4 ms·
SF rent control does not apply to new construction. The argument that rent control causes this is a little more convoluted: renters would support more developme
by likpok 7y ago
SF rent control does not apply to new construction. The argument that rent control causes this is a little more convoluted: renters would support more development if they were not shielded from the impact of not building.
SF has its own way of discouraging development via long discretionary review processes.
- aeternum 7y agoRent control can still limit development even though it does not apply to new construction. 2004 is an arbitrary date that will likely be bumped up in the future. This is a looming risk for anyone looking to purchase rental properly and therefore developers. You're right though that the review process and other regulations such as the requirement for some percentage of affordable housing units is also quite significant.
- onlyrealcuzzo 7y agoAs a R/E investor, one of the things I'm most cautious of is buying a building that might end up in rent control. It's the difference in making a good investment and losing a ton of money. I like to consider myself a good person, but I have zero interest in renting housing to people at a loss. I know people can use some help, but I'm not that rich and life is too short.