Quote:
Originally Posted by LosAngelesSportsFan
i agree. These developers are missing a bid segment of the population that would prefer an apartment thats not a shoe box yet affordable. Not every buildings needs every damn amenity imaginable
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The
Washington Post had an article about this a few years ago. Clearly there are differences between Washington and LA but the high cost of land, the high cost of vertical construction, and the ability to obtain financing all push developers to build high-end apartments aimed at wealthier tenants.
"Any new development needs investors, and we cannot get that if the reward doesn’t justify the risk,” says Bozzuto. “Affordable housing, by its very nature, when it’s built, the return is de minimis. What you’re seeing is, capital flows to where it works. So what’s left is public subsidy.”
https://www.washingtonpost.com/news/...ashington-d-c/