Housing production in San Francisco fell sharply last year, a trend that could continue if the cost of building new homes remains unsustainable.
According to statistics, by 2022, San Francisco will complete 2,900 apartment units data Recorded by the State Department of Housing and Community Development. That’s down 50% year-over-year from the 5,600 units delivered in 2021, the company’s first report said. SF Business Times.
Rising costs and a series of rate hikes have created an environment generally unfavorable for homebuilding, but residential development in San Francisco is proving particularly challenging.
The San Francisco Office of City Control said in March that no multifamily development of any kind is economically viable in San Francisco. It recommends lowering the city’s inclusion requirements, or the amount of affordable housing required for market-rate residential developments.is one of the measures London Mayor London Breed and Chairman of the Supervisory Board Aaron Peskin said this week they would sponsor For a quick start to new housing.
Of the 10 most populous cities in the Bay Area, San Francisco saw the biggest decline in housing development. The only thing worse is Vallejo, which has no new home deliveries this year compared to 18 in 2021.
The overall Bay Area is also trending negatively. The Business Times analysis shows housing production in the nine-county region will drop by more than 10% year-over-year through 2022.
Other Bay Area cities also saw notable declines. Oakland reported a roughly 18% year-over-year decline in new deliveries, from 4,135 in 2021 to 3,385 in 2022. Fremont delivered 1,397 vehicles last year, down from 1,635 in 2021. Additionally, Sunnyvale deliveries fell from 847 in 2021 to 643 in 2022.
Some cities did report year-over-year increases in unit deliveries in 2022. San Jose delivered 1,710, up from 1,213 in 2021; Berkeley delivered 828 last year, up from 295 the year before.
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— Pawan Naidu
