Report: West Tennessee zoning affects affordability in expected population boom

(The Center Square) – West Tennessee is projected to have a significant population increase in coming years with Ford’s Blue Oval set to open outside Memphis but zoning regulations will have a large impact on the affordability of new housing in the region, according to a new report from Beacon Center of Tennessee.

Tennessee’s Department of Economic and Community Development estimates that, by 2045, West Tennessee’s population will grow by more than 176,000 and the region will need more than 70,000 new housing units.

Apartments are only allowed to be built on 4% of land in Memphis while the jurisdictions of Arlington, Collierville, Piperton, Three Way and Rossville do not allow any multi-family housing developments.

“Blue Oval represents a huge opportunity for West Tennessee communities to experience economic growth not seen in decades,” Beacon Policy Director Ron Schultis said. “However, it’s up to local policymakers to adequately plan for the infrastructure needs to manage that growth, including housing. West Tennessee policymakers should enact pro-housing reforms to ensure there are enough options for those looking for a starter home or workers moving into the area that need affordable places to rent.”

The Beacon Center West Tennessee Zoning Atlas covers Shelby, Fayette, Tipton, Chester, Crockett, Gibson, Madison and Haywood counties a year after the group took a similar look at Middle Tennessee housing regulations.

Memphis’ lack of land where apartments can be built stands out against the 11% of city land in Nashville where apartments are allowed.

Several West Tennessee municipalities do allow accessory dwelling units, or mother-in-law suites, with Madison County allowing ADUs on 94% of land. Haywood County does not allow them and Crockett allows ADUs on just 0.06% of land compared to 85% in Chester County.

Haywood County, however, allows duplexes on nearly 98% of land.

Haywood County, where Blue Oval will be located, was ranked the highest in West Tennessee on Beacon Center’s scale of most welcoming to non-single family housing with nearly 99% of land allowing more than single-family homes.

The report says that land use regulations can increase building costs of single-family homes by 24% and multi-family housing by 40%.

“With Blue Oval City on the horizon, it is more important than ever for local policymakers to review and reform outdated and arbitrary zoning laws, ones that will make it difficult to meet the housing needs of new residents and drive up prices for existing constituents, pushing them out of their home communities,” the report said. “West Tennessee policymakers have a unique opportunity to prepare and plan for the largest growth and impact on their communities in decades. Their constituents, both current and future, are depending on them.”