Thursday, March 30, 2006

Is LA Going Condo Crazy?

Link To This Post.

To view the February stats from the California Building Industry Association you'd think we're on the verge of a surge in condominiums. As it is, the surge in February is a rare sight considering that for many years you were hard pressed to find a developer willing to venture into condos out of a fear of what some called "spurious lawsuits." SB 800 supposedly fixed that to the industry's satisfaction (not sure what consumers experience has been with it). And now, here come the condos, ready for the last gasp of the housing market before the housing bubble pops.

From the CBIA:
A total of 2,390 building permits for condos and apartments were issued in Los Angeles County in February, compared to 818 in February 2005 and 791 in January 2006. Multifamily starts in L.A. County this year total 3,181, up almost 66 percent from the first two months of 2005 and nearly one-third of all the multifamily construction statewide so far this year.
Just to clarify... Bubble or no bubble, we need more of this kind of housing in LA. Not sure that downtown condos are the answer, considering that they'll likely carry a premium price tag (at least before the pop). But muliti-family developments in dense configurations are desperately needed, particularly by young, working-class families.

— The Boy in the Big Housing Bubble