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Monday, May 22, 2023

More Housing Doesn't Mean More Affordable Housng

Everyone says we need more housing, right, left and center. For years now, we have talked about infill, transit oriented development, workforce housing. The idea being that more workers in essential jobs, teachers, nurses, firefighters, even store clerks and servers, would be able to live closer to where they work. Or if not closer, they can hop on the train, the bus, Bart, AC Transit or whatever mode of transportation they are living next to. This all sounds good. In reality, the housing proposals that get submitted and approved, are mostly developer driven. Every day in the local news, you see phrases like "pencil out" "financially feasible" and the like.

This means that the developers need to keep their profit margin high. This is their business after all, building things, bigger and more, and keeping the shareholders happy. So they get density bonuses, the municipalities lower the number of "affordable" units they must include in the project. The terms "market rate" and "below market" are thrown around.

But what does that mean? If market rate is X, is below market rate $1 below X? And every day you read about neighborhoods being gutted, local control being taken away, mobile home parks where poor people have lived for decades uprooted, sending more and more folks into their cars, tents or just out on the street.

And gentrification. Because people do not move into high rise buildings to have homeless encampments next door. Or corner barber shops. They want high end retail and gourmet food outlets. 

Those who get booted out are lucky to get to double or triple up with roommates in an overcrowded over priced rental. Small businesses that get the shaft have nowhere to go. Rents are high. Until there's a crash and it starts all over again.

There must be a better way. Cities, towns, counties and non-profits must step up. Say No to big developers and start working with the communities who need housing first before building high end housing. This would probably mean land purchases, land that has had its "value" inflated by constant flipping and building. We can start by only allowing truly non-profit housing groups like Habitat for Humanity and others to build. To allow co-housing so that small groups of people can live in smaller homes with communal spaces. Institute real rent control. Pressure the legislature to repeal Costa Hawkins. Protect mobile home parks. And put caps on profits of sales of land, to stop the outflow of communities of color and the gentrification that comes with development.

Next time, case studies. There are many.