A recent presentation to the Raleigh City Council highlighted the success of missing middle housing reforms and offered real hope for the future of housing affordability in Raleigh.
In the summer of 2021, the City Council adopted zoning code changes designed to diversify the size and shape of homes allowed to be built across Raleigh. Those text changes, known as “missing middle” reforms, created a powerful tool that is starting to produce more homes affordable to lower income wage earners.
Since enactment, these reforms have led to 2,300 new homes moving through the development pipeline, with some built and occupied by Raleigh’s newest neighbors. Without the reforms, these 2,300 new homes would not have been possible.
Not only were 2,300 homes permitted, but 200 will be affordable to some of our lowest earning neighbors for the next 30 years.
Those 200 units were only possible due to a component of the missing middle reforms called the “frequent transit development option”. That reform allows a slight increase in the number of homes permitted in a development, so long as a percentage are affordable to residents earning 60% of Raleigh’s area median income. Those eligible for the option are often childcare workers, construction workers, policemen, firemen, health care workers and bus drivers.
Fundamentally, homelessness is inextricably tied to housing diversity and supply. Multiple national studies show that homelessness increases with the cost of housing.
Academic studies consistently find homelessness is more directly correlated to housing costs than any other factor (including substance abuse, weather, or availability of services). Changes in rents precipitate changes in rates of homelessness. Whether you measure rents to income ratio, actual rents, or the rate of increase of rents, the data stays the same: homelessness is driven by housing costs.
Although providing subsidized housing to low-income individuals is the most straightforward solution, it is expensive and funding is scarce. That’s why expanding and diversifying Raleigh’s housing supply is so important.
Raleigh is home to exceptional affordable housing providers that work tirelessly to address Raleigh’s housing challenges. Despite these efforts, and significant financial support from Raleigh and Wake County, persistent increases in housing costs and rising rates of homelessness make their work difficult. While Raleigh and Wake County elected officials are committed to providing more subsidized housing for our lowest-income residents, Missing middle reforms, including the frequent transit development option, enable the private sector to add to the city’s housing supply more rapidly than ever before.
The missing middle reforms that created 200 affordable homes will continue to gain momentum as long as City Council retains this powerful tool for providing diverse housing choices across the City. As momentum accelerates and new neighbors are welcomed across the City, Raleigh will become a more interesting and vibrant place to live.
With the City Council election approaching, voters should ask candidates about housing policy and specific strategies they support. Challenge them to offer detailed answers about strengthening Raleigh’s housing policies. Will they reinforce missing middle reforms or yield to those fighting to maintain the status quo?
Eric Braun is the founder of RaleighForward, a group dedicated to supporting policies focused on housing affordability, resident engagement and community prosperity.
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