In fact, it was an article of that very nature which sent me mad on LinkedIn in the first place.
The format is usually the same: the journalist starts by wondering why the price of 3 bedroom units is so high compared to 1 or 2 bedrooms.
To be fair, this Domain article actually explains the problem, unlike a dumb one I saw recently on the ABC.
It’s the cost, stupid.
When #development and #construction costs are as high as they are, with no meaningful prospect of reducing, building something larger is going to need to cost proportionately more. It’s not hard to understand for most people, except those making #housingsupply policy decisions apparently.
There is actually a current bump in the relative demand for larger apartments which suit wealthy downsizers or professionals who, on average, want a generously sized and well finished 2 or 3 bedroom unit.
They can and often will choose to pay the freight to live the lower maintenance, high amenity apartment lifestyle in great areas because they can. And, often, a large apartment in such areas can be less expensive than an equivalently new detached home in that same spot. But we are only talking the best, inner parts of our major cities where this is the case.
Now, if #price wasn’t an issue, it’s certainly conceivable that more people would make apartments a real choice. But price matters, and certainly when compared with alternatives like #greenfield or #regional homes, or middle-ring #townhouses, most buyers either won’t or can’t afford them.
Ultimately, high #developmentcosts mean larger apartments will only ever be realistically attainable to a small portion of the market. They won’t be a solution to #affordability in any way for anyone who wants much more than a 1 or small 2 bedroom unit.
If the State and Federal governments are serious about boosting housing supply, especially affordably, it won’t be with large apartments in inner city areas.