Bill 44 & BC Density Legislation: What Property Owners Need to Know

What Is Bill 44?

Bill 44, officially titled the Housing Statutes (Residential Development) Amendment Act, 2023, is a piece of provincial legislation that fundamentally changes how municipalities in British Columbia regulate residential housing. Introduced by the BC provincial government and passed into law in November 2023, Bill 44 requires every municipality in the province to allow more housing on existing residential land. In practical terms, this means a single-family lot in most BC municipalities can now accommodate up to 4 units — or up to 6 units near transit — without any rezoning application.

The legislation addresses what the province identified as a key barrier to housing supply: municipal zoning bylaws that restricted most residential land to single-family homes only. By mandating that municipalities allow Small Scale Multi-Unit Housing (SSMUH), secondary suites, and garden suites, Bill 44 aims to increase housing supply incrementally across established neighbourhoods without requiring large-scale redevelopment.

Bill 44 is part of a broader package of provincial housing legislation that includes Bill 47 (Transit-Oriented Areas), Bill M-216 (the Professional Reliance Act for development approvals), and changes to the Agricultural Land Commission Act. Together, these bills represent the most significant overhaul of BC's land use regulation in decades.

Key Provisions

Bill 44 contains several interconnected provisions that collectively change the residential development landscape:

Mandatory SSMUH zoning

All municipalities must pre-zone residential land to allow Small Scale Multi-Unit Housing. The minimum number of units depends on lot size: up to three units on lots under 280 m², up to four units on lots of 280 m² or more, and up to six units on qualifying lots near frequent transit stops. Municipalities cannot require rezoning for projects that meet SSMUH standards.

Secondary suite and garden suite requirements

All municipalities must allow at least one secondary suite in every single-family home. Garden suites (detached accessory dwelling units) must also be permitted on qualifying lots. Municipalities can regulate the size, height, and design of these suites but cannot prohibit them outright.

Elimination of public hearings for OCP-consistent development

One of the most impactful provisions of Bill 44 is the elimination of public hearings for developments that are consistent with the Official Community Plan. Previously, municipalities could use public hearings to delay or deny developments that met all technical requirements simply because neighbours objected. Under Bill 44, if a project conforms to the OCP and zoning, it proceeds to a building permit without a public hearing.

OCP update requirements

Municipalities must update their Official Community Plans to accommodate the density levels required by SSMUH. This means OCPs can no longer designate large areas exclusively for single-family housing if those areas are within urban containment boundaries. The OCP updates were required by June 30, 2024 for larger municipalities and December 31, 2024 for smaller ones.

Housing needs reports

Bill 44 strengthens the requirement for municipalities to prepare housing needs reports and to demonstrate how their OCPs and zoning bylaws address identified housing needs. These reports must be updated every five years and must be considered when municipalities make land use decisions.

How It Changed Municipal Zoning

The impact of Bill 44 on municipal zoning cannot be overstated. For decades, the majority of residential land in BC municipalities was zoned exclusively for single-family detached homes. This zoning pattern, often referred to as “exclusionary zoning,” restricted housing supply, drove up prices, and contributed to urban sprawl.

Bill 44 effectively ends exclusionary single-family zoning across BC. Under the new framework:

• No municipality can maintain zones that allow only one dwelling unit per lot (with the exception of areas with environmental constraints or servicing limitations).
• Every single-family zone must allow at least a secondary suite, meaning the practical minimum is two units per lot.
• Most urban residential lots must be zoned to allow three or four units.
• Municipalities retain control over building form (height, setbacks, lot coverage, design standards) but cannot use form-based regulations to make the required number of units physically impossible to build.

The transition has been significant. Municipalities that previously processed zero multi-unit residential applications on single-family lots are now receiving regular SSMUH applications. Planning departments have had to develop new review processes, design guidelines, and development standards. Some municipalities have embraced the change and streamlined their processes; others have been slower to adapt.

For property owners, the key takeaway is that the development potential of your lot may have fundamentally changed. A lot that was worth its value as a single-family home site may now be worth significantly more as a site that can support three or four units.

Impact on Property Values

Bill 44 has created both winners and questions in the property market. The general effect is an increase in the development potential, and therefore the value, of single-family lots, particularly in desirable locations with strong rental demand or proximity to transit and amenities.

Where values have increased most

Lots in areas with high rental demand (near universities, hospitals, downtown cores) have seen the most significant value increases. A lot that can support four rental units generates substantially more income than a lot with a single home, and the market is pricing this in. Properties near designated transit-oriented areas (which may qualify for even higher density under Bill 47) have also appreciated.

Where the impact is more modest

In suburban or rural areas with lower rental demand, the impact of Bill 44 on property values has been more modest. The theoretical ability to build additional units only translates to higher values if there is a market for those units. In areas where single-family homes are already affordable and rental demand is limited, the development premium may be minimal.

The “highest and best use” question

Real estate appraisers evaluate properties based on their “highest and best use,” which is the most profitable legal use of the land. Bill 44 has changed the highest and best use calculation for millions of lots across BC. If your lot can support four units and the market would absorb them, the highest and best use may no longer be a single-family home, even if that is what currently sits on the property.

This shift has implications for property tax assessments, estate planning, and purchase decisions. If you are buying a single-family home, it is worth understanding whether the lot's price reflects its development potential, and whether you might want to use that potential yourself in the future.

Bill 44 vs SSMUH vs TOA

These terms are often used interchangeably, but they refer to different things. Understanding the distinction helps you navigate the regulatory landscape:

Bill 44 (the legislation)

Bill 44 is the provincial law that mandates changes to municipal zoning and planning. It is the legal authority behind SSMUH, OCP updates, and public hearing elimination. When someone references “Bill 44,” they are talking about the legislation itself.

SSMUH (the housing category)

SSMUH stands for Small Scale Multi-Unit Housing and refers to the specific types of housing that Bill 44 enables: secondary suites, garden suites, duplexes, triplexes, and fourplexes on residential lots. SSMUH is the “what,” the housing types. Bill 44 is the “how,” the legal mechanism. For Greater Victoria-specific SSMUH information, see the SSMUH Greater Victoria guide.

TOA / Bill 47 (transit-oriented density)

Transit-Oriented Areas (TOAs) are a separate but complementary framework established by Bill 47. TOAs mandate higher-density development within 400 metres of designated transit exchanges, up to 10 storeys within 200 metres and up to 6 storeys between 200 and 400 metres. TOAs apply to a much smaller geographic area than SSMUH but allow significantly higher density. See the Transit-Oriented Areas guide for details.

In practice, a property could be subject to both SSMUH requirements (from Bill 44) and TOA requirements (from Bill 47) if it is located near a designated transit exchange. In that case, the TOA requirements typically supersede SSMUH and allow even greater density.

Related Provincial Bills (M-216, Bill 47)

Bill 44 does not exist in isolation. It is part of a package of provincial legislation designed to address housing supply and streamline development:

Bill 47: Transit-Oriented Areas

Bill 47 mandates higher-density development near designated transit exchanges across BC. On Vancouver Island, this includes exchanges at UVic, Uptown (Town and Country), Royal Oak, Langford, and potentially others. Properties within TOA boundaries can see density allowances of 6 to 10+ storeys, far exceeding what SSMUH permits. Bill 47 works in tandem with Bill 44. SSMUH provides baseline density across all residential areas, while TOAs provide enhanced density near transit.

Bill M-216: Professional Reliance Act

Bill M-216 aims to streamline the development approval process by allowing municipalities to rely on reports from qualified professionals (engineers, surveyors, architects) rather than conducting their own independent reviews. This can significantly reduce permit processing times for SSMUH projects. Under professional reliance, a report from a licensed professional that certifies compliance with relevant standards is accepted at face value by the municipality, reducing duplication and delays. Understanding which development consultants you need for your project is essential to leveraging this streamlined process.

Agricultural Land Commission changes

Related amendments to the Agricultural Land Commission Act address housing on Agricultural Land Reserve (ALR) properties. While ALR land is generally excluded from SSMUH requirements, the amendments allow additional housing for farm workers and family members on ALR land, and clarify the rules around secondary suites on agricultural properties.

What This Means for Homeowners

If you own residential property in British Columbia, Bill 44 has likely changed what you can do with your land. Here are the practical implications:

You probably have more building rights than you think

If you own a single-family lot in an urban area, you can almost certainly build at least a secondary suite, and likely a garden suite or additional units. These building rights exist regardless of whether your municipality has fully updated its bylaws, the provincial framework applies.

Your property may be worth more

The ability to build additional units on your lot adds development value. Whether you plan to build now or in the future, understanding this value is important for financial planning, estate planning, and property decisions. The Development Potential tool can help you assess what your lot may support.

Rental income opportunities

Adding a secondary suite or garden suite creates rental income that can help offset mortgage costs, fund retirement, or provide housing for family members. In Greater Victoria, a legal secondary suite typically rents for $1,500 to $2,200 per month, and a garden suite for $1,800 to $2,800 per month, depending on size and location. Landlords should be familiar with current BC tenant protections under new density rules, including the 2.3% rent increase cap for 2026 and updated eviction notice requirements.

You do not need to act now

Bill 44 is permanent legislation, not a temporary program. Your building rights under SSMUH do not expire. You can plan, save, and build on your own timeline. However, construction costs tend to increase over time, so there is a financial argument for acting sooner rather than later if you have a clear plan.