Village Of Arlington Heights v. Metropolitan Housing Development Corp.

429 U.S. 252 (1977)

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Nature of the Case

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Facts

Arlington Heights (D) was a suburb of Chicago, which consisted of, and was zoned for, primarily single-family houses. A religious order owned some land in the village and intended to use part of it to develop low- and moderate-income housing through a non-profit developer. The religious order leased the land to the Metropolitan Housing Development Corp. (P) to complete the housing project. The lease was conditioned on P's ability to get federal financing, and on its ability to get zoning clearances from D. One of the requirements of obtaining federal financing was an affirmative marketing plan designed to attract a racially diverse group of tenants. Before getting clearance, P hired an architect and began working on the project. P also worked with D's staff to make the plans acceptable. Following a series of public meetings, in which residents of the village expressed concern over property values in areas adjoining the project, and argued that the village's multi-family zoning was intended to serve as a buffer between single-family areas and commercial or manufacturing areas. D denied P's request to rezone the land. P, along with several individuals, filed suit alleging racial discrimination in violation of the Fair Housing Act and the Fourteenth Amendment. The District Court held that D's denial of the request was not racially motivated, but motivated by a desire to protect property values and the integrity of D's zoning plan. The court further concluded that the denial would not have a discriminatory effect. The Court of Appeals reversed, finding that, although the denial was not racially motivated, it would have racially discriminatory effects. D appeals.