(11-13-2021, 11:21 PM)jeffster Wrote:(11-12-2021, 01:11 PM)panamaniac Wrote: Will they, or will they be above-average rents, I wonder?
New builds most certainly will be on the higher end of rent costs. What happens though, older builds have to start discounting rents. If you are in a new rental unit, paying $1800 is OK if you're the first tenant. IF you are in an older building, with 30-70 years of tenant history, $1800 is a bit much. So new builds should reduce rental costs of old builds.
Problem is, Kitchener (the region) has a low vacancy rate. Until the city shuts down NIMBY's and let developers develop high density projects, we'll continue to have high rental costs.
What about when old buildings are bought up by developers and they are either renovated to higher rental price, or demolished and something high end put in its place? Affordable (and often better constructed) units are removed, higher ends units are built, and the affordable and usable housing stock is reduced.