Quote:
Originally Posted by Nouvellecosse
If land costs were too high for lowrise construction, no houses would be built. Only highrises. But lots in detached SFH areas in high demand metros will in fact be built on quickly even if with just houses. But of course whatever is built there won't be affordable because the whole cost to develop the plot is being carried by one person or family. So the only people who will build on it are wealthy and willing/able to pay a premium for a detached SFH. But if suddenly all residential areas could host dense low/mid rise development with say, 2-4x more people on the same land, then that same lot would be within reach of more people. Not everyone of course, but many of the people that would have that new option would previously have been competing for other housing and having them withdraw from that competition would lower its cost.
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Even if there were no planning obstacles or development charges, a 3,000ft2 $3 million monster home is still more profitable to both the land owner/seller, and more appealing to prospective buyers, than three 1,000ft2 $1 million 2BR strata units in a triplex. At Toronto or Vancouver land prices, missing middle can be a luxury housing product that attracts more prospective condo buyers (read: speculators), but it's not going to be a solution to housing affordability.
I agree that we should open up more of our SFH lands for redevelopment, but we shouldn't sell the public on the idea that affordability can be achieved via piecemeal developments on your typical 30' lot. There will have to be lot assemblies, and the projects will have to be much bigger in scale.
We might as well start with building missing middle in the areas where it's already allowed. I live in a relatively central neighbourhood where duplexes are allowed as-of-right, but few land owners have chomped at the bit. There are about a dozen bungalows within a 5 minute walk of my house that have been torn down to build a taller single family homes, though.