Eight Policy Trends in Water-Wise Development and Land Use
Across the United States, real estate development is increasingly constrained by limited freshwater supplies, a challenge compounded by federal efforts to roll back water-efficiency programs and reduce funding. These pressures place greater responsibility on states and local governments to meet rising water demand while managing shrinking resources. In response, ULI convened the Water Wise Development Coalition in October 2025, bringing together land use experts, real estate leaders and public officials to examine how shifting water and land-use policies affect growth and development nationwide.
Discussions highlighted growing concerns over federal actions that threaten long-standing efficiency initiatives such as WaterSense and ENERGY STAR, as well as proposed rollbacks of appliance and fixture standards. Experts emphasized that these programs have delivered measurable benefits, lower utility costs, reduced water and energy use and stronger support for sustainable development, while offering consumers affordable, high-performing choices. Weakening or eliminating such standards could increase water consumption, raise operating costs, strain local supplies and negatively impact property values. As federal policy becomes less supportive, participants noted that states and municipalities may need to play a larger role in advancing water-efficient solutions to protect both communities and the future of real estate development.
