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Permitting etc. is 0.5% to 2% of development costs, which is itself a small subset of what rent pays for, and only for the first 5-10 years. This number would
by llamaimperative 2y ago
Permitting etc. is 0.5% to 2% of development costs, which is itself a small subset of what rent pays for, and only for the first 5-10 years.
This number would be $0 for most cups of coffee (made in paid-for buildings) and <$0.02 for pretty much all the remaining ones, I think?
Rent on the other hand is 15%+ for every cup of coffee in perpetuity (not counting second-order question of what % of wages go directly into residential rent).
- brailsafe 2y agoSorry I was actually making a less related comment than I initially indicated. I meant (loosely) indicating how much of new builds for things like developments in general go to bureaucracy or land, since in my city it seems like they heavily subsidize existing homeowners and have intensely increased in recent years, having the indirect effect of raising the floor and pulling up the ladder. I agree with your response though.