Ann State Housing Bill Would Override Local Zoning — But No Public Discussion Allowed Although SB36/HB239 — the Starter and Silver Homes Act of 2026 – Governor Moore’s Housing Bill - was included in the Council’s legislative packet, it was not discussed during Monday’s briefing. Instead of allowing public discussion, the Montgomery County Council took a 20-minute recess, and Council President **Natali Fani-González — who controls the meeting agenda and recognition of speakers — did not permit Councilmembers or staff to ask questions or address the bill. Residents deserve to hear their elected officials publicly examine major State legislation, ask hard questions, and voice community concerns — especially on an issue as consequential as the Governor’s housing proposals. When those conversations are paused or moved out of public view, it limits transparency and leaves constituents out of decisions that directly affect their neighborhoods. We will share the video clip in the newsletter so residents can see exactly what happened - https://youtu.be/7d7v6XlXS74?si=m40HAf2kayktxX6G In plain English, here’s what the Bill will do If passed, the State — not Montgomery County — would control many rules for single-family neighborhoods:
- Caps minimum lot size at 5,000 sq ft
- No minimum house size requirements
- Homes could be built closer to property lines (smaller setbacks)
- No local design or architectural standards
- Townhouses cannot be prohibited
- Property owners could split one lot into up to three lots
What still applies
- Building codes
- Fire codes
- Health and safety rules
Where it wouldn’t apply
- Historic districts (designated before July 2025)
- Agricultural land
- Conservation areas
Counties are pushing back The Maryland Association of Counties (MACo) has proposed amendments to:
- Protect historic districts
- Exempt areas without water/sewer capacity
- Allow counties to keep setback and design standards
- Preserve Adequate Public Facilities rules (school/road capacity)
- Delay implementation
- Add a 10-year sunset
In short: give counties back local control.
Why this matters to you
- This isn’t just about housing types — it’s about who makes land-use decisions.
- Smaller lots can still mean $800K–$1M+ homes
- Teardowns can replace modest homes with higher-priced units
- Property values and taxes can rise
- Longtime residents — especially seniors and working-class families — can be priced out
In Short: Starter and Silver Homes Act of 2026 expands what can be built, but it doesn’t make homes more affordable or ensure current residents can stay. For neighborhoods already experiencing rising costs and displacement, that gap matters. Regardless of where you stand on new housing, this bill moves decision-making away from local communities and Montgomery County and places it in the hands of the State. ___________________________________________________________________________________________________ I Thought the Need Was Housing… What Happened With The Guardian? What does it say about our housing market when a brand-new apartment building meant to add to our housing supply now faces foreclosure just months after opening? That’s the question Montgomery County residents should be asking as a foreclosure auction is scheduled February 26 for The Guardian, a 167-unit apartment project in downtown Silver Spring. https://www.sourceofthespring.com/silver-spring-news/2897839/the-guardian-apartment-building-foreclosure-auction-set-for-feb-26/ When The Guardian was completed and began leasing last year, many saw it as part of the solution to our ongoing housing shortage. This was an office-to-residential conversion — a project that repurposed underutilized space into new homes. Apartments were advertised at rents between roughly $1,600 and $3,000, and the building included ground-floor retail space (with a Paris Baguette slated to open), suggesting both housing supply and neighborhood economic activity. But now, Atlantic Union Bank — the noteholder on a $36.25 million loan originated in 2022 — has initiated a foreclosure auction for the property’s ground lease interest. The sale is scheduled at Alex Cooper Auctioneers on February 26, requiring a $2 million deposit to bid. That raises several pressing questions: 1. Why Is Housing Projected Into Foreclosure So Soon? This project wasn’t a stalled lot or speculative land — it was completed and leasing. Yet the lender has moved to foreclose anyhow. Was the original underwriting too aggressive? Did costs overrun? Was there a failure in leasing velocity, pricing strategy, or financing structure? None of that is clear yet, but the result is the same: a building meant to house people is now at risk of changing hands through financial distress rather than through stable long-term ownership. 2. Who Bears the Consequences? In a county with documented unmet demand for housing — especially for people priced out of the market — this isn’t just a business failure. It’s a loss of potential homes and housing stability. And with rents in The Guardian at market rates that already stretch many budgets, will the next owner maintain the same units, or reprice them even higher? 3. What Does This Say About Housing Economics in Montgomery County? We often talk about building more units as a way to address affordability. The foreclosure suggests that just building units isn’t enough — the financial feasibility and long-term sustainability of these projects matter too. If development economics aren’t aligned with real community needs, we risk creating housing that exists but isn’t accessible — and may not last. We Need Housing. Let’s Build Housing That Stays Housing. The tension exposed by The Guardian’s foreclosure auction gets at a deeper structural issue. Building new housing — especially in downtown Montgomery County — requires aligning financing, construction costs, leasing strategies, and long-term ownership models with the real needs of residents, not just the short-term returns of investors and lenders. As a community, we should use this moment to ask hard questions of county housing policy, finance incentives, and development practices. Because if we truly believe the need is housing, then housing projects have to serve people first — not become casualties in a financial cycle that strips them from the market before they even settle into their role as homes. _______________________________________________________________________________________________ Property Owners: Know Your Rights - Veirs Mill Road BRT If your property touches Veirs Mill Road, you may have received an appraisal and offer packet from the Montgomery County Department of Transportation (MCDOT) related to Bus Rapid Transit (BRT) right-of-way acquisition. The letter accompanying the packet, states you only 30 days to accept the County’s offer. Remember: this is a business transaction. The County’s appraiser works for the County — not for you. Before signing anything, consider getting your own independent legal and appraisal representation to:
- Review the offer
- Verify the value of your land or easement
- Assess damages to the rest of your property (access, parking, yard space, setbacks, trees, fencing, etc.)
- Negotiate fair compensation
- Protect your rights
Attorneys working with your neighbors: Michele McDaniel Rosenfeld, Esq. The Law Office of Michele Rosenfeld LLC
1 Research Ct., Suite 450
Rockville, MD 20850
301-204-0913
[email protected]
www.marylandpropertylaw.com Experienced in land use, zoning, and eminent domain. Former Planning Board counsel with deep Montgomery County knowledge. Benjamin Schneider, Esq. Miller, Miller & Canby 200-B Monroe Street
Rockville, MD 20850
301-762-5212
www.mmcanby.com Their Eminent Domain & Condemnation team represents property owners in negotiations and court to secure fair compensation for takings and easements.
Need Language or Translation Support? If language is a barrier, EPIC of MoCo can help. [email protected] www.epicofmoco.com Don’t wait! If you received a letter — or think your property may be affected — talk to someone before the 30-day window closes. |
