Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.

Tag: new york times

  • Elevators in North America are broken

    It was not my intention to make this building code week on the blog, but for some reason that has happened. So let’s continue. Here is an interesting guest essay — about elevators — written by Stephen Smith for the New York Times.

    Stephen is the founder and executive director of a Brooklyn-based non-profit called the Center for Building in North America. And what they do is conduct research on building codes, specifically in the United States and Canada, and then advocate for reforms.

    Here’s what he thinks about elevators (taken from the above essay):

    Elevators in North America have become over-engineered, bespoke, handcrafted and expensive pieces of equipment that are unaffordable in all the places where they are most needed. Special interests here have run wild with an outdated, inefficient, overregulated system. Accessibility rules miss the forest for the trees. Our broken immigration system cannot supply the labor that the construction industry desperately needs. Regulators distrust global best practices and our construction rules are so heavily oriented toward single-family housing that we’ve forgotten the basics of how a city should work.

    Here’s how the US compares to a few European countries:

    Nobody is marveling at American elevators anymore. With around one million of them, the United States is tied for total installed devices with Italy and Spain. (Spain has one-seventh our population, 6 percent of our gross domestic product and fewer than half as many apartments.) Switzerland and New York City have roughly the same population, but the lower-rise alpine country has three times as many single-family houses as Gotham — and twice as many passenger elevators.

    And here’s a set of cost comparisons:

    Behind the dearth of elevators in the country that birthed the skyscraper are eye-watering costs. A basic four-stop elevator costs about $158,000 in New York City, compared with about $36,000 in Switzerland. A six-stop model will set you back more than three times as much in Pennsylvania as in Belgium. Maintenance, repairs and inspections all cost more in America, too.

    If you’re interested in this topic, I would encourage you to give the full article a read. It’s highly relevant to our ongoing discussions around missing middle housing. If cities, like Toronto, hope to build a lot more apartment buildings (especially smaller-scale ones), they are going to need affordable and plentiful elevator options.

    (Thanks to Michael Visser for sharing this article me.)

  • Silicon Valley wants to build a new city about 60 miles northeast of San Francisco

    We talk a lot about housing supply on this blog. And most of the time it is about creating more and better infill housing, In other words, housing that leverages existing infrastructure and uses previously developed land as efficiently possible.

    But I suppose there are other options. You could, for instance, form an anonymous holding company, raise hundreds of a millions of dollars from leading venture capitalists in the Bay Area, spend $800 million on cheap agricultural land, and then just build an entirely new city about 60 miles northeast of San Francisco.

    And apparently that is happening:

    In 2017, Michael Moritz, the billionaire venture capitalist, sent a note to a potential investor about what he described as an unusual opportunity: a chance to invest in the creation of a new California city. The site was in a corner of the San Francisco Bay Area where land was cheap. Mr. Moritz and others had dreams of transforming tens of thousands of acres into a bustling metropolis that, according to the pitch, could generate thousands of jobs and be as walkable as Paris or the West Village in New York.

    Here’s the area; it’s generally between Fairfield and Rio Vista in Solano County:

    The real estate opportunity is an obvious one. The majority of the land in Solano County, roughly 62% of it, is zoned for agricultural uses. So it was and is relatively cheap to acquire. In isolation, I would imagine that it would be pretty difficult, if not impossible, to rezone any of it for other uses. But if you buy enough of it and if you have the resources, then maybe you figure it out.

    And if you do, it’ll all be worth significantly more, which is why this group has been reportedly paying many multiples of market value over the last 5 years. Because here’s the thing, paying $6,000 per acre instead of $1,500 per acre is almost certainly not going to move the needle considering the broader strategy. More important is that you get enough contiguous land to execute on the vision of a new city.

    This will be an interesting one to watch. And from what I have read, it sounds like they’re just now coming out of stealth acquisition mode and preparing to engage the broader community.

  • Consumer city and playground city — are they any different?

    One conventional way to think about cities is that people migrate to urban areas in order to make more money. This remains true today and the data is pretty clear that, if you live in an urban area, you’re likely to make more money than if you didn’t — even if you’re just as educated. You’re also likely to make even more money if the city is really big (there’s a correlation between income and city size). And you probably also walk a little faster given that, you know, time equals money.

    But there are other reasons for wanting to live in a city. And probably the biggest is that they can bring us pleasure. Back in 2001, Edward Glaeser, Jed Kook, and Albert Saiz published this paper called, “Consumer City”, where they showed that high amenity cities have tended to grow faster than low amenity cities. They also went on to demonstrate that, in high amenity cities, urban rents have tended to increase faster than urban wages, suggesting that there are other reasons for wanting to live in a city beyond simply wage growth.

    Fast forward to today and Ed Glaeser has a new opinion piece in the New York Times arguing the following:

    New York is undergoing a metamorphosis from a city dedicated to productivity to one built around pleasure. . . The economic future of the city that never sleeps depends on embracing this shift from vocation to recreation and ensuring that New Yorkers with a wide range of talents want to spend their nights downtown, even if they are spending their days on Zoom. We are witnessing the dawn of a new kind of urban area: the Playground City.

    I saw City Observatory comment that they thought it was odd Glaeser didn’t mention his previous work on the Consumer City. But I wonder if this is him not wanting to suggest that this was a trend decades in the making. Maybe instead, he wanted to position it as a dramatic and profound shift brought about by a pandemic. But how can you not ask this question: Is the Playground City truly something novel, or are we just following a trend line?

    In my view, they’re not all that different. The basic idea is that people like cities that are cool and fun, and so they will pay a premium to be in those kinds of places. This was true in 2001 and it’s still true in 2023. The only difference today is that we now believe we have too much office space in some markets, and so we’re trying to recalibrate around work vs. pleasure. But even with this, the work component of our cities isn’t going to zero.

    Photo by Jan Folwarczny on Unsplash

  • Density is good

    When it comes to greenhouse gas emissions, we know this:

    Households in denser neighborhoods close to city centers tend to be responsible for fewer planet-warming greenhouse gases, on average, than households in the rest of the country. Residents in these areas typically drive less because jobs and stores are nearby and they can more easily walk, bike or take public transit. And they’re more likely to live in smaller homes or apartments that require less energy to heat and cool.

    We also know this:

    Consider housing. For decades in the United States, the majority of new homes have been built in the suburbs and, increasingly, exurbs, where climate footprints are larger. As a result, for many people today, it is often easier and cheaper to find a home in a high-emissions community than a lower-emissions one.

    An important caveat to these points is that if you use consumption-based carbon accounting — that is, you consider all of the goods and services that people tend to consume — then other things like income also play a major factor. Wealthy households, for example, tend to fly more frequently, and that is bad for emissions.

    But even with this more accurate accounting, the two biggest contributors to a household’s carbon footprint still tend to be housing and driving. And that’s why when you look at emission maps, like these over here, the urban core still usually performs the best. Density, it turns out, is hard to beat.

  • The disproportionate impact of urban renewal projects on non-white families

    Here is an interesting chart from the New York Times explaining the disproportionate impact that highway and urban renewal projects have had on non-white families in the US. The x-axis is the non-white population share in 1950. And the y-axis is the percentage of displaced families that were non-white. What this means is that the diagonal dotted line through the middle represents a kind of racially balanced displacement.

    However, as you can tell from the graph, displacement from 1950 to 1966 was not balanced. In Providence, for example, only 3% of families were non-white in 1950. But these families represented 31% of the ones displaced for renewal projects. In Philadelphia, about 18% of families were non-white, but here they represented 71% of those displaced.

    I don’t think that this will be news to a lot of you. “Urban renewal” is a loaded term in American urbanism. But the article does do a great job of taking you back through time in cities like Houston, Chicago, and New York. The article is also by Adam Paul Susaneck, who is the founder of Segregation by Design. If you’re interested in this topic, I would encourage you to check out his website.

  • California is set to ban gasoline cars by 2035

    According to this recent New York Times article, California is set to put into effect a new mandate that would require 100% of passenger vehicle sales in the state to be fully electric by 2035. Included within this mandate are also interim targets: 35% of all sales by 2026 and 68% of all sales by 2030.

    When I first read the article, my first thought was: “Isn’t 2035 kind of far away? Can’t we do this sooner?” And this is usually how my mind works when I see some date in the future. But then I remembered that EV sales last year in the US only totaled somewhere around 5% of all sales.

    So there is work to be done, and mandates like this will certainly help. As I understand it, this will be the first mandate of its kind in the US and also one of the strictest in the world. A lot of other countries have simply set targets, rather than all-out bans.

    This is what it means to lead. You do things before others.

  • I was here first

    Connor Dougherty published this thoughtful piece about NIMBYs over the weekend in the New York Times. And it has been making the rounds online ever since.

    It is thoughtful in that Connor tries to understand what makes NIMBYs tick. And he does this by interviewing people like Susan Kirsch, a resident of Marin County, California who generally opposes all of the things that California is doing to try and address its housing shortage and who has been fighting a townhouse project in her neighborhood for the last 18 years.

    The developer, who is now 86, started the project in his 60s. In the article he is quoted saying that he’s either going to succeed or he’s going to die. It’s one or the other.

    What is clear is that we all see things differently. While some people might see new housing as serving an important need. Others see new development as running counter to environmentalism and good stewardship. Indeed, for some, there is no shortage of housing (even in cities that are growing in population). It’s simply a problem of too many investors buying and creating rental homes or too many Airbnbs or some other red herring.

    Whatever the case may be, it’s hard not to pay attention to quotes like this one:

    “From my backyard I see the hillside,” Ms. Kirsch wrote from her Hotmail account. “Explain how my property value is not deflated if open space is replace(d) with view-blocking, dense, unsightly buildings.”

    Look, we all get this. Nobody wants their views obstructed. Nobody wants more cars parked in their neighborhood. And nobody wants more dog shit in their local park, among many other things. But implicit in this statement is a view that certain people’s needs and desires are more important than those of others. I was here first. Too bad for you.

  • Quietly booming tech town

    We have all seen these headlines before, so it’s not so under the radar for us. But the New York Times just published this article about Toronto calling it a “quietly booming tech town.” Depending on how you want to measure things, Toronto is now the third largest tech hub in North America after Silicon Valley and New York City (or at least that’s what the NY Times is telling me). The article touches on some of the ingredients for this success, but let me be a bit more explicit in this post because I think it is particularly relevant right now.

    Canada is a “Western” country. What does that mean? It means that we’re a democracy, we have the rule of law, we respect individuals (including private property), and we allow for pluralism of opinion, along with many other freedoms. These are all wonderful and magical things that are sometimes taken for granted. But I couldn’t imagine living in a place that doesn’t allow for such freedoms, nor would I want to.

    On top of this foundation, we have two other important ingredients: extraordinary universities, like the ones mentioned in the article (University of Toronto and University of Waterloo), and some of the most liberal immigration policies in the world. Our borders are open for the smartest and most ambitious. With just these handful of things — freedom, rules, education, and talent — we can screw up a lot of other stuff and still accomplish some pretty great things. I may be oversimplifying, but probably not by much.

    Humans are wonderfully talented. Let people be and they’ll show you. Because history has shown us time and time again that the above recipe works remarkably well. (Related post: Do the best cities have a lot of immigrants?)

  • Informal settlements are the desire lines of housing

    Toronto’s new garden suite (accessory dwelling unit) policies are headed to Planning and Housing Committee this week for approval. If you’d like to leave a supportive comment, you can do that over here by clicking “submit comments” at the top of the page. I just finished doing exactly that.

    Given that this is happening, I figured I would share this related article from the New York Times talking about ADUs and informal housing in Los Angeles. I discovered it through this Strong Towns article by Jay Strange. And I love how he refers to informal structures as the “desire paths” of housing.

    Desire paths, for those of you who may be unfamiliar, are the naturally formed paths and lines that get created when people just walk where they want to walk. Usually these are the shortest and/or most logical routes and, by definition, they don’t align with any designed paths or walkways.

    Jay’s point with informal housing is that it is similarly what people actually want to do, but maybe can’t, usually because of restrictive zoning and/or building codes.

    The New York Times gives the example of a family that illegally built an accessory dwelling unit at the back of their house in the 1990s. It was rented to friends and family, and it helped them get through some difficult financial times. But again, it wasn’t lawful.

    According to some researchers at UCLA, Los Angeles County is estimated to have some 200,000 informal units. Many are forced into demolition, but many, like the above example, manage to sneak under the radar because lots of other people are building them and nobody in the community wants to disrupt things.

    Of course, Los Angeles now allows backyard cottages. And so what was once illegal is now not only permitted, but encouraged. Funny, isn’t it? I don’t know if it was the “desire housing” that ultimately made it happen. But it is clear that many people wanted it and they were voting with their actions.

  • Legendary literary hangouts in New York City

    The New York Times’ recent celebration of the city’s “legendary literary hangouts” is an important reminder of one of the great features of city life. Cities have a way of mixing different people together and inspiring the creation of great things. And sometimes that happens rather informally. (That’s one of the reasons why there’s tremendous value in the nighttime economy.) Tina Jordan writes: “You might think of them as solitary creatures, furiously scribbling or typing alone, but as long as there have been writers in New York City, they have socialized together in an assortment of bars, restaurants, apartments and clubs.”

    For the full thing, click here.