We need more housing, but we can build it in a way that doesn’t push people out of their communities. By planning ahead and encouraging development in the right places — like areas without existing homes or with fewer residents at risk — we can add homes while protecting the people who already live here.

Part 2: Incentivizing Production in the Right Places

Q: Why are people afraid that new housing will lead to displacement?

A: The concern is real — when new development replaces older, less expensive housing, long-standing tenants can be pushed out. But it’s not housing production itself that causes displacement — it’s where and how we build. 

By planning for growth in areas that don’t house vulnerable residents and incentivizing development there, we can build the homes we need without putting existing communities at risk. In fact, increasing the supply of housing — especially in high-opportunity and low-displacement areas — is essential to reducing pressure on existing neighborhoods.

Q: How can zoning help steer development away from displacement?

A: Zoning determines what can be built where — and by changing zoning rules, cities can guide growth to the places that make the most sense.

For example:

• Upzoning means increasing the number of homes allowed on a piece of land. Cities can upzone areas with little or no existing housing — like aging office parks, underutilized commercial corridors, or industrial land — to allow apartment buildings or mixed-use developments. Because these areas don’t house many vulnerable tenants, this shift doesn’t risk direct displacement.
  
• Cities can also create “opportunity zones” — particularly in areas identified as having low risk of displacement and high access to transit, jobs, and amenities — and zone these areas to support new housing, while being cautious in sensitive neighborhoods.

By carefully mapping where development is most appropriate, cities can avoid putting pressure on already-stressed communities and build where it does the most good.

Q: What kinds of planning work can support this strategy?

A: Planning is how cities set long-term visions for how neighborhoods should grow. When done well, it can help align land use, infrastructure, and equity goals. Key tools include:

• Affordable Housing Overlay Zones: These are special zoning areas where 100% affordable housing developments get extra benefits — like more height, reduced parking, or faster approvals — regardless of the underlying zoning. Overlays help make it easier to build deeply affordable housing in well-resourced areas.
  
• General Plan Amendments: A General Plan is a city’s long-term blueprint for land use. Amending it to allow housing in commercial corridors or to rezone low-productivity areas (like vacant lots or aging retail strips) can unlock sites for new housing — especially in places without existing homes to displace.
  
• Specific and Area Plans: These are detailed plans for a particular district or neighborhood. They can set clear expectations for housing, infrastructure, and community benefits. When done with robust community input, they can designate where housing can go and ensure growth is equitable.

Planning gives cities the opportunity to think ahead — and ensure that new housing supports, rather than harms, existing communities.

Q: What policy incentives can help push development to the right places?

A: Cities can encourage developers to build in preferred areas by reducing the barriers and costs of building there. Some key incentives include:

• Impact Fee Deferrals or Reductions: Developers usually pay fees to help cover the cost of public services like parks, roads, and schools. Cities can reduce or delay these fees in targeted areas to make building more financially feasible — especially where the need for housing is high and the risk of displacement is low.
  
• Flexible Design and Height Guidelines: Strict design rules and low height limits can make projects infeasible. In areas well-suited for growth, cities can allow taller buildings, reduce parking requirements, or ease setback rules (the distance buildings must be from property lines). This flexibility helps developers fit more units on a site and bring down per-unit costs.
  
• Minimum Density Requirements: Some areas are zoned to allow multifamily housing, but don’t require it — meaning a developer could still choose to build just a few units. Minimum density rules ensure that when housing is built, it adds meaningfully to the housing supply.
  
• By-Right or Ministerial Approval Processes: These streamline permitting by allowing certain projects to be approved automatically if they meet pre-set standards — avoiding lengthy public hearings. This reduces time, costs, and uncertainty for developers, which can be the difference between a project moving forward or not.

These tools help direct production to the areas cities want to see grow — places that can absorb new neighbors without displacing existing ones.

Q: Can housing production support anti-displacement goals?

A: Yes — when done right, building housing can reduce displacement pressure. Here’s how:

• Production Relieves Pressure: Our region hasn’t built enough housing to keep up with demand. That shortage creates competition for existing homes — especially older, lower-rent apartments — which can lead to rent increases and displacement. When we add more homes in the right places, we ease that pressure.
  
• Focusing on Low-Displacement Areas Increases Staying Power: Steering development away from areas with vulnerable renters and toward underutilized land protects existing tenants while still increasing supply.
  
• Combining Production with Protection: Production alone isn’t enough — but paired with strong tenant protections and affordability requirements, it becomes a powerful tool to stabilize communities.

We need more homes, but we can be intentional about where we put them to ensure that building doesn’t come at the cost of displacing our neighbors.

Our Takeaways:

We need more homes — but we need to build them in ways that strengthen, not strain, our communities. By using zoning, incentives, and planning to guide development to the right places, we can grow without pushing out our neighbors. The key is to be proactive, intentional, and equity-focused — so that everyone has a place in the future we’re building.