In an effort to tackle Philadelphia’s ongoing housing affordability crisis, local lawmakers have moved forward with a bill designed to streamline approvals for affordable housing projects and lower upfront rental costs for residents.

The proposed legislation would require the City’s Department of Licenses and Inspections (L&I) to expedite permitting and zoning reviews for developments that include long-term income-restricted housing. Specifically, the bill would:

• Reduce the zoning permit application review time from 10 business days to 5 for eligible projects

• Require building permit applications to be processed within 10 business days

• Implement operational changes to the Zoning Board of Adjustment, which plays a key role in determining the fate of proposed development projects across the city

According to a report by PlanPhilly on May 28, 2025, these reforms are part of a broader initiative to cut red tape, encourage affordable housing construction, and provide relief for renters burdened by high upfront costs.

What This Means for Developers, Renters, and Investors in Philadelphia

This legislation is a significant step for real estate developers focused on affordable housing in Philadelphia, offering them a faster, more efficient path through what is often a lengthy permitting process. For renters, the move signals a potential increase in affordable housing inventory and greater access to lower-cost units in the future.

Real estate investors and developers who focus on multifamily or income-restricted housing projects may find that these streamlined procedures reduce both time-to-market and soft costs—two major considerations when evaluating project feasibility in today’s competitive market.

At the same time, the proposed changes to the Zoning Board of Adjustment may bring more transparency and predictability to the approval process, benefiting both community members and developers.

A Win for Housing Affordability in Philadelphia

As Philadelphia continues to face rising housing costs, this bill reflects a growing commitment by city officials to remove barriers to affordable development, increase housing supply, and make the city more accessible for families of all income levels.

Source: PlanPhilly, May 28, 2025