4 ms·
If the zoning laws werent there, they would be building new buildings(like they currently do in china. Hence the term ghost cities) instead of investing in over
by ryuker16 9y ago
If the zoning laws werent there, they would be building new buildings(like they currently do in china. Hence the term ghost cities) instead of investing in overpriced existing stock.
- nikdaheratik 9y agoThat's not always the case. In places like SF, the only way to build is up, which is expensive, requires alot of capital, and is risky by itself even if you don't have NIMBY people fighting it. In this case, Monopoly has it exactly right as far as the costs and values of putting a new hotel on Boardwalk vs. putting 4 hotels on Mediterranean Ave.
- asabjorn 9y agoWhat data do you have that building a high rise in San Francisco is financially risky? To the contrary cities like San Francisco is a gold mine for rent seeking as there is such a pent up demand for housing after many decades of under building and the rents are so high that building a high rise is unlikely to carry much risk at all compared to other asset classes.
- princeb 9y ago> the only way to build is up, which is expensive, requires a lot of capital, and is risky by itself inherently more risky than building up in any other city, like NY or HK?