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. This initiative specifically targets the Hough and St. Clair Superior neighborhoods located in Wards 5 and 8.

According to the 622-2026-Legislative Summary- Housing Innovation, the Director of Building and Housing is authorized to waive all construction permitting fees for new one-family to three-family residential builds. For larger projects, such as new multi-family or mixed-use residential construction, the ordinance provides a fifty percent reduction in permit fees. The legislation aims to incentivize the redevelopment of city-owned lots and attract developers to areas that have experienced long-term disinvestment. This measure works alongside companion legislative pieces, including a TIF District and a Form Based Code overlay, to encourage investment through reduced costs and easier options for modular construction or pre-approved house plans.

The ordinance has officially passed City Council. Residents can monitor future developments regarding the implementation of the Housing Innovation District and the impact of these fee changes on local construction activity in Wards 5 and 8.

Source record

File
622-2026
Type
Emergency Ordinance
Status
Passed
Committee
City Council
Introduced
May 7, 2026

View on Cleveland Legistar

Official documents

Sources