(1) A landlord may increase rent in an amount greater than allowed under RCW 59.18.700 only as authorized by the exemptions described in this section. Rent increases are not limited by RCW 59.18.700 for any of the following types of tenancies:

(a) A tenancy in a dwelling unit for which the first certificate of occupancy was issued 12 or less years before the date of the notice of the rent increase.

(b) A tenancy in a dwelling unit owned by a:

(i) Public housing authority;

(ii) Public development authority;

(iii) Nonprofit organization, where maximum rents are regulated by other laws or local, state, or federal affordable housing program requirements; or

(iv) Nonprofit entity, as defined in RCW 84.36.560, where a nonprofit organization, housing authority, or public development authority has the majority decision-making power on behalf of the general partner, and where maximum rents are regulated by other laws or local, state, or federal affordable housing program requirements.

(c) A tenancy in a qualified low-income housing development as defined in RCW 82.45.010, where the property is owned by any of the organizations described in (b)(i) through (iv) of this subsection.

(d) A tenancy in a qualified low-income housing development which was allocated federal low-income housing tax credits authorized under 26 U.S.C. Sec. 42 or successor statute, by the Washington state housing finance commission or successor state-authorized tax credit allocating agency, so long as there is an enforceable regulatory agreement with the Washington state housing finance commission under the low-income housing tax credit program.

(e) A tenancy in a dwelling unit in which the tenant shares a bathroom or kitchen facility with the owner who maintains a principal residence at the residential real property.

(f) A tenancy in a single-family owner-occupied residence, including a residence in which the owner-occupant rents or leases no more than two units or bedrooms including, but not limited to, an attached or detached accessory dwelling unit.

(g) A tenancy in a duplex, triplex, or fourplex in which the owner occupied one of the units as the owner's principal place of residence at the beginning of the tenancy, so long as the owner continues the occupancy.

(2) Subsection (1)(e) through (g) of this section only apply where the owner is not any of the following:

(a) A real estate investment trust, as defined in section 856 of the internal revenue code;

(b) A corporation; or

(c) A limited liability company in which at least one member is a corporation.

(3) This section expires July 1, 2040.

Effective date—2025 c 209: See note following RCW 59.18.700.