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WASHINGTON, D.C. — The (ULI) and have a asserting that an overhaul of zoning codes can solve America’s housing crisis.

The average U.S. renter spends of their income on rent. Median home prices reached a record high in June 2022, states the report, released earlier this month. A key driver of the crisis, the ULI argues, is the fact that there’s not enough housing to go around: currently, the U.S. is short units.

The report, Reshaping the City, describes the root cause as being outdated . Without the ability to construct multi-family buildings, cities can’t keep up with housing demand, said the ULI. The report also notes restrictive zoning codes were historically used as a tool for .

The report features case studies from 15 different cities, from New York City to Summit County, Colo., that are using zoning reform to create more affordable and equitable places to live. 

Goals of zoning code updates include increasing production of a variety of housing types, leading to increases in affordable and attainable housing; lowering the cost of housing development by reducing or eliminating policy barriers; promoting low-carbon building principles and certification such as LEED and Passive House; and increasing permeable surfaces to reduce flooding and adding shade and reflective surfaces to address the urban heat island effect, thereby enhancing climate resilience.

Other goals include encouraging mode shift away from driving and car ownership toward transit, biking and walking by supporting the development of compact, mixed-use communities; integrating transit and real estate development, and building more housing within walking distance of major transit hubs; and providing parks and open space and viewing them as critical infrastructure.