Is there an apartment shortage in the Bay Area? – NBC Bay Area

The Nugget

Despite a long-running housing shortage, there has not been a single new apartment project in the South Bay this year, leading to concerns about rising rents and housing affordability.

Make it stick

🏗️ No new apartment projects in the South Bay this year.
📈 Rising interest rates, labor costs, and decreasing demand are causing the construction slowdown.
🏢 Thousands of apartments expected to be completed in the next two years.
🏠 Concerns about affordable housing and homelessness in the region.

In the South Bay, there has been a complete halt in new apartment projects for the current year.
Developers had initiated thousands of new apartments last year, but the trend has shifted dramatically.

Factors contributing to the absence of new projects include rising interest rates, high labor costs, and reduced demand due to people relocating away from the area.
Lenders are becoming cautious about lending, with some major banks playing less significant roles in the market.

The lack of new construction exacerbates the affordable housing crisis, leading to concerns about homelessness and housing insecurity.
Advocates stress that the current pace of building is insufficient to address the housing needs of the communities.

Calls for government intervention in the housing market to ensure affordability and address the housing crisis.
With dwindling supply, there are fears of rent hikes in an already unaffordable housing market, potentially worsening the situation.

"There's homelessness everywhere. There's people moving out of the area because they can't afford housing. Something needs to be done." - Sandy Perry
"The private housing industry is not interested in housing our people, they're interested in making money. That's why we need government intervention to provide housing that people can afford." - Sandy Perry
"Despite a long-running affordable housing shortage, new numbers show there has not been a single new apartment project in the South Bay this year." - NBC Bay Area
"Cities are mandated to do their part through zoning and approving plans, but it does not mean much if builders do not build." - NBC Bay Area
"But it's not all doom and gloom. CoStar notes there are still thousands of apartments that will be finished in the next two years." - NBC Bay Area

This summary contains AI-generated information and may have important inaccuracies or omissions.