Bellevue Set to Expand 'Supercharger' Building Incentive Program to More Neighborhoods

With new permit applications streaming in following a major upzone in Bellevue's underdeveloped Wilburton neighborhood last year, the Bellevue City Council is poised to bring an incentive program geared at spurring apartment construction to more neighborhoods, including Eastgate, Factoria, and Crossroads. But the move is temporary, with affordable housing advocates still pushing to contain the program to gain more subsidized units.

Wilburton's 2025 zoning overhaul unleashed a significant amount of new zoning capacity close to regional amenities like Sound Transit 2's Line and Eastrail, but were intensely negotiated to make redevelopment in the area pencil. With so many large lots, builders had to contend with additional costs for new road connections, among other required amenities. Included in that mix was a special allowance when it comes to the provision of affordable housing – what became known as the "Wilburton supercharger."

The supercharger allows developers to combine Bellevue's requirements for on-site affordable housing with participation in the voluntary Multifamily Tax Exemption (MFTE) program, unlocking a tax benefit for providing the mandated units. Without the supercharger, builders participating in MFTE would have to set aside 10% of new units to households making at or below 65% of King County's area median income (AMI) compared to 80% AMI with the supercharger – the difference between rents affordable to a family of two making around $80,000 per year versus $97,000.

Tying an affordability mandate to a property tax exemption is a novelty in places like Bellevue, but the idea is spreading, and some housing advocates view it as a best practice. Earlier this year, the Oregon legislature went so far as to ban cities from imposing affordability mandates that aren't offset by tax exemptions, a move referred to as "funded inclusionary zoning."

https://www.theurbanist.org/bellevue-set-to-expand-supercharger-building-incentive-program-to-more-neighborhoods/