Developers would need to include low-income units for 20 years.
After Minneapolis leaders pitched a plan to require affordable housing inside new apartment buildings, some developers issued a threat: Enact it, and we will flee.
On Friday, the city decided to move ahead anyway.
“We need to be brave enough to make policy that addresses a problem with the status quo,” Council President Lisa Bender said. “If we are too concerned about making changes, what we are really doing is leaving folks out of our growth.”
One prominent developer, Kelly Doran of Doran Cos., said he has already stopped pursuing new projects in Minneapolis and is instead focusing on the suburbs and other states.
“I just know from a business standpoint the numbers won’t work, so why look?” he said.
The City Council voted unanimously Friday to approve the new policy, called inclusionary zoning. It’s a hallmark of the 2040 Plan that will guide development in the city for the next two decades. Minneapolis officials hope that by requiring affordable housing units in many new buildings, they will allow renters to stay in a city where the housing costs are continually rising.
Read entire article HERE.
"Affordable units now a requirement for new apartment buildings in Minneapolis"; By Liz Navratil; Star Tribune; December 13, 2019