YIMBY housing advocates ask, are you dense?

The great YIMBY-NIMBY War rages on and what’s at stake is density. The YIMBYs want to add it by lifting land-use restrictions, particularly in transit-friendly urban areas—thus allowing housing supply to meet demand and lowering artificially high housing prices. NIMBYs want to prevent adding density, thereby preserving property values, personal wealth, and their ability to grow veggies in their backyards.

California is the war’s frontline. According to McKinsey, the state ranks 49th for housing units per capita, its real estate prices are rising 3x faster than household incomes, and it loses $140 billion per year in revenue due to the housing crisis. Much of the shortage flows from land use restrictions, which make it impossible to build in many areas and tags an additional $75k in various impact fees for every new housing unit built.

But if the YIMBYs get their way, State Senator Scott Weiner’s California SB 827 might prove to be the war’s D-Day (YIMBYs are the Allies and Weiner is their Ike, in case you were wondering).

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Katerra: Construction’s $865 million question?

What?

Silicon Valley-based construction tech company Katerra announced a SoftBank-lead $865M Series D.

Why?

It’s common knowledge the construction industry is FUBAR. It’s second to last in terms of labor productivity of all major industries; it’s one of the least digitized major industries, spending <1% of revenue on R&D; and “large projects across asset classes typically take 20 percent longer to finish than scheduled and are up to 80 percent over budget,” according to McKinsey. Look no further than Denver’s unfinished VA hospital that’s gone $1 B (B as in boy) over budget as a case-in-point.    

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