Portland’s Residential Infill Project Boosts Affordable Housing Development

The Residential Infill Project (RIP), initially adopted by the Portland City Council in 2021 and subsequently expanded in 2022 as the Residential Infill Project Part 2 (RIP2), has significantly advanced the creation of diverse and affordable housing options within Portland’s single-dwelling residential neighborhoods. These areas constitute 75% of the city’s land designated for housing. The introduction of middle housing has effectively addressed the evolving housing requirements of Portland residents.

RIP and RIP2 established new provisions for middle housing types, including duplexes, triplexes, fourplexes, Accessory Dwelling Units (ADUs), and cottage clusters, applicable in most of the city’s single-dwelling residential zones. To assess the impact of these initiatives in their early years, the Bureau of Planning and Sustainability (BPS) commissioned Cascadia Partners to compile a progress report on middle housing development. This report analyzes data from January 2018 to June 2024.

The findings indicate that permitting activity for middle housing in single-dwelling zones has risen since the implementation of RIP and RIP2, resulting in more affordable homeownership opportunities for a broader range of residents. Another measure of affordability can be seen in the participation rates in the Portland Housing Bureau’s (PHB) affordable homeownership programs. 

Programs such as the Homebuyer Opportunity Limited Tax Exemption (HOLTE) and System Development Charge (SDC) offer tax and fee relief to developers who comply with affordability and income guidelines. Since RIP’s adoption, engagement in PHB’s affordability initiatives has surged within single-dwelling zones, with a notable shift in approved applications from traditional single-family homes to middle housing options.

The increase in affordable homeownership applications has been observed in both high-opportunity areas and economically vulnerable neighborhoods. Providing affordable middle housing in high-opportunity locations enhances access to transit, employment, shopping, and amenities, traditionally found in pricier areas. In economically vulnerable zones, the production of affordable housing is crucial, as it offers residents housing options where they are likely to spend 30% or more of their income on housing costs.