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Maine’s housing shortage could be remedied by communities making development less constrictive for builders, according to a new report from the Maine Policy Institute.
The report blames regulations including setbacks, lot sizes, density and height restrictions for making it difficult for developers to build economically feasible projects.
“We also reject the notion that top down mandates like those contained in LD2003 from a few years back are the answer," Jacob Posik, the institute's director of legislative affairs, told Mainebiz.
LD2003, passed by the Maine legislature in 2022, requires towns and cities to increase housing density, including allowing additional units on lots zoned for single-family homes, commonly referred to as the accessory dwelling unit provision.
“The state should use carrots rather than sticks to get towns to do the right thing and open themselves up for development," Posik said. “Local regulation is a local issue, and local governments are best equipped to address the issue while accounting for local concerns.”
The authors of the 58-page report are economics professor James Siodla of Colby College and MPI policy analyst Harris Van Pate. The Yarmouth-based institute is a nonpartisan, nonprofit organization.
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Learn moreThe Giving Guide helps nonprofits have the opportunity to showcase and differentiate their organizations so that businesses better understand how they can contribute to a nonprofit’s mission and work.
Work for ME is a workforce development tool to help Maine’s employers target Maine’s emerging workforce. Work for ME highlights each industry, its impact on Maine’s economy, the jobs available to entry-level workers, the training and education needed to get a career started.
Whether you’re a developer, financer, architect, or industry enthusiast, Groundbreaking Maine is crafted to be your go-to source for valuable insights in Maine’s real estate and construction community.
Coming June 2025
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