Apartment Development Slowing?

Green Escrow | New Construction

One of the nation’s and Bay Area’s largest apartment developers, Equity Residential, said recently that building new housing in major U.S. cities is becoming more difficult and predicts there will be fewer projects in the future.

According to Equity Residential, higher construction costs, the price of land, and less available financing are all responsible for the slowdown.

While prices in San Francisco remain high, softening rents and the city’s higher affordable requirements have slowed development. Oakland has actually seen more proposals in the last two years as costs are lower and approvals generally faster.