By Sean Hathaway

Cambridge’s passage of city-wide zoning reform has commanded great attention, not only for the novelty of the policy but the speculation of how it will reshape the city.

The change, which enables four-story multifamily development by right (with an additional two stories for projects with affordable units), makes Cambridge one of the few municipalities in the country to do away with single-family-only zoning. Single-family homes, themselves, are still allowed.

Like so many communities in Massachusetts, Cambridge faces a desperate need for housing and the hope is this measure will result in the creation of thousands of new units throughout the city. 

As the dust settles, here are three reactions to the rezoning.

Don’t Expect a Sudden Flood of Development Activity

For those less familiar with the terminology, it is important to keep in mind that zoning refers to what’s allowed to be built on a parcel and what can be done within that built environment. Zoning can put guardrails around building height and whether a commercial business can operate out of a property, to give a couple of examples.

This policy measure offers greater flexibility for developing a parcel by expanding the options available to the controlling entity. Previously, pursuing an apartment building would mean having to follow the rezoning process, which adds both time and costs, with no guarantee of permission being granted. Now, that slice of the process has been eliminated.

It is also important to note that we still find ourselves in the midst of a challenging economic environment. Leading up to the passage, members of the community feared that this effort would result in every single-family home in the city being torn down to make way for apartment buildings. While that scenario may happen to a degree, it’s unlikely to be widespread. 

Raw materials, labor, and insurance costs have risen dramatically in recent years, limiting the profitability of multifamily development. In Cambridge, the expansive inclusionary requirement (which would impact a six-story development) adds a further expense to account for. A developer will have a maximum financial offer in mind to keep the project profitable, which may or may not meet the owner’s expectations to cash out on their house.

Even if the offer is attractive, it’s not guaranteed to move the needle. Home buying is an incredibly challenging experience due to a lack of inventory and higher mortgage rates. This is creating an environment where people interested in moving are staying put due to a lack of options.

In short, a lot of alignment will be needed before single family homes are acquired for the purpose of redevelopment.

Other Communities Will Be Watching Closely

Looking beyond “eds and meds,” Cambridge takes pride in innovation – even when it comes to policy measures. Take cannabis, for example. And what happens in Cambridge does not always remain in The People’s Republic.

The decision to allow apartments by right was intended to address the housing crisis that grips the city, but Cambridge is hardly the only community facing this challenge. If this policy does yield positive outcomes, it would not be a surprise to see further adoption by other municipalities, like Somerville. That being said, we have seen wildly contrasting attitudes toward zoning reform with respect to the MBTA Communities Act, so additional zoning reform may be premature before we let the existing legislation play out further.

One particular thing I am curious to see play out is whether this effort produces more homeownership opportunities in Cambridge. If one single family home becomes eight condos, that is the model that can create new pathways to homeownership that may have felt inaccessible prior to the policy’s passage.

Another Policy Measure That Divides the City

While the initiative passed by an 8-1 Council vote, this was not universally supported throughout the city. Rezoning was the culmination of several months of discussion and planning and throughout that time, we heard from many residents on both sides arguing passionately about what this initiative would do.

Perhaps expectedly, we saw the line in the sand between Old Cambridge and New Cambridge. The former expressed concerns about the city that they’ve seen change so greatly over the past thirty years through development and how this policy would alter the character further. The latter group, more accustomed to the modernized version of the city, saw the rezoning as a necessary step to attempt to meet the massive housing demand.

At play was two differing views of how Cambridge should plan its future. Each side had merits and supportive voices, but contrasting philosophies. On a more positive note, the animosity paled in comparison to the bike lane saga. It is extremely encouraging, after that emotionally charged episode, that the community could resume debating similar issues with a more civil and respectful manner.

Looking Ahead

Cambridge looks no different in the immediate aftermath of citywide rezoning, but many (including those of us at IMG) will be eagerly awaiting the first indications that this policy is facilitating action. As dense and walkable as Cambridge is, volumes of new residential development will have to be supported at the municipal level with improved infrastructure and services. Ensuring that harmony persists amidst growth and activity will require attentive municipal staff. With decades of rapid development under its belt, Cambridge is up to the task.