The House Housing and Insurance Subcommittee held a hearing this week to examine the various regulations and policies that impact affordable multifamily housing development.
Multifamily housing developments are often subject to a variety of federal, state, and local regulations. This may include a range of fees and other requirements that could have the effect of hindering development, which would reduce housing supply.
“Today’s hearing was essential in order to determine the costs of regulation, and barriers preventing affordable multifamily housing development,” Rep. Sean Duffy (R-WI), chair of the subcommittee, said. “The lack of development is especially concerning because while we continue to enjoy some of the lowest rates of unemployment in our history, people are having trouble finding affordable housing in areas they are being offered jobs. I want to thank today’s witnesses for coming forward today to share their thoughts on what is holding the housing industry back from developing affordable multifamily housing projects for our growing workforce.”
Sue Ansel, president, and CEO of Gables Residential, spoke on behalf of the National Multifamily Housing Council, stating policymakers at all levels of government must recognize that addressing housing needs requires a partnership between government and the private sector.
Steven Lawson, speaking on behalf of the National Association of Home Builders, said mandates on multifamily housing have expanded beyond basic safety and soundness considerations and morphed into expensive code changes, energy efficiency mandates, and restrictive land use policies. The compliance costs and fees are exacerbating the difficulty of providing safe, decent, and affordable rental housing, he said.
“The apartment industry can be a robust economic engine that provides high-quality, affordable housing and lasting job growth. However, the ability of our sector to deliver these benefits depends on collaboration and partnership at all levels of government. Support from policymakers, along with educational and planning tools, can help promote the acceptance of apartments and demonstrate the benefits of multifamily development,” James Schloemer, CEO of Continental Properties Company, Inc., said.