Micro-apartments — living spaces measuring 441 square feet or smaller — make up a growing share of newly constructed units, according to a new report from StorageCafe. Last year, 2.4% of all new apartment units constructed nationwide qualified as micro-apartments. While this share has fallen from 2.5% in 2022 and 2023, it has grown significantly from 1.1% in the 2000s and 1.6% as recently as 2018.
In some major cities, micro-apartments make up a significant share of units under construction — or even dominate upcoming multifamily housing altogether. Two-thirds — 66% — of Seattle’s new construction pipeline is made up of units 441 square feet or smaller, according to Yardi Matrix data cited by StorageCafe, followed by Boston at 56.2% and Newark, New Jersey, at 49.8%.
In many U.S. cities, longstanding restrictions on micro-housing have recently been loosened in the name of increasing affordability and housing density, according to a report from Realtor.com. Boston; Washington, D.C.; Denver; Houston; and New York City have all changed their zoning laws within the last decade to allow for smaller apartments.
Seattle’s wave of new micro-housing construction coincides with zoning reforms passed in 2024, according to the StorageCafe report, which permit micro-apartments in all areas zoned for multifamily housing. The reforms aim to accommodate 120,000 new apartments in the city over the next 20 years.
Cities with the largest shares of micro-apartments in new construction
City | Share of micro-apartments in new construction |
---|---|
1. Seattle | 66.0% |
2. Boston | 56.2% |
3. Newark, New Jersey | 49.8% |
4. New York City | 43.3% |
5. Reno, Nevada | 40.5% |
6. San Francisco | 28.8% |
7. Norfolk, Virginia | 22.8% |
8. San Diego | 21.2% |
9. Minneapolis | 20.3% |
10. Portland, Oregon | 19.3% |
SOURCE: Yardi Matrix
San Francisco has the highest share of micro-apartments in its existing stock, with 14% of its apartment inventory falling below 441 square feet. The city’s high population density and competitive rental market have buoyed its micro-apartment activity, according to the report, and 28% of its new construction pipeline is made up of tiny units, which measure as small as 124 square feet.
Out of the top 10 cities with the largest share of micro-apartments, seven are located in the West, with only one — Philadelphia — on the East Coast. Seattle has the second-highest share at 12%, followed by Honolulu at 11.6%.
In contrast, cities in the Mountain West region have some of the largest unit sizes in the country, led by Gilbert, Arizona; Santa Clarita, California; and Henderson and Enterprise, Nevada, according to the report. The smallest unit in Enterprise measures 735 square feet, or nearly six times larger than the smallest unit in San Francisco.