Senate Bill No. 416, designated as File No. 394, is a legislative proposal concerning the conversion of commercial real property for residential use. The bill mandates that any zoning regulations adopted pursuant to section 8-2 of the general statutes must permit the conversion or partial conversion of commercial buildings into residential developments as of right. The bill defines key terms such as "as of right," "commercial building," "dwelling unit," "industrial building," and "residential development." It specifies that commercial buildings do not include industrial buildings like warehouses or factories. The bill also stipulates that municipalities cannot condition the approval of such conversions on the correction of a nonconforming use, structure, or lot. However, it clarifies that the conversion or partial conversion of a commercial building into a residential development is not exempt from the requirements of any applicable building code, fire safety code, or fire prevention code.

The bill sets a timeline for the zoning commission to make a decision on conversion applications, which is within 65 days of receipt, with the possibility of extensions or withdrawal of the application by the applicant. The fiscal impact statement indicates that there is no state impact, but there may be a municipal impact depending on the valuation of the buildings before and after conversion. The bill analysis explains that the bill requires municipalities to allow developers to convert commercial buildings into residential developments as of right, and it cannot require a public hearing, special permit, or exception, other than a determination that a site plan conforms with applicable zoning regulations. The effective date of the bill is October 1, 2024.