North Carolina Construction News staff writer
North Carolina is scrapping nearly all required parking in new development after Gov. Josh Stein signed House Bill 162: the Parking Lot Reform and Stormwater Control Act.
Changes take effect Jan. 1, 2027, removing minimum off-street parking requirements for most housing and commercial projects statewide, a move Stein says will cut development costs, reduce flood risks and make more land available for housing.
“Over time it will create greater affordability,” Stephanie Watkins Cruz, director of housing policy at the N.C. Housing Coalition said at the signing ceremony.
Raleigh and Durham County have already ended mandatory parking minimums and HB 162 extends changes to about 90 percent of the state. However, mandates remain in coastal communities.
The bill also includes a provision that offers incentives to municipalities for stronger stormwater protections when properties are redeveloped.
HB 162:
- limits local government authority to impose minimum off-street parking requirements for most developments
- provides greater flexibility in site design and parking decisions
- modernizes certain stormwater requirements for qualifying redevelopment projects
- encourages additional housing production while helping reduce unnecessary development costs
“This bill gives North Carolina another tool in the toolbox to build more homes and make housing more affordable. It increases flexibility for homeowners and homebuilders by eliminating mandatory minimum parking spaces based on occupancy in most counties,” Gov. Stein said in a statement. “This change will lower rents for people. It also enables local governments to offer voluntary incentives for stormwater control, which can help protect property from flooding and improve community resilience.
“Let’s keep advancing pro-housing policies to ensure affordable homeownership is not just a dream, but a reality for North Carolina families.”