Provide incentives for affordable housing, workforce housing, infill projects, or for life-cycle housing at or near job or retail centers, or for achieving an average net residential density of seven units per acre.
One promising planning strategy (from Donald Shoup: 2008) to encourage voluntary land assembly of large enough sites to redevelop at higher densities is graduated density zoning, which allows higher density on larger sites. This strategy can increase the incentive for owners to cooperate in a land assembly that creates higher land values.
For design resources related to commercial and housing infill development, see implementation tools for the Building Redevelopment best practice, especially tools under BPA 5.5.
Build a Better Burb, the online journal of suburban design, has resources for infill projects in addition to addressing a sense of place, parking and transit, and thinking regionally.
Strong towns require age diversity in order to sustain themselves: children, the next generation; working-age adults, the most financially and civically engaged community members; and retirees, a repository of community wisdom and volunteer energy. Designing neighborhoods for safe, independent living at all stages of life - which includes providing life-cycle housing - is thus critical for a vibrant city. See Making Room: Housing for a Changing America (AARP: 2019) for a wide menu of housing options.
A Community Land Trust is a non-profit that holds the title for multiple parcels of land, removing the cost of the land from residential and commercial buildings. This results in increased long-term affordable options in the community. See the Center for Community Land Trust Innovation for more resources and see where CLTs currently exist.
See additional implementation tools for action 7.1.
Offer tax-increment financing, land write-downs or other loan/grant tools for affordable housing, workforce housing, infill projects, or for life-cycle housing projects at or near (within ¼ mile of) job or retail centers. Report infill development/design standards and programs under BPA 5.5.
Offer a building permit fee discount or expedited permit review; use direct purchase & demolition; support a community land trust (CLT) affordable housing project.
Enact graduated density zoning; offer at least one incentive tool for affordable/workforce/life-cycle housing; report affordable housing as part of new residential development that has at least 10 units; create city-owned or managed workforce housing through a local Housing Redevelopment Authority (HRA); set up a CLT financing program.
Who's doing it
Burnsville - 3 star
Date action report first entered:
Date of last report update:
Year action initially completed:
Implementation details:
Burnsville utilizes tax-increment financing and tax abatement for projects that include but are not limited to creation or retention of jobs, elimination of blight, neighborhood revitalization and other development and redevelopment goals established by the city (Council Policy 1.136).
All land use clearance projects needing city council approval are reviewed in 60 days. Burnsville offers a building permit fee rebate according to the Single Family Permit Rebate (Counicl Policy 2.095), which offers an incentive program for single family, duplex, and townhome property owners that make substantial investment into their homes.
Burnsville has a Housing Improvement Area Policy as a life-cycle housing tool. It established the city's position to use Housing Improvement Area financing for private housing improvements (Council Policy 5.306).
See Ch. 20, Art VIII and Art. XVIII
The city has created Tax Increment Financing (TIF) districts for affordable and senior housing projects including 35 of 76 zero-lot line homes in the North Bay development, 48 affordable units in Gateway Place, and 35 affordable of 161 units in Sommerwood Senior Housing development.
Outcome measures/metrics/money saved:
Additional completed projects that include life-cycle housing at or near job or retails centers include: Southwest Village townhouses at the Park and Ride station, The Venue apartments adjoined to a grocery retailer and next to a transit station and Mission Hills Senior Housing near transit and retail.
Since TIF was authorized by the State in
1979, the City of Eden Prairie has
established 21 TIF District project areas.
The funds gathered from these districts go
into the Tax Increment Development Fund,
which is part of the Capital Project Funds,
which the City has used for projects such as
transportation improvements and rent
reduction to create affordable housing units.
As part of the PUD Ordinance, in section 36-494 'Planned Unit Development District-7(PUD-7)—66th West Apartments', wherein,
principal uses are as stated, "affordable housing with supportive services to assist residents with maintaining stability in housing and employment, as proposed and described by Beacon Interfaith Housing collaborative in their project description on file in the office of the planning department. Any change in use of the site will require an amendment to this section of the City Code".
The City of Morris has a long history of approving TIF districts for projects that will improve housing and business development in Morris. A TIF district was established to help in the construction of 32 units (in the form of 4 8-plexes) in Morris. Additionally, another TIF district was approved on 2/12/19 for the construction of 10 memory-care units at Legacy living in Morris.
Outcome measures/metrics/money saved:
Multiple TIF districts approved and established for high density housing in Morris, MN:
-On 10/9/2018 for the construction of 32 housing units (four 8-plexes on one property).
-On 2/12/2019 for the construction of 10 units of memory care.
All three examples are infill/redevelopment projects
City secured tax forfeited parcels, aided in assembling of properties, negotiated with county on providing a shared access, provided TIFF, and was conduit of Met Council grant to construct 60 unit work force housing property along major transportation corridor and within walking distance of retail center. Project also completed trail connection. Property opened October 2019 and filled up in one month.
City secured/purchased and assembled three blighted adjacent properties, removed and properly disposed of building materials, and has provided TIFF for a 127 unit market rate apartment complex currently under construction and is scheduled for first unit’s fall 2020.
City purchased crime ridden and blighted commercial site (motel), removed structure and is in process of working with senior housing developer on 100 unit independent/assisted/memory care property and same work force housing developer for a 100 unit property simultaneously addressing two 30+ year adjacent businesses to enable them to expand. Property is within walking distance of major transportation hub and adjacent to industrial/commercial business park.
Outcome measures/metrics/money saved:
MWF project combined 4 properties, all zoned single family residential; into one multi family resulting in more efficient use of land. With completion, city is near Met Council projection on number of affordable housing units.
The city utilizes TIF financing to provide incentives for infill development. The city will also pursue grant funding to further facilitate infill projects.
A successful example of this was the TIF financing and grant funds utilized to make the Tartan Crossing project a reality. The city received DEED Redevelopment and Met Council Livable Communities Demonstration grant funds to cover some of the costs of the demolition and public infrastructure portion of the project. TIF is also being utilized.
Outcome measures/metrics/money saved:
The mixed use site now features a 92 unit senior facility, a 90,738 SF grocery store, a 4,083 convenience store, and a future retail component.
The City of Hoffman sold lots on 8th street for $1.00 and took off all the assessments to encourage Hoffman residents to build. The Hoffman Economic Development Authority changed their covenants to let town houses be built on 8th Street.
The City 's Housing and Redevelopment Authority uses tax increment financing, land write downs, and the City's loan and grant programs for developments consistent with its Comprehensive Plan.
The city's HRA Strategic Plan and zoning code state that the city should maintain and encourage a mix of housing types in each neighborhood by directly purchasing available properties for demolition and supporting new home construction.
Apple Valley has provided a variety of incentives for various projects on a case-by-case review. Examples include Founders Circle, with reduced setbacks, shared parking, and higher intensity land uses, as well as financial incentives from various funding sources for planning and park amenities; and Cobblestone Lake, with smaller lot sizes, reduced setbacks, and funding of workforce and senior housing.
Coon Rapids provides financial incentives, including redevelopment and housing TIF districts and a revolving loan fund, for infill housing projects near commercial and employment areas. The City has also used land assembly to incentivize infill housing development.
Duluth has multiple Mixed Use districts that encourage a combination of residential and commercial land uses. High density housing reduces developer's and owner's costs related to stormwater fees, utility construction, and road extensions. The comprehensive plan encourages development along existing transit nodes and corridors.
New Brighton utilizes Tax Increment Financing for projects that include, but are not limited to, the creation or retention of jobs, to overcome brownfield site challenges and prepare them for redevelopment, to achieve housing and/or commercial/industrial uses that are desired and/or lacking within the community, reduction of blight, neighborhood revitalization, and redevelopment goals that are recognized within the Comprehensive Plan. Since establishment of TIF by the Minnesota Legislature, New Brighton has created 33 TIF districts.
The city used TIF financing for the redevelopment of a K-mart in the City Center district. The project includes a Hy-Vee grocery store, gas station, and a separate office/retail building.
The City of New Hope adopted a Fair Housing Policy on Feb. 28, 2022, with the goal of ensuring that fair and equal housing opportunities are available to all persons in all housing initiatives and development activities funded by the city regardless of race, color, religion, sex, sexual orientation, marital status, status regarding public assistance, creed, familial status, national origin, or disability. This is achieved through external practices that provide access to fair housing information and referral services and through internal practices and procedures that promote fair housing inclusion.
Rosemount is a member of the Metropolitan Council's Livable Communities program and uses it's PUD ordinance to encourage infill development and life cycle housing throughout the community.
Outcome measures/metrics/money saved:
Rosemount was recently awarded a Livable Communities grant for the Steeple Center Senior Housing project - $440,000 to help redevelop a portion of St. Josephs Church complex into a 70-unit senior housing project and a public senior center to adjoin the newly renovated Steeple Center. The project will integrate multiple uses and strengthen Rosemounts downtown.
The City offers TIF and other incentives for infill projects within the Central Business District. The City has utilized these incentives to get a local grocery store in town and various other commercial developments.