Portland faces a tough housing crisis, and local leaders are taking action. Mayor Keith Wilson and Governor Tina Kotek recently met with developers and construction firms to discuss ways to speed up housing development.
“We’re hurting here in Portland,” Wilson said at a press conference. He noted that rising costs are impacting younger residents, retirees, and low-income individuals alike. Increasing the supply of housing could help make it more affordable for everyone.
The focus of the group is on building market-rate apartments. Both Wilson and Kotek want to change permitting and zoning policies to streamline construction. “Time is money,” Kotek said, emphasizing that clarity in regulations benefits developers.
Attracting investors is key, especially since Portland ranks low—80th out of 81 U.S. cities—in the Urban Land Institute’s “Top Markets 2025 for Overall Real Estate Prospects.” A recent report highlighted how lack of investment could lead to a decline in tax revenue, which could hurt city budgets.
“We want to make Portland a place where people want to invest,” Kotek stated. She assured that the city is open for business and committed to growth. The goal is to build over 120,000 new homes by 2045 to meet state requirements, but the construction industry has faced challenges, especially since the COVID-19 pandemic. Some projections indicate that apartment permitting is at its lowest since 2009.
Kotek also pointed out that federal policies could be hindering construction. She expressed concerns about cuts to federal housing funds and tariffs that could raise building costs. “The federal government should stick to its commitment to help make housing affordable,” she said.
This is not Kotek’s first initiative to support Portland’s economy. In 2023, she formed a task force to tackle the city’s post-pandemic challenges. Their recommendations led to a fentanyl emergency declaration in downtown Portland and a call for a ban on new taxes.
The current task force will focus on market-rate housing rather than affordable housing, which has seen recent growth thanks to housing bonds. However, with these bonds nearing completion, future funding for affordable rentals remains uncertain. “We need to discuss local funding for affordable housing,” Kotek said, while stressing the current emphasis on private sector development.
Wilson believes this new construction task force will complement efforts to increase homeless shelter availability in Portland. Critics have pointed out that without more housing, people in shelters will struggle to find stable homes afterward. “We need to ensure everyone, regardless of income, has a safe place to sleep,” he said.
Joining Kotek and Wilson in this effort are three City Council members, various state and city agency directors related to housing, and several construction and development firms.
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Politics | Housing | City Of Portland | Tina Kotek
