would Do

Under the draft rules, developers could build up to four units on a standard 5,000-square-foot residential lot without a special use permit. The rules also eliminate minimum parking requirements within a half-mile of any Rapid Transit (ART) stop, a corridor that runs along Central Avenue from Unser Boulevard to Tramway Road. City planners say the parking reform could reduce construction costs by as much as $15,000 per unit, based on typical garage and driveway expenses.

The Bernalillo County Metropolitan Court has the authority to approve site plans for projects exceeding 10 acres, but the new IDO would automatically permit developments of up to 20 units on any residentially zoned lot that meets basic setback and height limits. That change would effectively expand the city's 'by-right' building capacity by an estimated 40 percent, according to an internal Planning Department analysis obtained by The Daily Albuquerque. The full draft IDO 2.0 document runs 184 pages and includes new tree-planting requirements and updated floodplain maps.

What Residents and Advocates Say

Local neighborhood association leaders have expressed concern that increased density could raise property taxes and accelerate gentrification in areas like the Downtown core and the Nob Hill district. The city's own Affordable Housing Task Force, in a March 2026 report, noted that 'upzoning without anti-displacement protections risks pricing out long-term renters.' The task force recommended pairing the zoning changes with a $5 million annual fund for rental assistance and tenant relocation aid, money that the current city budget does not include.

Policy analysts at the University of New Mexico's Center for Policy and Economic Development estimate that the new rules could add between 800 and 1,200 new housing units citywide within three years, but they caution that actual production will depend on financing availability and construction labor supply. The New Mexico Home Builders Association has said the reforms could reduce per-unit approval times from an average of eight months to under 60 days, based on similar changes in Portland, Oregon, and Austin, Texas.

The City Council will hold three public hearings on the proposal in August and September, with a final vote scheduled for October 12. If approved, the IDO 2.0 would take effect on January 1, 2027. Residents can submit written comments through the Planning Department's website until September 1.