Why are they overbuilding condos and apartments in downtown Bellevue??

[ukiyo-e]

Originally Posted by Gardyloo

In my experience (pretty much a full career in city planning and housing development, mainly for low income and homeless households) I haven’t come across REITs that are into speculation whatsoever. It sort of runs against their purpose, which is to create stable rates of return for their investors, not to go after big windfalls. I’m not familiar with too many who invest in proposed projects rather than on existing properties, but in some cases (mainly on commercial nonresidential properties) they’ll invest where the developer has solid preconstruction commitments from renters to occupy the properties when complete. The vast majority of REITs deal only with existing properties, not those in development, but maybe your experience is different. Do you have some examples from this area?

I own shares in two mREITs (mortgage REITs) that simply supply liquidity without owing any property, and a couple that own commercial property as you described, office complexes or medical buildings. Not one owns residential property, and as you point out, their purpose is to generate income, not speculate.

[jlud]

Maybe because it’s nice, clean, safe, and upscale? People seem willing to pay for those things.

[CrazyDonkey]

Originally Posted by annonymous0381

Everywhere you look near downtown Bellevue has a sign of being torn down for high rises. Traffic around downtown Bellevue as it is is horrible. Bellevue doesn't have enough roads or electricity to accommodate this type of growth.

Why can't they build more housing north of Marrysville,Washington and people can commute to Bellevue and seattle by light rail??

Probably atleast 10 or more high rises are planned in downtown Bellevue.

Light rail coming, and Amazon pivoting to Bellevue from SLU/Denny Triangle (after being threatened with a "head tax"), although they've now put much of their office expansion there on hold, due to workers being unwilling to abandon their home offices, some in other states, and return to the office, except on a limited basis. This could be good for both Seattle and Bellevue, with a higher supply of and lower demand for housing over the longer range. Prices, and rents, are sticky downwards, but could plateau, relative to inflation. Light rail, in both places, should help to ameliorate the traffic situations.

[Rombus]

Light rail from Marysville to Bellevue?

Just how long do you think that will take to build? My guess is that any new homes built in Marysville rather than Bellevue will have a waiting time of at least 10 years (probably more like 15 or 20) before the light rail is ready to go.

Besides Bellevue is a growing city which is adding 10's of thousands of new jobs over the next few years. There will be plenty of people who want to live near work. By the way, living near work is a very green thing to do, IMHO.

[Rombus]

Originally Posted by jabogitlu

We need more density, not less. Building "north of Marysville" is insanity. That would be over an hour commute on a light rail train and would require a transfer at the International District. It would likely be 90+ minutes by car. That's a terrible way to design a city, and maximizes pollution, wasted time, and bulldozed natural environments.

Nonsense. High speed rail line will be a direct, modern 80mph train. They will tunnel under anything above that might be disturbed. Nobody will be inconvenienced. Costs will be minimal because Amazon and other companies that make excess, obscene profits, will be taxed to pay for it. We can probably rip out a number of gas stations and turn them into rail line stations since to few people will be driving. We'll all by driving EV by that time anyway, if we drive at all.

[Hemlock140]

Originally Posted by Rombus

Light rail from Marysville to Bellevue?

Just how long do you think that will take to build? My guess is that any new homes built in Marysville rather than Bellevue will have a waiting time of at least 10 years (probably more like 15 or 20) before the light rail is ready to go.

Besides Bellevue is a growing city which is adding 10's of thousands of new jobs over the next few years. There will be plenty of people who want to live near work. By the way, living near work is a very green thing to do, IMHO.

I don't see rail going past Lynnwood, Marysville is homes for Boeing Everett employees. With or without light rail a commute from Marysville to Bellevue would be a non-starter. I remember one day taking my car from Seattle to Snohomish up I5 to Highway 2 near Everett, about 6 less miles, at 2:30pm and I barely made it before they closed at 5pm ((4:45). That was over 2 hours, just bad traffic, no wrecks or construction. Hopefully it's not that bad with Covid and work from home/hybrid.

Bellevue is not only highly desirable because of the well-run city, safety, and good schools, but it's an easy commute to Seattle, Renton, Redmond and Issaquah (Amazon Boeing, Microsoft, Costco Corporate).

[Ruth4Truth]

Originally Posted by Gardyloo

Blaming zoning for the high cost of housing is malarkey..

Where did I blame the high cost of housing on zoning? I was responding to the Op's thread title question.

[jabogitlu]

Which apartment buildings are at half capacity?

I work directly with lenders in the regional (and western US) multifamily markets and I am not aware of any absorption/stabilization issues for multifamily at the moment. Contract rents have risen, vacancy has tightened. So much so that Seattle House is now commencing construction, only as rentals rather than condos.