Construction of urban apartments for the homeless Los Angeles will cost more than private homes - ForumDaily
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Construction of urban apartments for the homeless Los Angeles will cost more than private homes

A new study showed that Los Angeles, having made a financial commitment to create new housing for 27 000 homeless people, could not cope with the construction of new apartments that are designed to take people out of the streets.

Фото: Depositphotos

Almost three years after city voters approved the 10-year construction program worth 1,2 billion dollars, even the first building has not yet been built in the city. According to the results of a study conducted by the control officer Ron Halperin, the average apartment costs exceeded previous forecasts for 100 000 dollars, writes USA Today.

“To achieve greater impact now and in the future, the city must immediately make some changes to its approach,” Halperin said in emailed comments. “Los Angeles needs to figure out how to make development costs cheaper and timelines shorter.”

With an average price of $531 per unit (with many units costing more than $373 each), the cost of building many homeless units would exceed the average sale price of a market-rate condominium. In the city of Los Angeles, the median price for an apartment is $600, while a single-family home in Los Angeles County has a median price of $000, the study found.

Prices have risen sharply due to higher-than-expected costs for needs unrelated to the actual construction - such as consultants and financing. Up to 40% of the project cost is spent on such needs, the study showed. In contrast, land acquisition costs averaged only 11% of the total cost.

In addition to the 10 000 apartments promised by city leaders, there is also a city program known as Proposition HHH, which is projected to build housing for 7640 people. New apartments, combined with hostel-style shelters and other amenities, can have an impact on the homeless homeless population of the city.

On the subject: The Trump administration will address the problem of homelessness in Los Angeles

Homelessness has become a major problem in Los Angeles - with tents set up on sidewalks, alleys and along riverbanks - creating public health complications and irritation for residents of a city that has long been a tourist destination.

Last month, US President Donald Trump told reporters aboard the Air Force One en route to California: “We cannot allow Los Angeles, San Francisco and many other cities to destroy themselves, allowing what is happening.”

Last month, Trump's group of economic advisers also said the state could take steps such as reducing construction restrictions to increase overall housing and be less tolerant of people sleeping on the street. Los Angeles Mayor Eric Garcetti replied that if Trump is worried about the crisis, he should allocate more federal money to help resolve it.

Californians are now fully focused on this issue. A new study by the State Policy Institute showed that homelessness has attracted the attention of residents as a major concern.

Against this backdrop, Los Angeles hoped that it would be able to largely emerge from the crisis. But of the 19 projects under construction, 60 are in the design stage and 35 are awaiting city approval—only two are expected to be completed by the end of the year.

On the subject: Russian homeless, who sang in the Los Angeles subway, raised more than $ 46 thousand

Part of the cost problem is that some projects are built in the city's most expensive areas. The study found that more apartments could be built at a lower cost if they were built in cheaper, outlying areas. The city can also offer cheaper alternatives to traditional apartment buildings. About 975 apartments will be built across six projects, costing an average of $351, with some costing as little as $965 per unit.

Halperin recommends making major changes to the program to maximize the number of apartments that can be built.

“Critical changes are urgently needed,” he said in comments on the report. Although all funding has been allocated, there is still "opportunity to reconsider costly projects."

“A course correction is required,” Halperin said in his report, “before it is too late.”

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Rental Control Act: California Tackles Homelessness Problem

Miscellanea In the U.S. Los Angeles homeless people
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