Efficiency Housing and Single Room Occupancy (SRO)
Learn more about SROs below or contact Robyn Lee, Senior Planner, at rlee@salem.com or 978-619-5685.
There is mismatch in the City’s housing supply - according to the 2024 ACS 5-year estimates, about 72 percent of Salem’s households are one- or two-person households, whereas only 24 percent of our housing units are studio or one-bedroom units. Additionally, around 55 percent of Salem households have low/moderate income (at or below 80 percent Area Median Income), many of which may qualify for affordable housing programs (2022 CHAS). These two aspects of the Salem community point toward a need for smaller, more affordable housing options. Single Room Occupancy (SRO) housing typology is a means of responding to that need. To that end, adopting zoning amendments to promote small efficiency units including Single Room Occupancy (SRO) housing is a strategy of our current Housing Road Map.
What is an SRO?
From the Housing Road Map: “SRO housing is a residential property that includes multiple single room dwelling units. Each unit is for occupancy by a single eligible individual. There are a variety of types of SROs. The unit need not, but may, contain food preparation or sanitary facilities, or both.” They can be operated as transitional units or permanent housing. SROs are considered Naturally Occurring Affordable Housing, or NOAHs, given their limited size. They provide housing opportunities for people of limited economic means, including young people, older adults, and formerly homeless individuals.
SROs are a vital housing option, particularly for persons transitioning out of homelessness, as their small size often means an affordable rent. Additionally, some SRO housing will offer supportive services to tenants, called “service-enriched” housing.
What SROs look like for Salem will be determined via consultation with various city departments, current local operators and tenants of SRO housing.
Is this a new use for Salem?
No. Salem has Rooming/Lodging Houses, which offer a form of SRO housing, as well as properties offering service-enriched SRO units. While Rooming/Lodging Houses are not currently allowed in any zoning district by right, they are allowed by Special Permit from ZBA in R2, B1 and B2. Research suggests there are roughly eight (8) properties still operating as Rooming/Lodging Houses. The Rooming Houses that remain are sometimes pre-existing nonconforming uses that are subject to loss, as property owners may choose to convert to hotels or other types of residential uses. Under current zoning, it is challenging to create new SRO options, so the loss of the units is concerning.
you may hear this housing typology described as:
Micro-units
Rooming/Boarding/Lodging houses
Efficiency units
Residential hotels
Co-housing/Co-living
Transitional housing
While each have their own nuances, they share a common theme of small units, intended for an individual occupant.
Recent Updates:
March 2024 | City Staff work to verify list of current Lodging Houses and SRO operators in the City.
April 2024 | Planning staff convened a meeting with representatives from the following departments: Health, Council on Aging, Building, Police, and Fire. At this meeting, the strategy was introduced to the group and we collected input on desired outcomes, concerns, as well as information on known successful operators. Also in April, Planning Staff met with the Director and Social Services Coordinator of the Council on Aging, to hear about the needs of their clientele and how this housing typology can meet the needs of older adults (including underscoring the need for private bathroom facilities).
May 2024 | Planning staff met with City Solicitor and Licensing to learn about the license process for existing rooming houses, gather input from them on the concept, and vet intended operator interviewees.
June 2024 - August 2024 | Preliminary outreach to operators. Ongoing outreach to nearby municipalities to discuss their experience with this housing typology.
November 2024 | Ongoing outreach to operators. Ongoing outreach to nearby municipalities to discuss their experience with this housing typology. Research on co-living approaches and code requirements.
2025 | This project was put on pause while staff prioritized advancing and completing other City housing efforts.
January 2026 - September 2026 | Project activities resumed. This includes additional outreach to operators, peer community research, literature review, document review, and updated coordination and communications with City departmental staff. Based on research findings, staff develop a preliminary policy framework and present to City staff and boards for their feedback.
July 2026 | Staff present preliminary policy framework to the Affordable Housing Trust Fund Board for their feedback.
October 2026 | Staff present preliminary policy framework to the Licensing Board for their feedback. The slides presented are available here.
Last updated 10/27/2026.
