Malden City Council considers inclusionary zoning overhaul, clears path for cannabis business

By Lorna Garey

At its June 23 meeting, the Malden City Council considered changes to the city’s inclusionary zoning (IZ) ordinance to stimulate housing construction by rebalancing the “carrots and sticks” the city applies to developers. 

IZ policies require certain projects to set aside a portion of units, both rental and owned, as affordable and provide incentives — carrots — to help offset those costs. The policy must be reviewed every five years.

“The market’s changed, and so I think the intent of this is to try to continue to keep our inclusionary zoning in place, but to make it better,” said Councilor Stephen Winslow.

Malden’s new proposed ordinance seeks to create more affordable housing without slowing market-rate development and make it easier to build 100% affordable housing projects. Specifically, it would lower the affordable housing mandate from 15% to 10% of units for applicable developments and shift the target area median income (AMI) for rental units from 50% to 60%, better aligning the city with state and federal program subsidy limits. “Affordable” is defined as paying no more than 30% of gross income on housing costs, including rent or mortgage payments and essential utilities. Because the maximum allowable rent is 30% of the targeted income tier, a 60% AMI threshold allows developers to collect slightly higher monthly rents for their income-restricted units compared with a 50% threshold.

The proposal from Malden’s Office of Strategic Planning and Community Development (OSPCD) also introduces other incentives, doubling the “density bonus” from one to two additional market-rate units for every affordable unit provided, allowing for three stories in most zones by special permit, and easing parking requirements for affordable units, though not for market rate housing.

“The inclusionary zoning policy that we adopted five years ago was based on a financial feasibility analysis and was seen as an aggressive but somewhat feasible policy at the time,” Alex Pratt, director of OSPCD, told the council. “It is not working today.”

Read the full Inclusionary Zoning Feasibility Analysis

Pointing to inflation and rising construction costs, Pratt said the current policy has become much too restrictive. 

“We are requiring too much of market rate developers in terms of the affordable housing that we are requiring, such that it’s very difficult, if not impossible, for them to build anything at all,” Pratt said. “If someone can’t afford to build the units, you’re getting 50% of nothing, which is nothing.”

The proposal would also shift responsibility for the technical IZ compliance review to the OSPCD, aiming to further streamline the process. 

“The change here is that the special permit granting authority, the City Council or the Planning Board, does not need to wrestle through the wonkiness and the particularities of inclusionary zoning compliance as part of your special permit review,” said Pratt. “That will be done before it gets to you.”

The council voted unanimously to refer the zoning amendments to a joint committee hearing to be scheduled later this summer.

Cannabis special permit sparks process debate

The longest debate of the night centered on a special permit for a marijuana retailer at 36 Charles St. The original petitioner, DMS Trinity LLC, sought to amend its existing special permit to remove a non-transferable and non-assignable clause. Removing this condition would allow the business to bring on Beach House Cannabis as a financial partner to help with the immense cost of opening a retail cannabis shop. At its June meeting, the Planning Board voted 9-0 to issue a favorable recommendation.

The request drew intense scrutiny from several councilors and a local competitor who argued Trinity was attempting to bypass the city’s vetting process. Building Commissioner Nelson Miller stepped in to clarify the sequence of Malden’s three-pronged cannabis approval process, explaining that zoning must legally come first before any licensing review can occur — the city’s Cannabis Licensing and Enforcement Commission (CLEC) is legally barred from reviewing the license transfer until the council lifts the zoning condition. Granting the amendment would pass the baton to the CLEC for formal vetting.

“That’s really the first domino to fall,” said Miller. “The issue with the zoning at the moment is the fact that they have a special permit, which has a condition in it, which states that it’s not transferable or assignable.”

Miller also addressed arguments that the special permit had expired or was not properly registered, citing Massachusetts case law that states that if a special permit was lawfully granted, if it wasn’t appealed and if construction or use has commenced, then all rights are vested.

“I can say confidently that the special permit that you are addressing tonight is valid,” he said. “It is legally valid.”

The debate also featured dueling legal arguments regarding process, bureaucratic jurisdiction and whether the applicant was in fact bypassing the rules. Besides Miller, Chief Strategy Officer Ron Hogan, City Solicitor Alicia McNeil and City Planner Michelle Romero advised the council. 

Attorney Robert Di Marco, representing DMS Trinity, argued that the council’s purview was strictly land use, not licensing. He further argued that because the original LLC was legally tangled with a separate cannabis location the applicants own in Chelsea, Trinity needed the Council to sever the special permit from the specific operator and attach it to the Malden location. 

“Your job is to determine whether or not that property should have this business in it,” he said.

Attorney Blake Mensing, who lists himself as counsel for Misty Mountain Shop LLC in a formal letter of opposition, countered with a number of procedural arguments, claiming the special permit was invalid because DMS Trinity failed to record it with the state, an angle Nelson refuted. Mensing further accused the applicants of violating their Host Community Agreement by changing their ownership structure prior to CLEC vetting, and suggested they were attempting to use the council to circumvent the city’s rigorous background checks.

Competitive pressure

An undercurrent of the hearing was the intense competition among cannabis dispensaries, given falling prices and some business failures across the state. Eric Gaff, owner of the Misty Mountain Shop at 323 Commercial St., argued that the rigorous CLEC process was designed to keep out unvetted operators. Gaff added that when DMS Trinity won its original approval, it listed a minority- and woman-owned business structure, which is no longer in place. 

“If Beach House Cannabis wants to operate in Malden, they should do exactly what DMS Trinity and the rest of us did: Apply to this council, apply to the CLEC, sit for an interview, then earn their own new special permit, sign their own new Host Community Agreement,” said Gaff.

Councilor Chris Simonelli pushed back, arguing that opposition from existing dispensaries was simply market protectionism and urging the council not to derail a business that could bring badly needed tax revenue into the city. 

“It’s almost like if we had like a bunch of pizza shops up here tonight that are in competition with one another, of course they don’t want competition,” said Simonelli. “You have to do what’s right tonight.”

Councilor Carey McDonald asked Di Marco if the original owners of DMS Trinity were still maintaining an equity stake in the new company, to which Di Marco simply replied, “Yes.”

“I just wholeheartedly agree that we are leaving dollars on the table because we made it hard for these businesses to open and operate, and I’ve said that consistently,” said McDonald. “Let’s just get them operating.”

Councilor Jadeane Sica noted that the new applicant is going to be fully vetted through the CLEC and that it would be problematic for other stakeholders, including the state and mayor’s office, to move forward without the council first revising the special permit.

“For the past several weeks of the most critical budget process I’ve ever been a part of, in the 14 years I’ve been sitting up here, we’ve been talking about leaving millions of dollars of tax revenue on the table from not opening up pot shops in this city,” said Sica. “We’re talking about economic development and how we can make this city better, and we sit up here and we argue with a potential business that’s had a special permit with us for years, when all they’re looking to do is add one person. I think everybody up here is forgetting what our job is.”

The Trinity shop is in Councilor Peg Crowe’s district, and she agreed with colleagues that the CLEC will do a substantive vetting. 

Councilor Karen Colón Hayes, initially hesitant, was swayed by the procedural clarifications provided by Miller and Sica. 

“I think you just changed my mind, something that you had just said there, so thank you for that clarity,” Colón Hayes told Sica. “If we grant this today, it’s still going to the CLEC, it will still be vetted.”

Councilor Ryan O’Malley expressed concern over the nature of the proceedings regarding the special permit amendment, arguing that it was “crazy” for the council to be making cannabis-related decisions at this moment because the city is still in an appeal period for a court case that might invalidate the local cannabis zoning ordinance.

With O’Malley recusing himself, the council voted 10-0 to revise the special permit by approving removal of the non-transferable condition.

Other business

In other action, the council unanimously approved:

• Early voting: Adoption of in-person early voting and designation of polling locations for the 2026 state election cycle.
• Board reductions: Ordinances reducing the Cemetery Trustees from five to three members, and the Emergency Management Board from seven to five members were approved, with reductions in board size happening by attrition, according to Winslow, who told Neighborhood View the changes are largely to reduce the stipends budget line item.
• Building permit fees: An increase in standard building permit fees from $16 to $18 per $1,000 of estimated construction cost will bring Malden’s rates in line with neighboring communities.
• Licensing: A number of license renewals were approved, including one that allows for extended hours to 1 a.m. for El Mexsal at 97 Medford St.
• Residential kitchens: A paper to allow residential “cottage food” kitchens was split — the zoning aspects were referred to a joint committee, while sanitary regulations and solid waste protocols were sent to the Board of Health and the Rules & Ordinance committee, respectively.

Winslow pointed out that there are many considerations here, and that the state has regulations tailored to home kitchens that the city can adopt. These businesses may need additional trash bins and potentially a composting bin, for example. Multiple committees will work to move the proposal forward, and the council will hear from the public.

“Councilor O’Malley made the very helpful suggestion in committee that we add language back in so that we could hear from the public as to what they think about allowing on-site pickup [of food items],” said Council President Amanda Linehan. “We’ve gone back and forth on that a lot. I think it’s time to move it to the hearing and hear what the public thinks.”

Personal privilege 

The meeting concluded with a roundup of upcoming Independence Day celebrations:

• July 3 movie night: Ward 1 and 2 are hosting a movie night at Green Street Park with music starting at 6:30 p.m., with the movie (hinted to be Toy Story) starting around 8:45 p.m. There will be a rain date should that be needed.
• July 3 Ward 6 celebration: Trafton Park will host festivities on July 3 from 9 a.m. to noon, including pony rides, face painting, and catering.
• July 4 Ward 1 & 2 celebration: Devir Park will host inflatable rides, water slides, pony rides, and a 3-on-3 basketball tournament from 9 a.m. to 12:30 p.m.
• July 4 Ward 3 celebration: Celebrations will be held at Amerige Park from 10 a.m. to 1 p.m. with catering by Pearl Street.
• July 4 Ward 4 celebration: Independence Day events will kick off at 9 a.m. at Coytemore Lea Park.
• July 4 Ward 5 Celebration: Forestdale Park will feature a petting zoo, slush and inflatables from 10 a.m. to 1 p.m.
• July 4 Ward 8 Celebration: Linden Park will host events starting at 8:45 a.m. until noon with special surprises for the nation’s 250th birthday.

In addition:

• Trafton Park ribbon cutting: Councilor Winslow announced a ribbon-cutting for new shade structures over the picnic area at Trafton Park, funded by the Bayrd Foundation.
• Rain garden installation: Councilor O’Malley highlighted a new rain garden installed at Coytemore Lea Park by MHS student Kidus Tsige, backed by a Social Capital Inc. grant, which successfully prevented path flooding during recent storms.
• Fishing festival: Councilor Colón Hayes promoted a Friends of Oak Grove Inc. fishing festival this Saturday, June 27, from 9 a.m. to noon, featuring the Mass Wildlife Anglers.
• Malden Pride: A Pride celebration will take place this Sunday, June 28, from noon to 4 p.m. at Coytemore Lea Park, per O’Malley.
• School’s out: Councilor Sica wished a happy, safe and healthy summer to all Malden public school students.

This is a recap of the June 23, 2026 City Council meeting. The full meeting is on YouTube. The City Council agenda has links to proposal attachments, texts of orders and other documents.