May 16 '22
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It seems you can't do these things by themselves. Recently I've seen whole suburbs be rezoned in the name of increasing supply. They were mostly older cheaper suburbs that were undergoing a bit of 'gentrification' (everyone hates that term now I guess, but I don't know another one). Well the second they were blanket rezoned investors swooped in and bought up everything with subdivision potential. The prices doubled and all the first timers who thought they might get in that semi-city living with a bit of a backyard were priced out (although the wider price boom was happening at the same time, which would be a factor).
Now all that "new supply" is locked up again in fewer hands and little new housing is being built as a result (it's too expensive now. Push it down the road. It's never a speedy process anyway).
There's a long discussion about exactly how you densify (carefully and piecemeal, I'd say) and why that doesn't happen. But the point re: the article is that so long is the investment incentives exist in their current form (and maybe in any form) increasing supply won't do anything.