H.B. No. 5187 introduces new regulations for the conversion of certain office buildings to mixed-use and multifamily residential occupancy in municipalities with populations over 150,000 that are located in counties with populations exceeding 300,000. The bill establishes Chapter 218 in the Local Government Code, which includes definitions for terms such as "heavy industrial use," "mixed-use residential," and "multifamily residential." It outlines the applicability of the chapter, stating that it applies to buildings primarily used for office purposes that are at least five years old and proposed for conversion to mixed-use or multifamily residential use, with specific requirements regarding the percentage of residential use.

The bill also prohibits municipalities from imposing certain regulations and fees related to the conversion process, such as traffic impact analyses, additional parking requirements, and more restrictive density limits. It mandates that if a municipal authority determines a proposed conversion meets the regulations, it must administratively approve the permit without further action from the governing body. Additionally, the bill amends existing provisions regarding impact fees, stating that municipalities cannot impose such fees on land where a building has been converted to mixed-use or multifamily residential use unless the land was already subject to an impact fee prior to the conversion permit application. The act is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Local Government Code 395.011 (Local Government Code 395)
House Committee Report: Local Government Code 395.011 (Local Government Code 395)