What is inclusionary zoning?
Inclusionary Zoning refers to any local policy which requires new multifamily developments to set aside a certain percent of their housing units for low-to-moderate income households.
In Waltham, residential developers must designate 15% of new housing units as affordable to households earning at or below 80% of the Area Median Income, so long as the following conditions are met:
Waltham developers must designate an additional 5% of new housing units as affordable to households earning at or below 50% of the Area Median Income if the following conditions are met:
Residential developers may forego these Inclusionary Zoning requirements by paying a fee to the city's Municipal Affordable Housing Trust Fund.
*The city of Waltham aggressively restricts housing development in its zoning code, such that the City Council or Zoning Board of Appeals must vote (with a 2/3 majority) to grant developers a special permit to build anything denser than a duplex in most circumstances.
- The proposed development contains eight or more units
- The development requires a special permit* to be constructed
Waltham developers must designate an additional 5% of new housing units as affordable to households earning at or below 50% of the Area Median Income if the following conditions are met:
- The proposed development contains 19 or more units
- The proposed development requires a special permit* to be constructed
Residential developers may forego these Inclusionary Zoning requirements by paying a fee to the city's Municipal Affordable Housing Trust Fund.
*The city of Waltham aggressively restricts housing development in its zoning code, such that the City Council or Zoning Board of Appeals must vote (with a 2/3 majority) to grant developers a special permit to build anything denser than a duplex in most circumstances.
How much affordable housing has waltham's inclusionary zoning ordinance created?
Since it was adopted on October 26, 2020, Waltham's Inclusionary Zoning ordinance has led to the creation of 0 units of affordable housing. Our inclusionary zoning ordinance has not led to a single unit of affordable housing even being approved.
Yikes. How did that happen?
From 1991 to 2019, Waltham's Inclusionary Zoning required developers to designate 10% of new housing units as affordable to households earning at or below 80% of the Area Median Income. This more modest requirement led to the creation of 128 units of affordable housing.
Waltham's current zoning is bad for affordable housing! 10% of 1,280 housing units results in a lot more affordable housing than 20% of nothing.
Yikes. How did that happen?
- Waltham's zoning code makes it incredibly difficult to build multifamily housing.
- Housing construction is expensive, and high Inclusionary Zoning requirements can make housing construction financially unviable.
From 1991 to 2019, Waltham's Inclusionary Zoning required developers to designate 10% of new housing units as affordable to households earning at or below 80% of the Area Median Income. This more modest requirement led to the creation of 128 units of affordable housing.
Waltham's current zoning is bad for affordable housing! 10% of 1,280 housing units results in a lot more affordable housing than 20% of nothing.
How can waltham maximize affordable housing development?
The MBTA Communities Act requires that Waltham update its zoning code to allow for easier multi-family development near its commuter rail stations. In order to guarantee that housing construction is financially viable, the Commonwealth has placed the following restrictions on Waltham's Inclusionary Zoning ordinance in regards to upcoming rezoning:
So how can Waltham maximize affordable housing development?
- By default, Waltham's Inclusionary Zoning cannot mandate affordability requirements greater than 10% at a level below 80% of household Area Median Income.
- Waltham may mandate higher levels of affordability if its Inclusionary Zoning ordinance is supported by an economic feasibility analysis, which "must demonstrate that a reasonable variety of multi-family housing types can be feasibly developed at the proposed affordability levels".
- Since the MBTA Communities Act requires multifamily housing construction "as of right", special permits cannot be a pre-condition for inclusionary zoning in the rezoned area.
So how can Waltham maximize affordable housing development?
- By altering its zoning code to allow for more multi-family development
- By altering its Inclusionary Zoning ordinance to no longer require a special permit
- By performing an economic feasibility analysis to optimize its Inclusionary Zoning Ordinance.