Could Multiplex Zoning Be Coming to an End in BC?

British Columbia's housing policy could be heading for another major change. Following the 2026 provincial election, the incoming BC Conservative government has indicated it intends to revisit some of the housing policies introduced by the previous NDP government. Premier-designate Lorne Doerkson has said his government intends to follow through on its campaign commitments, although the new government has not yet been sworn in and legislation has not yet been changed. One of the biggest questions for homeowners, builders and municipalities is what happens next with Bill 44 and British Columbia's small-scale multi-unit housing rules.Bill 44 dramatically changed what could potentially be built on residential properties throughout BC. The intention was to create more housing, particularly the type of family-oriented housing often referred to as the "missing middle."But now that some of these developments are actually being constructed, I think it's worth asking a simple question:Are we building the type of housing people actually want? Here in Surrey, I'm not convinced we always are.

What Is Bill 44 in BC?

Bill 44 was introduced by the BC government in 2023 as part of a broader effort to increase housing supply. The legislation required many municipalities to change zoning rules to permit small-scale multi-unit housing on properties that had traditionally been limited to single-family homes or duplexes. Under the provincial rules, lots of 280 square metres or less—roughly 3,014 square feet—generally had to permit at least three housing units, while larger lots generally had to permit at least four units in applicable municipalities with populations above 5,000. Certain larger properties near qualifying frequent transit could be required to accommodate six units. There are exemptions and additional rules depending on the property and location. The province described the objective as removing zoning barriers and making it easier to build housing such as secondary suites, duplexes, triplexes, house-plexes, townhouses and other forms of small-scale multi-unit housing. On paper, I understand the idea. British Columbia has struggled with housing affordability and supply. If one residential property can accommodate several homes instead of one, theoretically we can create more housing without relying entirely on high-rise condominium towers. The problem is that what makes sense on paper doesn't always produce the expected result once builders, land costs and real-world economics enter the equation.

The Original Idea Behind Missing-Middle Housing

Imagine an older three-bedroom detached home sitting on a 7,000-square-foot lot in Surrey. Instead of having one family occupying the entire property, perhaps the existing house could eventually be replaced by three or four reasonably sized homes.Maybe they're three-bedroom homes.Maybe each has enough room for a couple with children. Maybe there's some private outdoor space and adequate parking. You could potentially accommodate several families on land that previously accommodated only one. That is the type of density I think many people imagine when they hear "missing-middle housing."It's somewhere between a detached house and a large condominium development. And I think there's a legitimate role for that type of housing in Surrey and throughout the Lower Mainland. But that's not necessarily what I'm seeing builders produce.

What Bill 44 Multiplexes Are Starting to Look Like in Surrey

One of the most interesting changes I've noticed in the Surrey real estate market is what's happening with new construction. Large condominium and townhouse developments require developers to assemble land, navigate significant construction costs and undertake much larger projects. A small builder, however, can potentially purchase an individual residential property, demolish the existing house and redevelop that lot under the new density rules. The result in some cases is not four modest family homes.Instead, we're seeing extremely large duplex-style or multiplex homes. Some of the properties I'm seeing can have approximately 2,800 to 3,400 square feet of living space per side, with four, five or even more bedrooms throughout the main living areas. Additional suites can then add even more bedrooms and occupants. Suddenly, a property that historically contained one detached home can potentially accommodate a significant number of people. That's certainly density.But I'm not sure it's the "missing middle" many people had in mind.

More Density Doesn't Necessarily Mean More Affordable Housing

This is an important distinction.If we demolish one detached home and replace it with four smaller homes, we've increased housing supply.But that doesn't automatically mean we've created affordable housing.Land in Surrey is expensive.Construction is expensive.Financing is expensive.Development costs are significant.Builders still need the project to make financial sense.If the resulting homes need to sell for $1.3 million or $1.4 million—or somewhere in that general range—to make the project viable, the buyer has an interesting decision to make.Do I buy the brand-new attached multiplex home?Or do I spend a similar amount on an older detached home sitting on its own lot?Different buyers will answer that question differently.Some will prefer the new construction.Others will value having their own land, driveway, yard and detached structure more than they value having a brand-new home.Government can change what is legally permitted to be built.It can't determine what buyers will ultimately prefer.

The Real Estate Market Will Decide Whether These Homes Work

This is one of the aspects of Bill 44 that interests me most as a REALTOR®.Zoning creates development opportunities.But zoning doesn't create demand.If builders produce a type of multiplex housing that buyers want at a price they're willing to pay, the market will reward it.Those homes will sell.More builders will construct them.Prices will establish themselves.Eventually, we'll have enough comparable sales to understand how buyers value them relative to detached homes, townhouses and other housing options.If buyers don't see enough value, the opposite will happen.Listings will sit.Prices will adjust.Builders will eventually change what they're constructing.It's still relatively early, which is why I don't think we should make sweeping conclusions about the long-term resale performance of these properties yet.But I'll be watching the sales very closely.

Should Surrey Have the Same Housing Rules as Every Other BC Community?

This is where the debate over Bill 44 gets particularly interesting.British Columbia is enormous.The housing needs of Vancouver are different from Surrey.Surrey is different from Burnaby.Burnaby is different from Williams Lake.And Williams Lake is different from a small rural community.Population density varies.Land values vary.Transit varies.Sewer capacity varies.Road infrastructure varies.Parking requirements vary.The types of homes people want vary.Yet Bill 44 established minimum density requirements across a large number of BC communities.By July 2024, the province reported that 162 of 188 local governments had adopted the required small-scale multi-unit housing legislation into their bylaws, with additional communities working toward compliance.The question now is whether that province-wide approach should continue.

Provincial Control Versus Local Control

There are reasonable arguments on both sides.The argument for provincial involvement is relatively straightforward.If municipalities have complete control over zoning, existing residents can resist new development.Everyone might agree that British Columbia needs more housing, but nobody necessarily wants the density built next door to them.That's the classic "not in my backyard" problem.Municipal councils also face pressure from existing voters, which can make approving additional density politically difficult.A provincial government can override some of those barriers and essentially say: we have a housing shortage, so communities need to accommodate more homes.Bill 44 was designed in part to do exactly that.The argument for local control is equally straightforward.Municipalities understand their infrastructure and neighbourhoods.The type of development that makes sense beside SkyTrain in Surrey City Centre may make very little sense in a neighbourhood without adequate transit, sewer capacity or road infrastructure.A one-size-fits-all approach can create unintended consequences.That's the debate British Columbia is now having.

What Could Repealing Bill 44 Actually Mean?

This is where it's important not to get ahead of what has actually happened.As of early November 2026, the existing small-scale multi-unit housing requirements remain in place. The current regulation still prescribes the three- and four-unit minimums on applicable lots.The incoming government has not yet completed the legislative process required to change those rules.So homeowners shouldn't assume that Bill 44 has already disappeared.And even if the provincial requirements are eventually repealed or significantly amended, that doesn't necessarily mean multiplex housing disappears from British Columbia.Many municipalities have already amended their zoning bylaws in response to the provincial legislation.The bigger question will be what happens to those municipal rules if the provincial requirement changes, and what individual cities decide to do with the authority they're given.Surrey could make one decision.Burnaby could make another.Vancouver could take another approach entirely.That's something homeowners, builders and developers will need to watch carefully.

What Happens to Multiplexes That Have Already Been Built?

They're not going anywhere.Even if the province changes its housing legislation, the homes already constructed under the existing framework become part of our housing stock.That means buyers need to understand exactly what they're purchasing.A multiplex can look somewhat like a townhouse while being legally structured very differently.That matters.Who maintains shared portions of the property?Who pays when major repairs are required?How is insurance handled?Are there shared utilities?What happens when neighbours disagree about maintenance?How are rental suites handled?What legal agreements govern the property?These aren't necessarily reasons not to buy.They're reasons to perform proper due diligence.The legal structure can be just as important as the physical structure.

Parking and Infrastructure Can't Be Ignored

There's also a practical issue that becomes obvious once you start putting considerably more housing onto individual residential lots.Where does everyone park?If a property goes from one household to several households, the number of vehicles associated with that property can increase significantly.Add secondary suites and the numbers can grow further.In a transit-oriented neighbourhood, that may be manageable.If people can walk to SkyTrain, shops, schools and employment, households may be able to function with fewer vehicles.But much of Surrey remains heavily dependent on cars.That's why density can't simply be about counting housing units.Roads, transit, schools, utilities, sewer systems and other infrastructure all have to keep pace.Otherwise, we're solving one problem while potentially creating several others.

What About Neighbourhood Character?

This is probably the most emotional part of the debate.Neighbourhoods change.Surrey today looks nothing like Surrey did 30 or 40 years ago.That's inevitable in a growing city.But there is still a legitimate discussion to be had about how quickly neighbourhoods change and what new development should look like.If a street is primarily made up of modest one- and two-storey detached homes and suddenly a significantly larger multi-unit development appears, it can dramatically change the streetscape.That doesn't automatically make the new building bad.But residents aren't unreasonable for wanting some say in how their neighbourhood evolves.The challenge is balancing the interests of existing homeowners with the housing needs of people who don't live there yet.That's not an easy problem to solve.

We Shouldn't Confuse Density With Good Housing

This is probably my biggest takeaway from watching the implementation of these policies.I support creating more housing.I support density where it makes sense.I think duplexes, triplexes, fourplexes, townhouses, secondary suites and other forms of housing can all be important parts of Surrey's future.But simply maximizing the number of bedrooms or units that can physically fit on a property doesn't necessarily mean we're creating better housing.Good housing needs to work for the people living there.It needs reasonable layouts.It needs adequate parking or access to transportation.It needs a sensible ownership structure.It needs infrastructure.And, most importantly, buyers need to see enough value to actually want to purchase it.

What Does This Mean for Surrey Homeowners?

For homeowners, the biggest issue may ultimately be land value.When zoning changes what can legally be built on a property, it can also change how builders evaluate that property.A detached home isn't necessarily valuable only because of the house sitting on it.The redevelopment potential of the land underneath it can matter as well.That means homeowners should understand the zoning and development potential of their property before making major decisions.Two seemingly similar detached homes could potentially have very different redevelopment possibilities depending on location, lot dimensions, servicing, municipal rules and other factors.If the province changes Bill 44 again, those development possibilities could change as well.For homeowners considering selling, that's worth understanding before deciding what the property is worth.

What Does This Mean for Buyers?

Buyers also need to pay attention.If you're buying a detached home, you should understand what could potentially be constructed around you.If you're buying a new multiplex property, you need to understand exactly what you're buying and how ownership and maintenance responsibilities are structured.And if you're purchasing primarily because you believe the property has future redevelopment potential, be particularly careful.Zoning rules can change.Government policies can change.Municipal plans can change.Never assume today's development potential is guaranteed forever without getting appropriate professional advice.

BC's Housing Policy Is Changing Again

The biggest lesson here might be how quickly housing policy can change.Bill 44 was passed in 2023 and municipalities subsequently changed zoning rules across the province. The legislation required small-scale multi-unit housing in many areas that had historically been limited to single-family or duplex housing. Only a few years later, British Columbia has elected a new government and another change in direction is possible.That creates uncertainty for builders, municipalities, homeowners and buyers.It also reinforces something I've said many times about real estate:You can't make a 20-year real estate decision based entirely on what one government is doing today.Governments change.Policies change.Interest rates change.Immigration changes.Zoning changes.And markets change.

Do We Need Multiplex Housing in Surrey?

I think Surrey needs more housing options.We're a growing city, and relying entirely on detached homes and high-rise condos isn't realistic.There should be something in between.The question is what that "something" should look like.A well-designed three-bedroom multiplex home that gives a family more space than a condo but costs less than a detached house could fill a genuine gap in our housing market.That's the missing middle.But if the economics instead produce enormous, expensive homes with multiple suites, limited parking and prices approaching those of detached properties, I think it's reasonable to ask whether we've achieved the original objective.That's not an argument against density.It's an argument for building the right density.

The Future of Bill 44 Is Worth Watching

We don't yet know exactly what the final replacement for the current system will look like.The incoming government has signalled that housing policy will change, but until new legislation is actually introduced and passed, homeowners shouldn't make decisions based on assumptions about what those changes will be.For now, Bill 44's small-scale multi-unit housing framework remains an important part of BC zoning.What happens next could have significant implications for Surrey real estate, land values, redevelopment properties, builders and the character of residential neighbourhoods throughout British Columbia.I'll be watching closely because this isn't simply a political story.It's a real estate story.And whether you own a detached home in Surrey, you're considering buying a new multiplex, or you're simply wondering what your neighbourhood could look like ten years from now, the decisions being made today could have a very real impact on the property you own tomorrow.

Written by:
Steve Karrasch PREC
Karrasch Real Properties Team
Macdonald Realty