New Construction Incentives Approved for East Side Housing Innovation District
Cleveland is introducing new financial incentives to encourage residential building in parts of the East Side that have seen little recent development. Through the passage of emergency ordinance 622-2026, the city will waive or reduce certain construction permitting fees to help spur the creation of new homes within the newly defined Housing Innovation District.
What's in the file
The legislation authorizes the Director of Building and Housing to implement specific fee reductions for new residential construction within the Housing Innovation District to incentivize investment and the redevelopment of city-owned lots. According to the 622-2026-Legislative Summary- Housing Innovation, the following fee structures will apply:
- Full waiver of construction permitting fees for new one-family to three-family residential construction.
- Fifty percent reduction of construction permitting fees for larger new multi-family or mixed-use residential construction.
The 615, 622, 675-2026 PRESENTATION notes that these incentives are part of a broader strategy to make development more predictable and efficient. This strategy includes working alongside a TIF district and a form-based code overlay to encourage investment in areas that have experienced long-term disinvestment.
Who may be affected
- Wards 5 and 8 - The geographic target area for these housing incentives.
- Hough and St. Clair Superior neighborhoods - Identified as the specific locations within the Housing Innovation District.
- Director of Building and Housing - Authorized to oversee the waiver and reduction of the fees.
- Developers and prospective homebuyers - Targeted by the incentives to encourage investment in the district.
Status and timeline
- May 8, 2026: The ordinance was introduced to City Council.
- June 12, 2026: The ordinance was included in the City Record.
The ordinance has officially passed.
Residents can verify the details of these changes by reviewing the official record for Ord. No. 622-2026 through the Cleveland City Council website.
Source record
- File
- 622-2026
- Type
- Emergency Ordinance
- Status
- Passed
- Committee
- City Council
- Introduced
- May 7, 2026
Official documents
- 622-2026-A File-Waive construction permitting fees in East Side TIF District
- 622-2026-Waive construction permitting fees in East Side TIF District
- 622-2026-Legislative Summary- Housing Innovation
- 615, 622, 675-2026 PRESENTATION
- 622-2026 Amend 622-2026
- 622-2026-as amended-desk copy-Final
- 622-2026 FINAL VERSION-CITY RECORD JUNE 12, 2026 PG. 33