Housing production in St. Paul, Minn., has deteriorated to levels not seen since the recovery of the Great Recession nearly 15 years ago. The Pioneer Press cites data from the U.S. Department of Housing and Urban Development (HUD) that shows building permits are a fraction of what they were a year ago. During the first half of 2024, roughly 140 permits were issued for new multifamily buildings, while 1,025 permits were issued during the same period in 2023.
The city breaks down its housing production by affordable and market-rate, and the overall total of permits has declined year-over-year since 2022—there were more than 1,600 permits in 2021.
Inflation and other factors are impacting rental housing, but in St. Paul, it is the city's rent stabilization cap of 3% annually that is hindering development. The St. Paul Mayor has a plan in place to exempt housing built after 2004 to help with the housing shortage and construction.