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0 pointsdonatj9mo ago0 comments

I'm not even sure it's entirely a matter of being blocked from doing so as much as the incentives merely not being there. What is the incentive for a developer to build affordable housing? The margins are surely much lower.

The city could set rent restrictions on new development and all that, but that removes the incentive for developers to actually build in that area at all, especially when they can just find an unrestricted space to develop a couple miles away in the next town.

It's a tough problem.

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hydrogen78009mo ago

>What is the incentive for a developer to build affordable housing? The margins are surely much lower.

This makes sense to me, and I hear it all the time, but when was it ever in a builder's interest to make affordable housing? Why does this perverse incentive seem like a recent thing?

donatjOP9mo ago

My wild guess would be urban renewal grants and drastically lower land costs made it easier to recoup investments. I'm sure that's only part of the equation though. Part of it is probably also just the realization they could be making more money.

kjkjadksj9mo ago

A house used to be simpler, materials cheaper, permitting nearly nonexistent, and a crew much less skilled and compensated.

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