Minneapolis tackles affordable housing zoning changes in 2023
- In 2019, Minneapolis became the first major U.S. city to eliminate single-family exclusive zoning, allowing multifamily housing development.
- The Minneapolis 2040 plan aimed to create affordable housing and included reforms like removing parking requirements.
- Despite controversy, the plan led to a decrease in rents and increased developer interest, indicating a positive shift in the housing market.
In 2019, Minneapolis made a significant change by eliminating single-family exclusive zoning, allowing for the construction of multifamily buildings on previously single-family zoned lots. This initiative, part of the Minneapolis 2040 plan, aimed to diversify housing options and promote affordable housing across various neighborhoods. The city also removed parking requirements and emphasized designs that support public transit, pedestrians, and cyclists. Despite the plan's intention to address housing affordability, it sparked controversy, with some residents expressing concerns about neighborhood changes and environmental impacts. Notably, while rents nationwide increased by 22% over five years, Minneapolis experienced a 4% decrease, indicating the plan's potential effectiveness in stabilizing housing costs. The local housing market has shown signs of growth, with developers submitting permits at rates significantly higher than the average, reflecting confidence in the market's future. However, the debate continues as various stakeholders weigh the benefits of increased housing density against potential environmental consequences.