Quote:
Originally Posted by dreambrother808
I don't know who's arguing that this is solely due to a supply problem. Rather my point was that reducing supply would exacerbate the issue.
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Good thing there are no planned demolitions that would reduce supply then, eh?
Besides, reserving the space under the viaducts for other future uses does not reduce supply, it simply shifts it. Arterial roads take up room just as viaducts do... so it's likely any effects would be minimal. Keeping the viaducts would also force us to use the land creatively. There would less temptation to make condos in this area luxury condos and in general may ironically make the area more affordable for your average Vancouverite.
On another note, I think supply has played a very minor role in Vancouver's frenzied price rise over the past several years. Fear, low interest rates, loose lending standards and other economic factors have played a much larger role. We have seen the same run-up in many cities across Canada, even in places where supply is not constrained.
I'm sure most would definitely agree with you that
reducing supply probably would increase prices somewhat. That's basic supply and demand. However, I don't personally think Vancouver has any major supply problem and it's not like developers would stop building elsewhere just because we don't build a few extra units in the NEFC.