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Writer's pictureJonathan Berk

Gen Z Has Fewer Drivers & Our Communities Are Not Ready

What was once a right of passage for teenagers across America, obtaining a drivers license in high school, is now viewed with far less zeal today by Generation Z. That's the takeaway from recent data released by the Federal Highway Administration which showed that only 25% of American 16-year olds obtained their drivers license in 2023, down from 43% in 1997.



This data may be bad news for the big auto makers but should serve as further guidance to planners and home builders looking at trends for what the housing demands of the next generation will look like. As numerous surveys have pointed out recently, the next generation has expressed an overwhelming demand for housing in walkable places and this data is just another indication that they're acting on some of their demands.


A Pent Up Demand For Walkable Housing

According to the National Association of Realtors survey last year, 35% of Generation Z respondents in their survey stated they would "pay a lot more" to live near parks, shops and restaurants. 92% of Generation Z said they would "pay a lot or a little more" to live near those amenities. That number only drops ever so subtly when you reach Millennials surveyed in the same poll, with 85% surveyed stating they would pay more to live in close proximity to amenities.


The Housing Gap is Large. The Walkable Housing Gap is Even More Massive

As has been widely documents by many over the past few years, we have a large undersupply of new housing. By in large, the bulk of new housing produced over the past 70-years in America has been large single family homes on large suburban lots further and further away from economic opportunities and amenities. While the number is more difficult to determine, estimates place the supply of "walkable housing," meaning dense housing in walkable proximity to amenities like shops, restaurants and parks, anywhere from 5%-30% of our total housing supply nationwide. With the demand for walkable housing at 50%++ of the population and only growing as new generations reach renter or homebuyer status, that delta only continues to grow.


Our efforts to produce new housing need to continue and get more agressive as we face our housing crisis head on. It's also important to meet the moment and build a new supply of less land intensive, more walkable, sustainable and connected communities to supply the housing we need in America 2024, and position ourselves to meet the housing demands of 2054 and beyond.


 

Jonathan Berk is a placemaker, urbanist and advocate who’s focused his career on building and advocating for walkable communities with vibrant public spaces, abundant housing choices and robust local small business communities. As the Founder of Re:Main, he's working to support the growth, enhancement and expansion of walkable neighborhoods through innovative, action oriented programs. Email: Jonathan@remainplaces.com

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