Newly inaugurated Mayor Katie Wilson has wasted no time in challenging the status quo. Her administration’s centerpiece is a proposed $1 Billion Housing Bond, a massive shift toward “union-built, publicly owned” homes.

While the Seattle Social Housing Developer (SSHD) uses its own tax-backed bonds, Wilson wants a massive city-wide General Obligation bond to jumpstart production. This is the third leg of the stool in Seattle’s 2026 housing strategy.

The Model: The City as Developer

Unlike the 2023 Housing Levy, which primarily funnels money to non-profit developers, this bond would fund the City acting as its own developer.

• Public Land, Public Labor: The bond is modeled after a feasibility study conducted by King County. It positions the municipal government as the primary engine for creating permanently affordable housing stock.
• Labor Requirements: A key pillar is the Union-Built mandate, requiring Project Labor Agreements (PLAs) for all construction. Wilson argues this ensures the housing crisis isn’t solved at the expense of worker wages.
• Mixed-Income Revenue: The bond would be repaid partly through the cross-subsidy model – rents from middle-income units help subsidize those for the lowest-income residents, theoretically making the bond debt-serviceable without constant new taxes.

The World Cup Countdown & Safe Zones

With the 2026 World Cup arriving this summer, the clock is ticking. Wilson has set an aggressive target to stand up 4,000 new emergency shelter units citywide before the first kickoff.

• Shifting Away from Sweeps: The Mayor is pushing for a model similar to the pandemic-era JustCare program—rapidly placing individuals into converted hotels and tiny home villages with intensive case management.
• Target Locations: Advocates are eyeing the Chinatown-International District (CID) and SODO for rapid-acquisition hotels.
• The Goal: Use the bond to buy these hotels permanently, converting them from emergency shelter to social housing once the tournament ends.

The Property Flashpoints

The Mayor is eyeing specific sites to prove the model works before the international spotlight hits Seattle:

• The Montlake Surplus Land: Turning former WSDOT staging areas into a flagship mixed-income community.
• Stalled Belltown “Shovels”: Using the bond to “intercept” multifamily projects that stalled due to high interest rates.

The Breaking Point: The Miller Park Crisis

Traditional non-profits are watching this with “anxious hope.” They are currently facing a stabilization crisis as operating costs have risen 50% since 2019. This is critical for the Miller Park Crisis, where Community Roots Housing has begun the disposition process for six properties including the Miller Park apartments. Advocates are demanding the city use the bond to “intercept” these sales to keep them from being marketed to private equity firms.

Political Obstacles: The Federal Shadow

To pass, this would likely require a ballot measure in late 2026.

• The Conflict: Critics argue the $1 Billion Bond is too risky given the city’s structural deficit.
• The Argument: Opponents argue it could “crowd out” private investment, while advocates argue the cost of inaction—visible homelessness and skyrocketing emergency budgets—is far higher.

Next in this series: While the city builds for the future, current renters are navigating a new legal landscape. We’ll break down the impact of the new statewide rent cap and the looming voucher cliff facing Seattle tenants.