Minnesota Housing News

Minneapolis’ contested housing development plan plows forward

A group of people pose for a photo
Minneapolis Mayor Jacob Frey spoke on Tuesday about the 2040 Comprehensive Plan for housing development. Since 2018, Frey and the City of Minneapolis has invested more than $360 million into affordable rental housing and homeownership programs.
Anika Besst | MPR News

Minneapolis Mayor Jacob Frey and other government officials celebrated moving forward with the city’s housing development plan, the 2040 Comprehensive Plan, on Tuesday.

The plan had been in a yearslong court battle. Opposing organizations alleged that the city should have conducted an environmental review before approving the plan. 

The 2040 plan aims to establish more densely built and affordable housing for Minneapolis’ future development. 

“This is a day that has been six years in the making, in that when Minneapolis recognized that we had an affordable housing shortage, we recognize that we like so many other cities throughout the country needed to increase our supply of housing. The 2040 plan helped us get there,” Frey said.

Legislation in the 2024 session clarified the bill, allowing for stalled housing projects to begin again. 

“Our legislative intent was very clear that this was a bill to end this lawsuit and to defend the Minneapolis 2040 plan,” said Rep. Sydney Jordan, DFL-Minneapolis. “We believe in this plan. We took huge steps this year to defend it and we will continue to do so as necessary.” 

Jack Perry, the attorney for opposing groups like Smart Growth Minneapolis and Minnesota Citizens for the Protection of Migratory Birds, said their fight is far from over. They filed an appeal with the Supreme Court. 

“Almost every project is financed and it is pretty hard to finance something when the authority is based upon a 2040 plan that is tied up in litigation,” Perry said. “The mayor says they’re going forward. That’s all fine but the actual developers will have to worry about this litigation. He may not because it’s not his pocketbook that’s being opened up to build things based upon a foundation of a plan that is highly suspect.”

The press conference celebrating the 2040 plan was held at Wakpada Apartments, a new complex that’s a product of the 2040 plan.

One of the apartment’s developers, Sean Sweeney, said the 2040 plan has allowed him to be creative and “do things that benefit the community.”

“I’ve worked in several markets around the country, and I can say without a doubt that being a developer in Minneapolis, especially now with the 2040 plan, is an absolute dream,” Sweeney said. 

The plan began in 2018. Since then, Minneapolis has invested over $360 million into affordable rental housing and homeownership programs.

“Minneapolis is being seen around the country as a leader in the affordable housing space, we’re seen as a leader in this push to desegregate cities. And we’re seen as a municipality to copy and to replicate in the work that we’re having right now,” Frey said.