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Lakewood housing briefing: city has zoning capacity, but growth pace may not meet state targets
Summary
Staff said Lakewood has the zoning capacity to support more than the city’s assigned target—10,242 units without rezoning and an additional ~8,408 units from recent law changes—but cautioned actual development depends on landowner decisions, market incentives and permitting pace; staff also reviewed AMI, homelessness counts and housing mix.
At the Feb. 18 meeting the Planning Commission received a housing background briefing covering area median income, affordability trends, homelessness data and the city’s capacity to accommodate state growth targets.
Staff explained AMI (area median income) and said Lakewood’s median household income (~$70,500) is roughly three‑quarters of the HUD Tacoma metro AMI. A slide staff described showed single‑family home prices rose about 120% from 2016 to 2025 while incomes increased about 60% in the same period, producing widening…
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