Effects of IZ on Local Housing Markets

In March 2008, the Center for Housing Policy and the Furman Center for Real Estate and Urban Policy at NYU jointly released a policy brief, The Effects of Inclusionary Zoning on Local Housing Markets, that assesses the effects of inclusionary zoning programs on the price and production of market-rate housing in San Francisco, Washington DC and the suburban Boston area, as well as the levels of affordable housing production attributable to the programs.  While the authors were unable to offer definitive answers, they found no evidence that IZ programs reduced market-rate housing production in the San Francisco area, and evidence of only slight effects on production in the Boston area.

In February 2010, researchers at the Furman Center issued a policy brief update that revisits and expands on these findings.  The new research takes a more nuanced look at impacts during periods of rising and declining housing prices.  Click here to access the original brief and update.