Growth limits are restrictions placed on housing developers to cap construction in a pre-determined area. In Lakewood, an ordinance recently passed that will limit annual growth of new residential construction to one percent of housing stock in the city. The system limits permit requests for new dwelling units and would mandate that the Lakewood City Council vote to approve or reject projects of 40 or more housing units. The intention is to encourage redevelopment and protect open space. However, growth limits also cause rental prices to skyrocket. Any statewide measure similar to Lakewood’s introduced will lead to higher housing costs as supply falls even further behind demand.

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