Strategy in Action

In 2017, the Cambridge City Council unanimously voted to rezone the city’s downtown, known as Central Square, to bring affordable housing, waive parking and open space restrictions, and introduce formula business restrictions. The new zone incentivizes developers to include small businesses by specifying that retail spaces less than 1,500 square feet will not be counted toward the building’s floor-to-area ratio, which adds flexibility to a zoning ordinance. It prohibits businesses with more than 10 stores in the state or more than 20 stores nationwide from opening in Central Square unless the city grants a special permit. The new zoning also places severe restrictions on financial institutions, which cannot have a storefront longer than 25 feet or 30% of the building’s total sidewalk or street frontage.