zlacker

>>halduj+(OP)
It's almost like cities (or more specifically, voters in municipal elections) don't realize that the only sustainable way to reduce prices is by increasing supply: http://www.amazon.com/TheRent-Too-Damn-High-Matters-ebook/dp.... We know what to do, we have the technology, and we only lack the political will to make it happen.

>>jselig+ec
But in the article it says towards the end that Berlin in building 50K new units in the next 10-15 years. So in addition to banning AirBnB they are also increasing supply. I am unsure how or why "technology" plays into it unless you mean construction technology?

>>bogomi+Te
How many units were torn down to build those new units, and how desirable are they compared to the old units? What is the price range? How does the quality compare? Where are they located? One number doesn't capture the whole story.

Seattle has a similar problem where we do have a large number of new units going up, but some places are still seeing upwards 50% vacancy after 3 years... because the new units aren't aligned with market demand. I'm talking luxury apartments downtown when the growing demographic is frugal-minded mid-20s/30s interested in neighborhoods 10-20 minute away from downtown. Even constructions in the right neighborhood end up being a net loss of desirable units when the rent is sky high.

>>loster+5i
Apparently London is suffering from similar issue. A lot of new appartments are luxurious and sold to foreign investors. In the end they are just sitting there unoccupied.