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Of the 12 largest cities in the U.S., San Francisco has the lowest percentage of households with children.

San Francisco Business Times analyzed a new report from the San Francisco Planning Department which said that only 18 percent of households in the city have children. Only 30 percent of three-bedroom homes in San Francisco are occupied by families, as well.

The report argues that children are important for cities because they contribute to senses of community and cultural and socioeconomic diversity. More families in San Francisco will also benefit infrastructure, public health, and multigenerational housing.

"Since 2010, 61 percent of new market rate development has been studios and one-bedroom units, predominantly in larger buildings," the report reads. "Where we fall short in producing new housing for families, more families are living in overcrowded conditions and an increasing number of families are in SROs."

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