Smaller houses on smaller lots are in demand in Portland, (“Don’t just build smaller homes. Get people to like them,” May 24). The problem is a shortage of affordable houses.
In Oregon, our urban growth boundary planning system gives us a unique opportunity to build affordable housing. Most of the land brought into the growth boundary should be zoned for small lots with houses that will sell for less than what the median young household can afford.
This zoning will drive land prices lower than they would be if a builder could build more expensive houses — but the government wouldn’t have to compensate the landowner, since the land would still be worth more than it was before it was brought into the growth boundary. The landowner just wouldn’t make as much profit…