After three years, two ballot measures and Tuesday’s City Council vote, Seattle is one step closer to being a more affordable city.

On Tuesday night, House Our Neighbors hosted an event featuring Mayor Katie Wilson, announcing the organization will be receiving $115 million through a voter-approved tax to build and buy buildings for affordable public housing. Rent is tied to the resident’s income. And because the buildings are mixed income, wealthier residents subsidize the cost. Earlier that day, City Council voted to turn on the tap, unanimously passing the interlocal agreement for the collection and disbursement of the funds between the city and the Seattle Social Housing Developer (SSHD).

“There is a lot of wealth in the city, and we continue to have one of the most regressive tax systems in the country, in the state,” said Wilson. “And it is very gratifying to know that we’re going to be able to use a little bit of that wealth and put it to work building housing.”

February must be a lucky month for housing in Seattle. In February 2023, Seattle voters passed I-135, which basically asked Seattle voters, “Hey, do you want us to form a social housing developer?” and Seattle said “yes.”

Then, in February last year, the city presented voters with two options to fund social housing: Prop 1A, a 5 percent tax on companies for each employee making more than $1 million per year; or Prop 1B, which wouldn’t create a new tax, but siphon $10 million per year from the Jumpstart payroll tax for only five years. Seattle passed Prop 1A.

SSHD’s interim CEO Tiffani McCoy announced that an estimated 170 companies in the city are subject to the tax, $115 million in the 2025 fiscal year—a figure far greater than the original estimate of $50 million.  

Social housing is a new concept in Seattle, deviating from our profit-driven housing market that’s widely inaccessible for low- and middle-income people. Rents are meant to remain permanently affordable, with a target goal of around 30 percent of a person’s income. And it’s been successfully implemented in places like Vienna, Austria, Finland and Singapore. In the United States, only Seattle and Montgomery County, Maryland have taken the leap.

“Our main objective isn’t profit and we’re not determined by the markets that other, private landlords are,” SSHD spokesperson Lilly Fowler told The Stranger.

Maybe you’re wondering if you can be one of those hundreds benefitting from social housing this year. You could be, if you make anywhere up to 120 percent of the area’s median income (AMI). Fowler says they estimate the first building will open in about six months. You can register to stay updated here.

“In a moment when housing costs continue to rise and displacement pressures remain real, social housing is going to give us a tool that can match the scale of the problem,” Wilson said.

Correction: This article has been updated since publication. We incorrectly stated the Seattle Social Housing Developer hosted the event, when it was House Our Neighbors. We also stated that the city had collected $115 million in the last month of 2025. It had begun collecting funds from the 2025 tax year last month (January 2026). We also inaccurately stated that rent for these buildings would be capped at 30 percent. The target is around 30 percent of a tenant's income, but it's not legally mandated. We regret the errors.