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Bill

HB 1852

Prohibiting local governments from transferring real property to nongovernment entities without fair consideration.

2025-2026 Regular Session Introduced by Carolyn Eslick and 4 co-sponsors

Washington bill prohibits local governments from transferring public property to private/nonprofit entities below fair market value, potentially limiting affordable housing and economic development tools.

First reading, referred to Housing.
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Bill Summary · HB 1852

Legislative bill overview

HB 1852 would prohibit Washington local governments from transferring publicly-owned real property to private or nonprofit organizations unless fair market value consideration is received. The bill essentially closes what sponsors view as a loophole allowing governments to give away public land below market rates or for free to nongovernment entities.

Why is this important

Public land transfers to private entities raise questions about fiscal stewardship and equitable use of taxpayer assets. This bill directly affects economic development strategies, affordable housing initiatives, and nonprofit operations that often depend on below-market or donated land from municipalities. It also impacts how local governments can incentivize development or support community organizations.

Potential points of contention

  • Affordable housing impact: Many affordable housing projects rely on discounted or donated public land to maintain affordability. Requiring fair market value could price out developers of low-income housing and increase costs for residents.
  • Economic development tools: Cities often use land transfers as incentives for development in underutilized areas. Requiring full fair value payment could reduce their ability to strategically revitalize neighborhoods.
  • Nonprofit partnerships: Community organizations, land trusts, and public charities frequently receive property donations from municipalities. This could burden nonprofits focused on public health, conservation, or social services with acquisition costs they cannot afford.

Compiled from official sources — confirm details with the bill’s official record.

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