Does Building New Housing Cause Displacement?: The Supply and Demand Effects of Construction in San Francisco
Abstract summary: Study finds that rents fall by 2% for parcels within 100m of new construction. Renters' risk of displacement to a lower-income neighborhood falls by 17%. Both effects decay linearly to zero within 1.5km.
Local Effects of Large New Apartment Buildings in Low-Income Areas
Abstract: New buildings decrease rents in nearby units by about 6% relative to units slightly farther away or near sites developed later, and they increase in-migration from low-income areas. We show that new buildings absorb many high-income households and increase the local housing stock substantially. If buildings improve nearby amenities, the effect is not large enough to increase rents.
Supply Skepticism: Housing Supply and Affordability
Abstract: [the study concludes], from both theory and empirical evidence, that adding new homes moderates price increases and therefore makes housing more affordable to low- and moderate-income families. We argue further that there are additional reasons to be concerned about inadequate supply response and assess the evidence on those effects of limiting supply, including preventing workers from moving to areas with growing job opportunities. Finally, we conclude by emphasizing that new market-rate housing is necessary but not sufficient. Government intervention is critical to ensure that supply is added at prices affordable to a range of incomes
How much can new housing contribute to state climate action?
Terner Center: From this study, we concluded that successful policy reforms enabling rapid construction of climate-friendly housing could meaningfully contribute to climate policy targets—at a national scale, the contribution would be comparable to strengthening electric vehicle policies.
Can zoning reform increase construction productivity? Suggestive evidence from New Zealand.
So why we have we gotten so much better at building goods which you can pick up, play with, or drive but not things fixed on a block of land? An emerging literature has pointed the finger at zoning regulations.