Quote:
Originally Posted by PhillyPDX
I would say yes, but I was in DC last week, tower cranes and active construction all over, some office space included. Everywhere I go I see major development in cities, but not here. Something is clearly broken here.
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I'm curious what cities you're talking about besides DC (and Nashville I think?), but I agree with your Portland assessment. Just hard to imagine many cities booming with office construction these days, but residential/mixed use in some of the Sunbelt-y cities I could see for sure.
Don't know how long you've lived here, but Portland has had such a cluster of things all happen at once. We went from the #3 commercial real estate market in 2017 to like #62 out of 65 in 2022.
We passed inclusionary zoning a like 6 years ago and all the developers rushed through lots of projects to avoid having to comply with the affordable housing requirements. So development ever since has slowed down, and our population growth has also stalled post - Covid.
We passed a few tax increases right at the onset of Covid, which combined with the disarray in the streets in the last few years drove away many high-income earners.
And I'm no expert in the field but I know we have a very cumbersome permitting process that certainly stifles much-needed development.
On the positive side, the city is reducing some taxes and regulations to encourage development and office-to-housing conversions.
I see downtown as perhaps the next 'it' neighbohood, one day -- if we can keep a lid on the homeless street camping, drug use etc. Things are certainly not great right now although on my recent trips it didn't feel unsafe, just way too quiet. There is so much good infrastructure, mass transit, parks, plazas, proximity to everything... things will turn around if the city continues to push safety, relax housing regulations etc.