St. Cloud Considers Increasing Multifamily Housing to Tackle Affordability Crisis

(KNSI) — St. Cloud is considering adding more multifamily housing in its existing neighborhoods.

The city council and planning commission held a joint work session on Monday to hear a presentation on developing light touch density. Assistant Director of the American Enterprise Institute’s Housing Center, Tobias Peter, addressed the members and explained the biggest cause of the housing crisis is that the cost of the average home has more than doubled since 2012 from $140,000 to $280,000. Meanwhile, wages have increased by less than 50% during that same time. Peter told the council that government regulations are the main cause of the increases and that having more supply helps tamp down prices while letting the market set the rate.

Council President Jeff Georger sat down with KNSI News immediately after the meeting to explain their long-term goal. “We’re looking at opportunities to increase the housing stock in St. Cloud to make it more affordable.”

He feels it’s time the city does whatever it reasonably can to help ease the burden. “What changes can we make to make it more acceptable, make it more profitable for builders? And give more people an opportunity to live in their own homes or to rent properties at a more reasonable rate?”

Some changes could include drastically changing the zoning rules to allow duplexes, townhomes, tiny houses or other forms of multifamily housing on single-family lots. The city could also eliminate parking requirements, increase home height requirements, or make the lot sizes smaller.

At this point, the city is in the discussion and planning phase. The council will take public input before finalizing rule changes.

The work session follows the introduction of the Minnesotans for More Homes initiative. If approved by lawmakers in St. Paul, it would supersede local ordinances to establish duplexes on single-family lots in cities. Sixplexs would be allowed in cities with 100,000 people. The Central Minnesota Builders Association is supporting the bill.

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