This bill amends RSA 674 to require municipalities to allow multi-family residential development on commercially zoned land, introducing a new subdivision focused on this type of development. The bill defines "commercially zoned land," "mixed-use," and "adaptive reuse," and stipulates that adequate infrastructure, such as roads, water, and sewage systems, must be available to support the development. It also allows municipalities to impose restrictions on residential development in areas where industrial and manufacturing uses may create incompatible impacts, and permits them to require a portion of ground floor space to be dedicated to retail or similar uses.

Additionally, the bill provides exemptions for buildings undergoing adaptive reuse from certain zoning requirements regarding setbacks, height, or frontage, as long as the overall dimensions of the building remain unchanged. The effective date for this act is set for July 1, 2026. The fiscal impact is expected to be indeterminable for local expenditures, with potential costs associated with amending local zoning ordinances and increased public service demands, although it may also expand the tax base without increasing revenue.