The number of U.S. homeowners putting solar panels on their roofs declined last year after leading installers including Tesla Inc. abandoned aggressive sales practices that had helped drive breakneck growth. Residential solar had been on a tear, averaging 49% annual growth between 2010 and 2016, but the number of megawatts added last year dropped by […]
America is facing a new housing crisis. A decade after an epic construction binge, fewer homes are being built per household than at almost any time in U.S. history. Home construction per household a decade after the bust remains near the lowest level in 60 years of record-keeping, according to the Federal Reserve Bank of […]
Villaraigosa and Newsom want to build more houses in California than ever before. Experts see the candidates’ goal as an empty promise
Lt. Gov. Gavin Newsom and former Los Angeles Mayor Antonio Villaraigosa both have said they want developers in California to build a half million homes in a year — something that’s never happened, at least in modern history. And they want builders to do it for seven straight years, resulting in 3.5 million new homes […]
But there’s a big problem with the U.S. construction industry — it costs way too much to build things. Productivity in construction has stagnated throughout much of the world. But in the U.S. it has done particularly poorly. In terms of value added per worker, construction-industry productivity has fallen by about a third since 1970. […]
As the Bay Area scrambles to find housing for its growing population, developers are running into another kind of shortage: There aren’t enough construction workers to build the homes the region needs. Builders throughout the area say they are struggling to recruit skilled laborers. Some bring in employees from Southern California or even Seattle, putting […]
U.S. housing starts rose last month to the highest level in more than a year, driven by gains in single-family home building in the South and West.
Sacramento homebuilders are trying to deal with a severe shortage of construction workers by training high school students in summer internships. They want the teens and their parents to consider the possibility that a construction career might be a good alternative to college, though that can require some convincing. “There’s a negative stereotype about dirty jobs,” said Rick Larkey, executive director of the North State Building Industry Foundation. The group is leading the effort to recruit 5,000 new workers over five years in Sacramento, Placer, Yolo and El Dorado counties. A big part of that is the outreach to high-school students through internships and after-school programs.
Homebuilding was down across Southern California in the first three months of 2017, but nowhere more than San Diego County, said a Real Estate Research Council report released Monday.
Residential building permits were down by 10 percent in the seven-county region compared to the same time last year and 37 percent in San Diego County.
A recent count found a dramatic 104% increase in “tents and hand-built structures” located downtown, for a total of 418, compared to 2016. Driving through East Village, a gentrifying neighborhood on the edge of downtown, it’s tough to find a street that doesn’t have a tarp or tent – or dozens. People with neither tent nor tarp fashion makeshift shelters out of shopping carts, storage bins and blankets.
Developers are now adding homes, relative to population growth, at a far higher pace than in recent years. But it’s still below what experts believe would be enough to keep up with California’s growing population, which topped 39.5 million last year.
A measure that would allow local governments to force developers to include more low-income housing within their projects passed the Assembly Thursday.
Assemblyman Matthew Harper (R-Huntington Beach) argued that the bill would raise costs for developers and therefore reduce their ability to produce the broad housing stock the state needs to control prices.
In the span of a few decades, Los Angeles area construction went from an industry that was two-thirds white, and largely unionized, to one that is overwhelmingly Latino, mostly nonunion and heavily reliant on immigrants, according to a Los Angeles Times review of federal data.
At the same time, the job got less lucrative. American construction workers today make $5 an hour less than they did in the early 1970s, after adjusting for inflation.
The decline in homeownership rates to near 50-year lows is partly to blame for the U.S. economy’s sluggish recovery from the last recession, new data suggest.
If the home-building industry had returned to the long-term average level of construction, it would have added more than $300 billion to the economy last year, or a 1.8% boost to gross domestic product, according to a study expected to be released Monday by the Rosen Consulting Group, a real-estate consultant.
The possibility of a tax-code overhaul is casting a shadow over the $10 billion affordable-housing industry, which receives tax credits so valuable they often determine whether or not projects get off the ground. . . Developers said investors are valuing the credit 10% to 20% lower since Election Day. In some cases, investors have walked away, opening up funding gaps in projects already in motion. Because developers already walk a financial tightrope to build low-income housing, some projects are simply failing.
“There are many ways governments can support the construction of affordable housing. One is to pare back some of the byzantine regulations that control housing development at the state and local level—NIMBY land use and zoning restrictions, unrealistic regulations regarding construction and labor procurement methods—that drive the cost of new housing through the roof. And when that doesn’t work, city and state governments can subsidize rents. But to create an elaborate investment tax code workaround to problems that blue model governance has created through overregulation, cost inflation, and bureaucratic micromanagement only builds new layers of cost and complexity over the old ones. And of course there is the problem of moral hazard created when it becomes impossible to build housing for the average person with an average income in a given area without getting ‘help’ from insiders who can help you navigate the bureaucratic morass.