Growth-Management Planning Efforts to control the rate and/or the location of future growth.
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Transcript of Growth-Management Planning Efforts to control the rate and/or the location of future growth.
Growth-Management Planning
Efforts to control the rate and/or the location of future growth.
“Tradition has broken down. Taste is utterly debased. There is no enlightened guidance or correction from authority.”
Thomas Clark
“There are hordes of hikers cackling insanely in the woods. . . . lying in every attitude of undress and inelegant squalor.”
C.E.M. Joad
“The extension of towns must be stopped, building must be restricted to sharply defined areas.”
C.E.M. Joad
QuickTime™ and aTIFF (Uncompressed) decompressor
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That housing must be “in great new blocks of flats which will house a considerable portion of the population.”
C.E.M. Joad
QuickTime™ and aTIFF (Uncompressed) decompressor
are needed to see this picture.
$933,000 in London
•250-square feet•Includes a 55-square-foot patio
•Only $479,000
London Housing Prices• A 6’x9’ storage closet
converted to an apartment rents for $1,400 a month
• A cabin made out of packing crates sold for $95,000
• A 320-square-foot public toilet converted to a house sold for $195,000
Demand
Supply
Housing Supply & Demand
Quantity
Demand
Supply
Housing Supply & Demand
Quantity
Growth-Management Techniques
• Urban-Growth Boundaries • Urban-Service Boundaries • Greenbelts • Agricultural Reserves • Restrictive zoning • Large-Scale Open-Space Purchases • Limits on Building Permits • High Impact Fees • Lengthy Permitting Process
Coldwell Banker House
Coldwell Banker House • 2,200-square feet • 4 bedroom • 2-1/2 baths • Family room • 2-car garage • Nice neighborhood
$155,000 in Houston
$357,000 in Portland
$1,100,000 in San Jose
“Government regulation is responsible for high housing costs where they exist.”Edward Glaeser & Joseph Gyourko
Planners KnewThere are “welfare tradeoffs for higher density” that “take the form of higher housing prices and perhaps lower housing output.”
Metro, Metro Measured, 1994
Homeownership Rates
0
10
20
30
40
50
60
70
80
90
100
19001910192019301940195019601970198019902000
United States
Oregon
North Carolina
Index is roughly the value of a 1999 median home in 2005 dollars
The Planning Penalty• Added cost per median-
valued home• $60,000 in Portland• $14,000 in Asheville• $22,000 in Wilmington• $850,000 in San Francisco
metro area
The Total Annual Penalty• Added cost to all people who
bought homes in the nation, state, or region during 2005
• $17 billion in Florida• $136 billion in California• $275 billion in U.S.A.• $200 million in N. Carolina
Total Annual Planning Penalties(billions of dollars)
1364
3
MA 15RI 2CT 6NJ 17MD 3DC 11
17
8
2
6
3
235
1
>$1 billion<$1 billion$0 Other factors
Solutions Worse Than the Disease
• Inclusionary Zoning • Subsidies to Low-Income Housing • Rent controls • Tax-increment financing
These practices reduce housing costs for a small minority by driving up the cost of housing and/or taxes for everyone else
“Inclusionary zoning produces few units. After passing an ordinance, the average [Bay Area]city produces fewer than 15 affordable units per year.”Powell & Stringham
“Inclusionary zoning makes other homes more expensive. We estimate IZ causes the price of new homes in the median city to increase by $22,000 to $44,000.”Powell & Stringham
“New housing production drastically decreases the year after cities adopt inclusionary zoning. . . . New construction decreases 31 percent.”Powell & Stringham
“Price controls fail to get to the root of the affordable housing problem. . . . The real problem is government restriction on supply.”Powell & Stringham
“If policy advocates are interested in reducing housing costs, they would do well to start with zoning reform.”Edward Glaeser & Joseph Gyourko
“Had Portland's policies been applied nationwide over the last 10 years, over a million young and disadvantaged families, 260,000 of them minority families, would have been denied the dream of home ownership..”
Randall Pozdena
The New Segregation
“In sprawled areas, black households consume larger units and are more likely to own their homes.”
Matthew E. Kahn
United States Homeownership Rates
0
10
20
30
40
50
60
70
80
90
100
White Hispanic Black
Percent
North Carolina Homeownership Rates
0
10
20
30
40
50
60
70
80
90
100
White Hispanic Black
Percent
Source: USDA, 1997 Natural Resources Inventory
Rural Develop-ments 1.3%
Lower 48 StatesRural Open Space
95.0%
Cities and
towns 3.7%
Urban
8.4%
Otherdevelopment 2.0%
Rural OpenSpace88.6%
johnlocke.org
americandreamcoalition.org