“In nearly every major US city, apartments are banned in at least 70% of residential areas. San Jose prohibits apartments in 94% of its residential areas. The most a developer can build in these zones is a detached single-family home.
Beyond apartment bans, a host of other zoning regulations limit housing supply. Rules such as height limits, minimum setbacks, and floor-area ratios curtail the development potential of most residential areas. In San Luis Obispo, the “High-Density Residential” zone—the most liberal residential district in the city—limits buildings to a 35-foot height and mandates large lawns. Where apartments can be built at all, these specifications mean the complexes won’t host many units.
Apartments aren’t the only type of housing snarled by zoning. In cities, many zoning codes ban single-room occupancies (SROs)—better known as boarding or rooming houses—in which residents rent a furnished private bedroom with a shared kitchen and bathroom. Where they’re allowed, SROs serve as a housing safety net, providing exceptionally affordable accommodations to low-income singles. In the postwar period, however, many cities—including New York—modified their zoning to ban them.
For every zoning rule prohibiting new housing, a half-dozen rules inflate the prices of the housing that actually gets built.
Consider minimum lot sizes, which require developers to set aside a certain amount of land for each home. These rules are common in single-family zoning districts, where lot size is a key driver of costs. Although they serve a health-and-safety function in rural areas—where, for example, sewer hookups may be unavailable—these rules serve no such purpose in most cities and suburbs. Ample research has shown that minimum lot sizes are a major culprit for rising housing costs.
“Minimum parking requirements do similar damage in cities. These mandate that for each new unit of housing, a developer must also build some number of off-street parking spaces. While developers have both the incentive and local knowledge to determine how much parking a project requires—too few spaces and the units won’t sell; too many spaces and the developers waste money—minimum parking requirements supersede their judgment with often-arbitrary standards.
“The most powerful voices in local housing debates are those of incumbent homeowners. If they see zoning regulations as a means to inflate their biggest investment—the value of their home—the prospects for reform are slim. Even when local policy makers manage to change codes, they will face continual opposition. Their victories are unlikely to last.”
read more: atlantic, 21.06.2022. arbitrary lines, by m nolan gray.