Quote:
Originally Posted by LAMetroGuy
My opinion is that uber rich people don't "need" anything, they pretty much just WANT things and usually get them. Also the target audience is not necessarily your typical family looking at houses in Chino Hills... these are marketed to corporations, partnerships, and the wealthy looking for second homes, etc. So I believe that you are right, the need does not translate to actual purchases... it is the "WANT" of the rich that will translate to actual purchases.
So, to use your analogy, the suppliers aren't chasing rich people who "don't exist". It is the those persons or entities who DO EXISIT that are wanting the newest toy in downtown LA who are approaching the Ritz Residencies (and the likes Park 5th, City House, Olympic, Mandarin Oriental, etc.). Not sure what "poor" Latino and Asian immigrants have to do with demand on the Ritz, I would assume any ethnicity, if poor, have nothing to do with demand on expensive residencies???
Regarding the boxing analogy, nice try but WTF?? ... LOL???
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if you thought a little bit deeper, you'd understand that most of what economists refer to as our "housing shortage" doesn't apply to the "wanters" in your half-baked theory - it refers to the general populace of LA, one in which "poor latino and asian immigrants" become extremely relevant. but i don't expect that much from you.
and on another note, these newest toys aren't that expensive in themselves, so much as overpriced (overhyped) - 700sf closets for 500k, for example, aren't being bought by "uber rich" - you don't have to be uber rich by any means to get most of these condos.
which is why i think it's stupid when developers justify their million-dollar development-spree with the words "housing shortage" - they're adding a couple hundred units for mocha-sipping wannabes such as you, they're not supplying any broader market-driven need. that need will not be satisfied for many other reasons, a large one being the poverty rate among "needers".
but don't let me crash your party
