Community Planning & Economic Development

Planning and Zoning
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Long Term Affordable Housing Policy Study

The City of Minneapolis is conducted a study to inform the expansion of capacity for long term affordable ownership housing (LTA). LTA housing is currently defined by the City Council as housing that is affordable for a minimum 30-year period to households below 80% of area median income ($80,000 in 2019 for a family of four).

The final report, recommendations, and a summary are linked below. A key shift in the final report is a recommendation to expand perpetually affordable housing (PAH), which is designed to ensure affordability in perpetuity in most market conditions. The report additionally recommends providing meaningful pathways to serve households at 80%, 60%, and 40% of area median income. Perpetually affordable homes include an equity sharing provision to ensure that when the first homebuyer sells the home, it is affordable for the next homebuyer. PAH models include the City of Lakes Community Land Trust and a new city-sponsored PAH model, additional models may be approved by the City through an annual process advertised through the Minneapolis Homes listserv.

Policy Context

January 3, 2017: an Infill Housing Working Group of neighborhood leaders, housing developers, non-profit organizations, City staff, and funders established a recommendation to expand the City of Minneapolis focus on long term affordability ownership housing.

February 17, 2017: the City launched a Request for Qualifications process for LTA providers.

  • August 4, 2017: CLCLT approved as LTA provider
  • February 23, 2018: Habitat approved as LTA provider

August 2, 2017: the City conducted a review of how other government agencies ensure long term affordability and presented its findings to stakeholders.

Study Content and Timeline

Grounded Solutions Network was selected through a request for proposals process in May 2019. Key elements to be included in the study are:

  • Literature review about trends for housing affordability
  • Market study to clarify options for ensuring affordability in the Minneapolis housing market
  • Community engagement to gain input about options to build LTA capacity in Minneapolis
  • Drafting a recommendation for the City Council to consider for expanding LTA capacity in Minneapolis
June 2019Kickoff work and begin market study
Site Visit #1: July 17 and 18, 2019Community meetings to share information about market context, clarify options available to sustain affordable ownership housing through LTA models, and gain community input and feedback
July – August 2019Research LTA models and narrow options for consideration
Site Visit #2: October 16 and 17, 2019Community meetings to share information about resale formulas and gain community input and feedback
1st Quarter 2020Draft policy recommendations
2nd Quarter 2020 (dates TBD)Final recommendations




Last updated Nov 16, 2020



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