St. Paul Voters Could Pass the Nation's Strictest Rent Stabilization Ordinance

The extremely strict proposal would eliminate sharp rent increases, but could stifle housing construction and worsen the city's housing crisis.

2 minute read

September 10, 2021, 6:00 AM PDT

By Diana Ionescu @aworkoffiction


St. Paul Minnesota

CC0 / Public Domain / Good Free Photos

Bill Lindeke describes the details of St. Paul's proposed rent stabilization ordinance, which, if passed by voters in November, "would place unprecedented restrictions on the construction of new housing," leaving "an open question what it would do to the city’s housing market."

As proposed, "[t]he law would cap rent increases for all of the city’s 65,000 rented homes at 3% per year, but includes a complicated list of factors that allow landlords to apply for a variances — things like property taxes, maintenance issues, capital improvements (only if needed to bring a building to code), and a few others." According to Shane Phillips, author of The Affordable City, "historically, rent control policies have sometimes made housing crises worse by reducing the size and quality of the housing supply." Consequently, most of today's rent stabilization programs are "explicitly designed to ensure that the housing supply keeps growing."

Lindeke points to three issues with the St. Paul plan that could exacerbate the city's housing crisis. First, the policy does not exempt new construction, which could discourage developers from building in the first place. Second, the plan does not account fo inflation, yet "[a]lmost every other program is pegged somehow to the consumer price index (CPI) or enlists a committee that sets annual rates based on local conditions." The third factor is the unusual step of controlling rent on vacant units, rather than for each individual tenant, creating a situation "rife for potential corruption" and discrimination.

"if the HENS proposal passes, it would put St. Paul on its own," says Lindeke, and "will almost certainly cause other problems that would make the housing crisis even worse."

Thursday, September 9, 2021 in Minneapolis Post

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 2, 2025 - Diana Ionescu

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

White and purple sign for Slow Street in San Francisco, California with people crossing crosswalk.

San Francisco Suspends Traffic Calming Amidst Record Deaths

Citing “a challenging fiscal landscape,” the city will cease the program on the heels of 42 traffic deaths, including 24 pedestrians.

July 1, 2025 - KQED

Blue and silver Amtrak train at small station.

Amtrak Rolls Out New Orleans to Alabama “Mardi Gras” Train

The new service will operate morning and evening departures between Mobile and New Orleans.

July 3 - New Orleans City Business

Large spinning swing ride at Chicago's Navy Pier.

The Subversive Car-Free Guide to Trump's Great American Road Trip

Car-free ways to access Chicagoland’s best tourist attractions.

July 3 - Streetsblog Chicago

Aerial view of downtown San Antonio, Texas at night with rotating Tower of the Americas in foreground.

San Antonio and Austin are Fusing Into one Massive Megaregion

The region spanning the two central Texas cities is growing fast, posing challenges for local infrastructure and water supplies.

July 3 - Governing