On April 22, 2026, Virginia Gov. Abigail Spanberger signed House Bill 888 into law, establishing a statewide ceiling on the minimum off-street parking that localities may require for residential, multifamily and mixed-use developments located within a half-mile of mass transit facilities or public transportation stations. Effective July 1, 2026, the law prohibits localities from imposing minimum parking requirements exceeding 0.5 spaces per dwelling unit for multifamily or mixed-use developments, or one space per dwelling unit for single-family homes, two-family homes and townhouses in qualifying transit-oriented areas.
The legislation also creates a framework for developers to seek a 25% administrative reduction in off-street parking requirements for developments within 1,000 feet of a bus stop, with streamlined approvals available for projects serving households earning at or below 70% of the area median income. Additionally, localities with populations exceeding 20,000 must provide for administrative review of parking reductions of at least 20% for qualifying developments located more than a half-mile from transit stations.
The law contains a provision specific to Fairfax County, the only Virginia locality with a population exceeding 600,000. Under this carve-out, Fairfax County may by ordinance impose off-street parking requirements exceeding the statewide caps for developments within a half-mile of locally operated bus stops. County staff indicated they are still evaluating how HB 888 will align with or alter the requirements and waiver processes established under the county’s existing “Parking Reimagined” zoning ordinance amendment, which updated minimum parking standards based on density and transit proximity in 2023. Developers with projects in Fairfax County transit areas should be aware that the interplay between the new state law and existing county standards may create opportunities and complexities during the transition period.
For developers and investors across the commonwealth, HB 888 represents a meaningful shift in the regulatory landscape for transit-oriented projects. By reducing mandated parking — which can be a considerable cost per space in structured facilities — the law has the potential to lower development costs, increase project feasibility and support additional housing production in high-demand areas. The administrative approval pathways for affordable housing projects and for sites where required parking is physically infeasible offer further flexibility that may be significant to project planning and entitlement strategies.
McGuireWoods is prepared to help you evaluate the opportunities this new law presents and navigate its application to your specific development plans. For questions about how HB 888 may affect your current or planned real estate projects — including site-specific parking analyses, entitlement strategy or the interaction with local zoning frameworks such as Fairfax County’s Parking Reimagined program —contact a member of the McGuireWoods Real Estate Transactions Practice Group.