Minneapolis metrowide housing building permits still remain 41% below prerecession levels
Minneapolis-St. Paul metro needs to be building twice as many homes as it is right now
June 19, 2019
- The Metropolitan Council is sounding the alarm that the Minneapolis-St. Paul metro needs to be building twice as many homes as it is right now. Whether it’s multifamily or single family, our metro’s housing production rate since 2010 is 38% less than our population growth rate. Our critical lack of new home development also places us among the same ranks as San Francisco, a market notorious for its housing crisis.
- Beginning in 2012, building permits for multifamily roughly doubled from 23% of new housing unit permits to 45% of new housing unit permits. Year-to-date, multifamily has accounted for 62% of all new housing unit permits. These two statistics contribute to false speculation that the Twin Cities are approaching a softening multifamily market. In fact, total multifamily unit permit counts since the start of this decade are almost exactly the same as the first decade of the 2000s. Also consider that we have seen a 125% decrease in single family permits between 2000-2009 and 2010-today. As Minneapolis-St. Paul’s population continues to grow, our current housing market urgently needs new development.
Source: JLL Research, Axiometrics, Metropolitan Council