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South Euclid officials describe zoning overhaul and land‑bank model that produced 50 infill homes

3099348 · April 23, 2025
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Summary

City of South Euclid planning staff told the Cleveland Heights Planning & Development Committee that a combination of a municipal land bank, a community reinvestment area and an infill overlay rewritten with county planning produced roughly 50 new infill homes and several planned-unit developments since the code changes took effect.

South Euclid planning staff told the Cleveland Heights Planning & Development Committee on April 23 that a decade‑long push — combining a municipal land bank, a community reinvestment area (CRA) and a zoning rewrite — allowed the suburban city to convert dozens of vacant lots into new homes and multiunit projects.

The presentation matter‑of‑factly explained the mechanics behind the results. “We established our own land bank,” said Keith Benjamin, director of community services and development for the City of South Euclid. Benjamin said the city also created a CRA and a nonprofit community development corporation, 1 South Euclid, to hold and convey sites to builders and preserve proceeds for neighborhood programs.

That triage — land‑banked tax‑foreclosure parcels, targeted grants and a zoning code revised with county planning help — cleared obstacles to infill development, City Planning and Development Director Michael Love told the committee. Love said South Euclid accumulated about 120 vacant lots after the recession, sold roughly 30 (mostly for side‑lot expansions) and, since the code rewrite, has about 50 infill homes built or under construction.

Why it matters: Cleveland Heights is reviewing its own zoning and parcel inventory; South Euclid’s examples are concrete policy options for speeding neighborhood reinvestment without repeated variance requests or ad hoc negotiations.

Key program elements and outcomes described by South Euclid staff: - Infill overlay district: Rather than rewrite base residential districts, staff created an overlay that lets new homes match existing setbacks and lot patterns without frequent variances. Love said the overlay brought “everything in compliance” and dramatically reduced variance requests. - Planned unit/residential development (PIRD) amendments: Staff increased allowable density, reduced minimum site sizes and added alternative housing types (cluster homes, townhouses) to make several PIRD sites feasible. - Land bank + CDC workflow: The city keeps title until a buyer is ready; when a buyer is identified the property transfers to 1 South Euclid for $1 and then to the purchaser the same day, with proceeds funding exterior maintenance grants and other nonprofit programs. - Tax abatement: South Euclid offers a five‑year, 75% property‑tax abatement on new construction; staff said they have not been asked to extend that abatement. - Results: Love reported roughly 50 infill homes built or underway, three PIRD projects under construction, and most infill units selling quickly—even in a higher‑rate mortgage environment.

Process details cited by staff may inform Cleveland Heights’ efforts: developers who purchase land under South Euclid’s program must initiate the city approval process within six months of closing and complete construction within one year; 1 South Euclid holds buyer funds in escrow and a city transfer is conditioned on issuance of building permits.

Council members and staff pressed on topics including lot pricing, developer selection and potential effects on existing residents. Love said sale prices are negotiated between 1 South Euclid and each buyer, using appraisals as a starting point. He said the city removed itself from direct price negotiation to allow flexibility when builders buy multiple lots or need initial concessions.

Ending: South Euclid officials told Cleveland Heights council members and developers that a longer‑term program foundation (land bank + overlay + nonprofit partner) combined with outreach to builders produced quick, visible neighborhood change. Committee members asked city staff to consider those tools as Cleveland Heights proceeds with a zoning review and parcel strategy.