Who will stand up to the anti gentrification nutjobs intimidating decent small business in L.A? (Los Angeles: rental, buyer)

[GSR13]

Originally Posted by jm1982

Survivability issue , really ?

So Boyle Heights is the only place in the world they can live or they will die ?

Part of living in America is living under a capitalist system rather than a socialist one .. although I know many have fantasies for America to become a socialist country .

You think if someone opens a business or flips or develops a property they aren't adding value or taking any risk ?

If it's so easy and zero risk everyone would do it .

Rents are increasing across the country. Sure, current residents of a gentrifying area can move to a cheaper state, but that is expensive and easier said than done, and often people can't move due to family, job, or health issues.

America isn't a pure capitalist system, otherwise you wouldn't have anti-trust laws in place (for example). But this isn't a capitalism vs socialism issue, it's a nationalism vs globalism issue.

With the current bubble, it's foreign investment that is driving the conditions that make people domestically want to get into property flipping/owning in the first place. The exorbitant demand for property is obviously what's driving the unaffordability of the housing market. If you had proper protectionist policies in place, like what Vancouver has done (15% tax on foreign property investors), you'd see a substantial decline in home prices, although they'd still be somewhat overpriced due to low interest rates.

Anyone who opens a business or develops a property isn't necessarily adding value, especially when those endeavors result in an increase in the cost of living in the local area. They are taking a risk, but in the case of property flipping, generally speaking the rewards are way out of line with the risk incurred.

It actually isn't that hard to flip a property. The barrier to entry is the cost involved, not the difficulty, and as such serves to increase wealth inequality.

Boyle Heights may be a lower-income area, but the broader issue here is the erosion of the middle class which is happening all over the country in large part due to the unaffordability of housing. You can't have a healthy first-world country or first-world economy without a healthy middle class. And unchecked gentrification is a large part of the problem.

But again, you do something about foreign investment and a big part of the overall problem goes away.

[LuvSouthOC]

Nice straw man there. This was a business set up by what appears to be citizens or residents of the US.

[jm1982]

Originally Posted by GSR13

Rents are increasing across the country. Sure, current residents of a gentrifying area can move to a cheaper state, but that is expensive and easier said than done, and often people can't move due to family, job, or health issues.

America isn't a pure capitalist system, otherwise you wouldn't have anti-trust laws in place (for example). But this isn't a capitalism vs socialism issue, it's a nationalism vs globalism issue.

With the current bubble, it's foreign investment that is driving the conditions that make people domestically want to get into property flipping/owning in the first place. The exorbitant demand for property is obviously what's driving the unaffordability of the housing market. If you had proper protectionist policies in place, like what Vancouver has done (15% tax on foreign property investors), you'd see a substantial decline in home prices, although they'd still be somewhat overpriced due to low interest rates.

Anyone who opens a business or develops a property isn't necessarily adding value, especially when those endeavors result in an increase in the cost of living in the local area. They are taking a risk, but in the case of property flipping, generally speaking the rewards are way out of line with the risk incurred.

It actually isn't that hard to flip a property. The barrier to entry is the cost involved, not the difficulty, and as such serves to increase wealth inequality.

Boyle Heights may be a lower-income area, but the broader issue here is the erosion of the middle class which is happening all over the country in large part due to the unaffordability of housing. You can't have a healthy first-world country or first-world economy without a healthy middle class. And unchecked gentrification is a large part of the problem.

But again, you do something about foreign investment and a big part of the overall problem goes away.

Opening a decent business in an area does add value , which is one reason these protestors are upset .
One reason people decide to move to an area is the kinds of businesses that operate .

It seems like if one were worried about the cost of housing they would want an increase in development which would bring more supply therefore lowering the costs .

Also regarding the too poor to move argument there is a cost to move but long term they make that money back quick . If they have a family the family can move too .
Health reasons ? People need to live in Boyle Heights or L.A for health reasons ?

I mean I guess people can always find excuses .

[jm1982]

GR13 , since you are against foreign investment does that mean you are also against foreigners coming here illegally and helping to bring up housing costs ?

[Ro2113]

Originally Posted by jm1982

These anti gentrification radicals have already pushed an art gallery out of Boyle Heights.

Now their new target is an independently run coffee shop that keeps prices low for the community .

Just wondering , why is this accepted ?

Imagine if let's say a Hispanic person wanted to open a business in an area with a white majority and white people called for boycotts and started attacking them and calling them all sorts of names .

I know this type of thing isn't on most people radar right now but what happens if/when things get violent .
Some of the actions against the art gallery sounded violent which forced them to leave for their own safety .

It's hard enough opening a small business in L.A but I really feel for these business owners that are just trying to do something decent and getting harrased like this .

We have a mayor and city council that alway seems to be standing up for " tolerance"
Why don't we hear a peep out of them on this issue ?
Doesn't fit the agenda ?


https://thepridela.com/2017/07/is-pinkwashing-real/

Wait a minute. In one thread your railing against rising housing and rental prices and in another you are applauding gentrification?

http://www.city-data.com/forum/los-a...us-report.html

[GSR13]

Originally Posted by jm1982

GR13 , since you are against foreign investment does that mean you are also against foreigners coming here illegally and helping to bring up housing costs ?

Yes, absolutely. There needs to be a moratorium on legal immigration as well.

Ideally, there should be a Land Value Tax to stop rentier-style profiteering in the housing market, but that's a bit far off at this point.

[GSR13]

Originally Posted by LuvSouthOC

Nice straw man there. This was a business set up by what appears to be citizens or residents of the US.

Just because you're a US citizen doesn't mean you automatically act in the best interests of the community or the country. Just look at Congress, the CA gov't, or local property owners who are all too happy to sell to Chinese cash buyers.

Ordinarily I would have no problem with gentrification at all. Neighborhoods change, existing structures decay.

However, these are not ordinary conditions when you have local home prices DOUBLING in the past 5 years:

Southern California Median Home Price Doubles In Five Years | Zero Hedge

Obviously, rising home prices will have a spillover effect into the rental market. Rents unfortunately will be rising in working-class neighborhoods anyway; there is no need to worsen the problem by allowing hipsters, artists, and techies to take over the neighborhood. Next thing you know, a formerly gritty but affordable area becomes a prime target for developers, flippers, and foreigners.

[jm1982]

Originally Posted by Ro2113

Wait a minute. In one thread your railing against rising housing and rental prices and in another you are applauding gentrification?

http://www.city-data.com/forum/los-a...us-report.html

I didnt rail against high rental/housing prices . I was just stating fact/reality .

Nice try to spin it though ..

[LuvSouthOC]

Originally Posted by GSR13

Just because you're a US citizen doesn't mean you automatically act in the best interests of the community or the country. Just look at Congress, the CA gov't, or local property owners who are all too happy to sell to Chinese cash buyers.

Ordinarily I would have no problem with gentrification at all. Neighborhoods change, existing structures decay.

However, these are not ordinary conditions when you have local home prices DOUBLING in the past 5 years:

Southern California Median Home Price Doubles In Five Years | Zero Hedge

Obviously, rising home prices will have a spillover effect into the rental market. Rents unfortunately will be rising in working-class neighborhoods anyway; there is no need to worsen the problem by allowing hipsters, artists, and techies to take over the neighborhood. Next thing you know, a formerly gritty but affordable area becomes a prime target for developers, flippers, and foreigners.

New businesses are not opened to "serve the best interests of the community". They are generally opened to make money.

[jm1982]

Originally Posted by GSR13

Yes, absolutely. There needs to be a moratorium on legal immigration as well.

Ideally, there should be a Land Value Tax to stop rentier-style profiteering in the housing market, but that's a bit far off at this point.

But you do realize that many rental properties in L.A are owned by mom and pop investors that invested in them with money they saved from regular jobs ?

Not everyone that owns rental property is a Trump or Sterling level billionaire

Just like not every small business owner is a billionaire .