# St. Paul rent control and housing construction

> Live situation record from CLSTR: https://clstr.news/situations/st-paul-rent-control-and-housing-construction
> Updated: 2026-09-05T13:00:00.000Z. Sources: 6. Developments: 2.

Following the 2022 implementation of rent control in St. Paul, Minnesota, the city has experienced a reported 60 percent decline in building permits for new housing construction. Critics and economists suggest that strict rent caps, which do not account for inflation, discourage investment and reduce the overall housing supply.

In contrast, the neighboring city of Minneapolis has seen an increase in building permits. While Minneapolis politicians also voted for rent control, they implemented more cautious policies, which has reportedly led developers to shift construction activity toward their jurisdiction to avoid the regulatory environment in St. Paul.

## Timeline

### 2026-09-05: St. Paul housing construction declines following rent control implementation

Rent control measures in St. Paul have led to a 60% drop in building permits, while neighboring Minneapolis has seen increased construction as developers avoid strict rent caps.

2 sources. https://clstr.news/cluster/st-paul-housing-construction-declines-following-rent-control-implementation

### 2026-09-02: St. Paul rent control leads to 60% drop in building permits

Rent control in St. Paul, Minnesota, has led to a 60% drop in building permits, while neighboring Minneapolis has seen increased construction activity.

4 sources. https://clstr.news/cluster/st-paul-rent-control-leads-to-60-drop-in-building-permits

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Cite as: St. Paul rent control and housing construction. CLSTR, https://clstr.news/situations/st-paul-rent-control-and-housing-construction