Micro-apartments gain larger share of new multifamily construction in big cities

With restrictions loosened, tiny units make up half or more of new units in a few cities.
June 23, 2025

After several major cities loosened longstanding restrictions on micro-apartments in recent years, developers are bringing a significant number of living spaces measuring 441 sf or smaller to market.

In Seattle and Boston, over half of the new units underway are in the micro class, and in Newark, N.J., just under half of new units (49.8%) are in that category, according to Yardi Matrix data cited by StorageCafe. Boston; Washington, D.C.; Denver; Houston; and New York City have all changed zoning laws within the last decade to allow for smaller apartments.

San Francisco has the highest share of micro-apartments in its existing stock, with 14% sized at less than 441 sf. About 28% of its new construction pipeline is made up of tiny units, some of which measure as small as 124 sf.

Seven of the top 10 cities with the largest share of micro-apartments are located in the West. Just one, Philadelphia, is on the East Coast. Seattle has the second-highest share at 12%, followed by Honolulu at 11.6%.

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