Housing (Zoning)

SF 1698 allows homeowners who live in their single-family homestead as their primary residence to rent or lease a portion of their property (like a basement or room) without municipal restrictions. It directly affects Minnesotans owning homestead properties who wish to generate income through partial rentals. The bill amends zoning law to explicitly permit such rentals as a "single family use," meaning cities cannot ban this practice. Municipalities may still enforce standard landlord-tenant laws and other housing regulations. This bill does not change existing tenant protections or require new municipal permits for these rentals.

HF 2140 requires certain Minnesota municipalities to create "mixed-use housing zones" by June 30, 2027. Covered cities include those in Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington counties, plus any municipality with 10,000+ residents. These zones must permit residential developments with at least three units (within 0.5 miles of certain streets) or four units (within 0.25 miles), including duplexes, triplexes, and fourplexes. The bill defines "mixed-use development" as buildings where at least 50% of usable space is for residential units, and it exempts these zoning changes from requiring comprehensive plan amendments before 2029.