There is widespread agreement that we need more housing that is affordable, however, there is widespread disagreement as to whether that would be solved by simply increasing the supply of market rate housing or by increasing the supply of units restricted to be affordable to balance of the population.
Like most policy solutions to complex problems, the answer may lie somewhere in between in the form of a little bit of both. Policy tools used to increase the supply can take the form of incentives such as bonuses of market rate units in exchange for restricted affordable units or it can manifest as “Inclusionary zoning” mandates that require developers to include restricted affordable units.
Inclusionary Zoning in Los Angeles could be a reality soon. However, it still will apply only to multifamily development, not single-family homes, which concentrates its use in only 25% of LA’s residentially zoned land. Will that coverage be sufficient? And will it not disincentivize developers to create new supply while passing on the higher costs of housing that does get built to those who need a break the most?
Read more at Curbed LA:
LA will explore inclusionary zoning citywide