11-06-2015, 02:54 PM
(11-06-2015, 02:28 PM)MidTowner Wrote: mpd618 is bang on that reducing (or eliminating) parking requirements is a good way to encourage housing affordability. Parking requirements mean a big subsidy to (generally more affluent) car-owners by (generally less affluent) non-car-owners. Here is a good explanation.
To both mpd618 & MidTowner: What you're saying makes sense in that it would reduce the overall price slightly, but I think my point still stands: The cost per unit to build (even completely omitting parking) has very little to do with the luxury/premium finishes within the unit (unless they are exceptionally high-end, but that is not the case with the majority of the units in the condos going up). Condo units - even without parking - are still in the $200k's or higher. What everyone always misses is that the rents are dictated by the mortgages. Lets assume a a $250k condo with no parking - a landlord gets an 80% LTV mortgage - the payment is $930/month (CIBC mort calculator - 1 yr closed at 2.84%) + property taxes + insurance + condo fees. That unit is going to be on the rental market for $1500/month. Pretty sure that's not affordable housing.