And we're back!

It has been said that the definition of a habit is that you don't feel normal until you do it, and that's certainly how I've been feeling over the last few days without writing this blog. I've been unusually preoccupied. At the end of the day, you don't write a daily blog for 13 years without being someone who enjoys routine and consistency. I'm assuming I've written over 4,600 posts at this point.

Anyway, I just listened to this podcast by Malcolm Gladwell.

It starts with Malcolm proudly declaring himself a YIMBY. This is a recent thing for him, and so he goes on to say that he has "all the zeal of the recently converted." Then comes Stephen Smith, Executive Director of the Center for Building in North America, and they talk about the great American elevator tragedy.

It has been well documented that elevators in Canada and the US generally cost many multiples more than elevators in other developed countries. The result is that we tend to have fewer elevators per capita. Only certain projects and building types can afford and/or physically accommodate them. In the words of Malcolm, aiming for perfection comes with costs — fewer elevators and more expensive housing.

If you're interested in this topic, the Center for Building in North America has an extensive report titled Elevators that you can download here. But even if you aren't particularly interested in the trials and tribulations of elevators, all of this is an important reminder that the challenges facing new housing are fundamentally multifaceted.

If we want to unlock as much housing as possible and make it as affordable as possible, it's not just a question of zoning. It's also a question of utilities, environmental regulations, levies, construction methods, building codes and, yes, elevators.

Cover photo by Bagzhan Sadvakassov on Unsplash

Welcome Vivienne Maria Donnelly.

You arrived June 3, 2026 at 1:42 AM in downtown Toronto.

Right now, both you and mom are resting comfortably.

We've known you for less than 24 hours and we are already completely in love.

You've unlocked a new part of our hearts.

And one day, when you're old enough to understand, I'll send you this blog post.

<3

I was recently debating with a friend about climate risk in Florida. He is less concerned about climate risk than I am and part of his argument was, "Why would the world's elite move to Florida only to get pushed out by sea-level rise in the near future?"

My view is that we shouldn't necessarily view the migration of high-net-worth individuals to the state as clear confirmation that they all believe everything will be fine (though I'm sure some or many do). Instead, I see it as rational consumer and economic behavior.

If you're a wealthy individual and have the means to be highly mobile, Florida offers two obvious benefits: warm winters and lower taxes (including little to no risk of something like a California wealth tax).

Let's look at some numbers.

If you had a $100 million capital gain from your private placement in SpaceX and you switched your tax residency from New York City to Miami, you would save 14.776% in state (10.9%) and city (3.876%) taxes, equaling about $14.8 million at t = 0 (definitely not tax advice!).

You could then use these tax savings to buy a waterfront home and get this benefit for all future income streams. In addition, you would get the benefit of warm winters going forward and the optionality of bottle service at LIV whenever you want to see David Guetta. I'm personally not an EDM fan. I prefer house and techno, but to each their own.

So in a total doomsday scenario, if the market started pricing in climate risk and your $14.8M waterfront property went to $0 at t = 10 years, it would still be a rational lifestyle and economic decision. And if the value destruction happened at t = 25 years, it would matter even less. It's probably outside of the forecasting period.

For wealthy people, the value of their personal residence generally makes up a much smaller percentage of their net worth compared to that of the middle class. And my assumption is that the wealthy are making self-serving economic decisions and/or they really want to live in Florida for lifestyle reasons.

The greater concern is for less-wealthy people for whom an erosion in principal residence value would have a more meaningful impact on their financial health. At a certain point, the tax benefits and lifestyle benefits may not outweigh the climate risks, assuming you believe this is a risk in the foreseeable future.

Cover photo by Alex Guillaume on Unsplash