4 ms·
Even if it was easier to build in SF, the cost of investment is SO HUGE, that the only way to recoup it is to make it a luxury high-rise that does nothing for t
by iamcasen 10y ago
Even if it was easier to build in SF, the cost of investment is SO HUGE, that the only way to recoup it is to make it a luxury high-rise that does nothing for the non-wealthy residents of the city.
Developers of new buildings absolutely do not want rents to drop, because otherwise there would be no reason to develop the area. The cost of land is extremely high.
- refurb 10y agoThis doesn't make sense. If I build a ton of luxury apartments and fill them with willing buyers, then won't those buyers be giving up their own housing? Overall, the total amount of housing increases which should drop prices.
- iamcasen 10y agoIf it costs you 500,000,000 dollars to build a building, you need to charge a certain amount of rent for the investment to pan out. Hint: it won't be cheap.