What is going on with all the new apartment construction in CDA? (low income)

[LS35a]

A few years ago they built a big apartment complex on Ramsey. Now it's only about half full.

Yet there are hundreds and hundreds of new apartments being built, especially down by Riverstone.

There ARE NO JOBS HERE.

Who are all these apartments for?

[banjomike]

Simple speculation. Times have gotten much better in other states, so there's more money being made in them. Many folks invest in apartments in states where the building costs and real estate is priced lower, especially in places that have hit the national radar in terms of predictive future growth.

Build it and they will come. The thing about apartments is they don't have to be full to break even. They're considered to be a long term investment, so in 5 or 10 or 15 years, if and when one does fill up, half of the money made on them is profit. EVen if an apartment remains totally empty, if the return on investment is low enough, writing off the loss of income may still be a way the building pays off.

Typically, larger apartment complexes are incorporated and are owned by a private corporation consisting of relatively few investors. More rarely, just one family or person builds them, but most often the costs are spread around to more investors.

Right now, with China's economy in turmoil, money that would normally go into the stock market is going elsewhere. Construction is always a popular alternative to stocks, especially in resort areas or in pockets where there are signs of fast growth.
The interest rates are super low at present; lower than at any time for the past 50 years. Nationally, the great recession is over or nearly so in other states, so investors are getting construction loans before the interest rates rise. They will rise for sure, sometime over the next 12-18 months, but only by a few points at a time.

I anyone wants to build a house, this is the time to do it. The only reason why the rates are still so low is because of the upcoming election. No one in either party wants to rock the boat until after a new administration is in place.

[Shaner]

There are lots of jobs here, they are just not high paying. While I am annoyed with it all, most of the units are at 90% capacity.

[Sandpointian]

A former tenant moved into one of these Riverstone apartments. Affordable for those on limited income (had lost her job) and new. I am glad she had that option.

[eqttrdr]

Really glad they are building low income housing for those less fortunate but WHY build low income housing right in the middle of an upscale and expensive shopping center, next to a park, and WITH a great water view?...LOL


I'm nobody and what the heck do I know, but seems rather counter intuitive to try and promote this upscale shopping center, attract upscale businesses, and get customers to support these expensive stores but keeping building low income housing right in the middle of it?

[Walkaboutcda]

Originally Posted by eqttrdr

Really glad they are building low income housing for those less fortunate but WHY build low income housing right in the middle of an upscale and expensive shopping center, next to a park, and WITH a great water view?...LOL


I'm nobody and what the heck do I know, but seems rather counter intuitive to try and promote this upscale shopping center, attract upscale businesses, and get customers to support these expensive stores but keeping building low income housing right in the middle of it?

I have no facts to support this but I don't think they are low income but rather affordable for the area.