Introducing Market Reports—search the largest database of commercial real estate market reports.

Cambridge Passes New Zoning For 6-Story Buildings

By freeing apartment developers to build up to 4 stories, the hometown of Harvard and MIT has set a new benchmark.
Cambridge Passes New Zoning For 6-Story Buildings
  • Cambridge has legalized up to 6-story buildings by right in neighborhoods previously limited to single-family homes, a monumental shift in the city’s zoning policies.
  • The new zoning law is expected to result in the construction of 4.88K new units, far surpassing the original estimate of just 350 units over the next 15 years.
  • The law requires 20% of units in buildings over four stories to be set aside as affordable, ensuring new development includes housing for various income levels.
  • This reform is seen as a major victory for the YIMBY (Yes In My Backyard) movement, which seeks to ease zoning restrictions as a solution to housing shortages.
  • While advocates praise the reform, some residents are concerned about design oversight, historic preservation, and the impact on neighborhood character.
Key Takeaways

Cambridge, Massachusetts, a city known for its intellectual and cultural vibrancy, has passed an ambitious zoning reform that could reshape its housing landscape, according to Bloomberg.

The new law allows property owners and developers to build apartment buildings of up to four stories by right, with the possibility of two additional stories.

Model For Housing Reform

The Cambridge zoning reform is projected to create 4.88K new housing units, much more than the 350 units that were previously expected to be built over the next 15 years. 

The reform’s success is thanks to years of advocacy by housing advocates and a broad coalition of supporters, including elected officials and nonprofits. The changes are seen as a blueprint for other cities struggling with their own affordable housing crises.

By allowing for taller, denser construction, Cambridge is setting a new standard for urban development, far exceeding the impact of similar reforms in other progressive cities.

As Cambridge City Council member Burhan Azeem notes, the new law allows for up to six stories across the city, a move that could transform how housing is developed.

Developers can now construct buildings that can house up to 46 households on a typical 11K SF lot, a dramatic improvement over the modest six-unit developments permitted under previous zoning rules.

Historic Housing Crisis

Cambridge has long been at the heart of the US affordable housing crisis. Home to elite institutions like Harvard University and the Massachusetts Institute of Technology, the city has a mix of historical homes and older apartment buildings.

Still, the housing supply has failed to keep up with demand. With average rents reaching $3,375 a month, nearly 69% higher than the national average, many residents struggle to find affordable housing.

In 2023, Cambridge only added five new homes, underscoring the city’s chronic housing underproduction.

YIMBY In Action

The zoning changes in Cambridge reflect the growing influence of the YIMBY (Yes In My Backyard) movement, which advocates for loosening zoning restrictions to increase housing supply and affordability.

Cambridge’s decision to embrace upzoning on such a wide scale is a breakthrough for the movement, which has seen progressive efforts in cities like Berkeley, Austin, and Minneapolis, but never before on this level.

The reform is also seen as a potential model for other cities in the Greater Boston area, where housing demand far exceeds supply. Other municipalities, like Somerville and Brookline, are working toward similar reforms, but Cambridge’s swift action puts it at the forefront of this housing revolution.

Community Pushback

Despite the enthusiastic support from housing advocates, the reform faced significant opposition from some residents. Critics, including the Cambridge Citizen Coalition, argue the upzoning is a form of “luxury development” that could lead to gentrification and displacement.

They fear the reform could result in design chaos and undermine historic preservation efforts. Others questioned the affordability of the new units, noting that the required 20% affordable housing set-aside may not be enough to address the city’s deep affordability gap.

Even within the pro-housing community, there were disagreements over specifics. Some advocates felt the four-story limit should be raised to six stories with more affordable units. In contrast, others worried changes could push out lower-income residents in favor of wealthier newcomers.

RECENT NEWSLETTERS
View All
NYC’s Office Bond Market Is Back
March 3, 2025
READ MORE
NYC’s Multifamily Conduit Distress Rate Hits 8.5%
February 28, 2025
READ MORE
CBRE: Cap Rates Stabilize as Investor Confidence Grows
February 27, 2025
READ MORE
Federal Office Lease Cuts Could Shake Up $15.6B in CRE Loans
February 26, 2025
READ MORE
CRE Daily - No Cap

podcast

No CAP by CRE Daily

No Cap by CRE Daily is a weekly podcast offering an unfiltered look into commercial real estate’s biggest trends and influential figures.

Join 65k+
  • operators
  • developers
  • brokers
  • owners
  • landlords
  • investors
  • lenders

who start their day with CRE Daily.

The latest news and trends in commercial real estate delivered to your inbox. Get smarter about what matters in just 5-minutes or less.