America needs small apartment buildings. Nobody builds them.

Bloomberg highlighted research co-authored by Raphael Bostic  and Enterprise Community Partners which shows that average monthly rents in small to mid-sized apartment buildings are the most affordable nationwide, but these smaller apartment buildings are the least likely to be built. If this trend continues, the market for affordable housing will continue to dwindle.

Zoning rules have developed to favor single-family construction, making it harder to win approval for larger projects. There are regulatory costs to building multifamily housing, and developers that go through all the trouble to win approvals want to build more than just a few apartments.

Full article here.