Policy Wonk

Montgomery County's inclusionary zoning (MPDU)

Headline result
15,000+
affordable homes produced
Quasi-experimental
Implemented by
Montgomery County, Maryland
Type
City / local government
Where
United States
Region
North America
When
1974–present
Evidence
Quasi-experimental

The challenge

New suburban development was producing homes only wealthier families could afford.

The case

In 1974 Montgomery County, Maryland, became one of the first places in the US to require that larger new housing developments set aside a share of homes, now 12.5–15%, as Moderately Priced Dwelling Units, in exchange for permission to build more. The program has produced well over 15,000 affordable homes spread through affluent neighborhoods, and the county's housing authority buys some to rent to low-income families. A study found children in public housing who attended low-poverty schools through this program did better in math and reading.

Why it worked

Tying affordability requirements to a density bonus made them workable for developers. Spreading affordable homes across the county gave poor families access to strong schools.

Sources