The agency will identify federally owned parcels appropriate for housing development and streamline the regulatory process to lease or transfer land to housing authorities and nonprofit developers.
The Department of Housing and Urban Development (HUD) and the Department of the Interior announced plans to build housing on federal lands to address the housing crisis, reports Rebecca Picciotto in The Wall Street Journal. “The two secretaries also vowed to streamline the regulatory process so building on a federal lands doesn’t get held up with environmental reviews, transfer protocols and other priorities, according to the announcement.”
However, just 7.3 percent of federal lands fall within major metro areas, where the housing crisis is most acutely felt. The action would have little impact in cities like New York, where just 3.4 percent of land is federally owned, but could significantly increase housing supply in states like Nevada and Utah.
The proposal faces some unique challenges. “In some areas, the surrounding infrastructure and zoning laws would have to allow for home building, or be changed to do so. President Trump’s plan would also contend with logistical and environmental challenges.” Some federal lands are in remote or sensitive areas that would be damaged by new infrastructure, which would also raise the cost of construction.
According to HUD, lands identified as appropriate for development would be leased or transferred to public housing authorities, nonprofits, or local governments. But the agency also left open the possibility it could “occasionally” be sold to private developers.
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