iStock photo illustration
Commercial real estate interests are cheering the inclusion of language to extend valid permits – including home building permits – for an additional two years in the economic development bill expected to head to the governor Thursday.
The commercial real estate group NAIOP Massachusetts said lawmakers included its proposal for a two-year “Permit Extension Act” as Section 280 of the $4 billion jobs bill released Tuesday evening. NAIOP said giving permit-holders an additional two years to complete their work is vital “to protect the over 40,000 permitted-but-not-yet-built housing units across the Commonwealth.”
“This language applies to any permit, certificate, order (excluding enforcement orders), license, certification, determination, exemption, variance, waiver, building permit or other approval or determination of rights from any municipal, regional or state governmental entity, concerning the use or development of real property, and any environmental permit, including certificates, licenses, certifications, determinations, exemptions, variances, waivers, building permits or other approvals or determinations of rights (with some exceptions) in effect or existence between January 1, 2023 and January 1, 2025, and extends those approvals for a period of two years in addition to the lawful term of the approval,” NAIOP said in an email to members and supporters Wednesday morning.
Massachusetts is expected to have a 220,000-plus housing unit shortage by 2030. Gov. Maura Healey and the Legislature hope a law passed and signed this summer will spur the production of about 45,000 new units and the preservation of 27,000 more.
Lawmakers pursued extensions of state and local permit approvals in 2010 for projects facing obstacles tied to the Great Recession and credit crisis and renewed the extension in 2012. The extensions were viewed by developers and legislative supporters as a way to keep job-creating proposals alive and boost the construction industry. The state also extended various permits during the COVID-19 pandemic.
NAIOP also highlighted Wednesday that the economic development bill includes language it filed at the beginning of the session to make sure special permits and site plan review approvals will not be affected by retroactive zoning changes for the length of the permit.
The bill would also create a State Permitting Office under the Executive Office of Economic Development, along with a state permit ombudsman charged with helping new and expanding businesses here and working with other state agencies to expedite the process of obtaining state licenses, permits, certificates and other approvals.
