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Cleveland Heights explores flexible zoning, consultant study and developer incentives to spur housing and Severance redevelopment

2405525 · February 26, 2025
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Summary

City councilors and developers urged adopting flexible zoning tools, a plan-development district and better financing to attract builders; Severance redevelopment team outlined a timeline and county and regional developers offered models from South Euclid.

Council President Davida Russell, chair of the Cleveland Heights Planning and Development Committee, convened a developers' roundtable on March 3 to ask what the city should change in zoning, incentives and process so developers will choose Cleveland Heights.

The forum brought together private developers, the county development office and the city’s planning director to press for more flexible zoning tools — including a smaller-site plan development district (PDD) or overlay for infill lots — clearer land-use guidance for specific parcels and faster permitting and outreach. "Zoning should be not static. It should be dynamic," said Paul Folpe, a resident architect and developer, arguing the city must adapt rules so vacant lots do not remain unused.

Why it matters: City staff and developers said procedural barriers and lack of a shared vision for individual parcels discourage investment. Council members signaled funding for technical experts to rewrite parts of the zoning code, but staff and elected leaders said the timing and line-item placement of that money in the 2025 budget still needs confirmation.

Ryan Porter, principal at Impact Collective, summarized work on Severance — a private redevelopment project — and sketched a schedule: draft uses and conceptual plans by April, impact analysis and draft zoning maps by late spring and summer, zoning text in August and a full draft package by fall with a goal of adoption by year-end or early next year. "We are finalizing our recommended action plan this week," Porter said, and he warned that financing and sponsor commitments must align as the zoning work proceeds.

Developers and planners recommended several practical tools: - Create a flexible small-site PDD or overlay to permit higher-density or alternative housing types on nonconforming lots while preserving neighborhood fit. Greg Summers of Summers Development Group suggested Cleveland Heights borrow template language used successfully in nearby municipalities. - Publish a city vision for targeted parcels so developers know whether, for example, a site is preferred for retail, grocery or for-sale housing rather than leaving each proposal to face open-ended opposition. - Use targeted financing tools: Porter described a $3,000,000 revolving predevelopment loan program he accessed in Rockland County that lent at roughly 2–3% to cover soft costs and acquisition; Kiowa County (represented at the meeting) said its gap financing offers lower-than-market rates (about 5.5% over 15 years) as last-in dollars where a senior lender already exists.

Several speakers urged the city to pair zoning reform with public outreach so residents understand changes before council votes. A city official noted that any zoning change will require at least one public hearing, and committee members said they plan robust community engagement before formal introduction.

Case study: Summers described South Euclid’s work converting land-bank lots and a former school site into market-rate for-sale homes. He said many homes priced above $300,000 sold quickly and that the city adjusted review timelines and adopted a tailored infill housing district to accommodate small-lot development. "We were able to sit down with the administration, and they were willing to essentially modify their process," Summers said. Participants noted Cleveland Heights should study that approach but tailor design standards to preserve neighborhood character.

On construction methods, the meeting discussed modular and panelized manufacturing as potential ways to cut on-site time and improve quality while noting tradeoffs: modular can be faster but not always cheaper per square foot; panelized systems and nearby factories (a vendor in Akron was referenced) may offer alternatives for for-sale housing.

Next steps and budget: Committee members said council previously discussed allocating funds (discussed as roughly $200,000 in earlier budget talks) to hire technical consultants for a comprehensive zoning study; staff said the administration will confirm whether those dollars are in the proposed 2025 budget or require legislation to appropriate. Staff also reported ongoing responses to the city’s RFEI for rehab and vacant lots and said an initial group of offers will be brought forward to council for consideration.

Several participants urged council to prioritize a visible pilot or clustered infill projects so residents can see progress and developer interest. "People see things, and they talk about them, and they see value in it," Folpe said, describing how precedent projects can change perception of a market.

Ending: The committee agreed to continue the developer roundtables, gather case-study templates (including South Euclid materials), clarify the budget line for hiring consulting expertise and keep Severance’s schedule under review as the planning office prepares draft zoning language for future public review.