Zoning smaller lots in western Australia leads to fewer McMansions

Here is a report from western Australia about a way to limit the construction of McMansions: approve smaller residential lots.

The McMansion is likely to become architectural history as small blocks take over as the more popular housing lot size in WA.

Research by the Urban Development Institute of Australia said 60 per cent of blocks approved in Perth and Mandurah this financial year were less than 500sqm.

In 2004-05, only 30 per cent of all approvals were for blocks of this size. The increase has become pronounced in recent months, with 2130 small blocks approved in the December quarter compared with 1462 in the three months to September.

UDIA chief executive Debra Goostrey said the change had been driven by land prices, and a greater acceptance of small properties amid changing demographics.

It sounds then like development is becoming denser and houses are becoming smaller in this part of Australia. And there is also information on the lot size and house size trends over time:

A typical 1940s home had 125sqm of floor space on a block that was 1150sqm, or a quarter acre.

In the 1950s, block sizes fell to about 750sqm and homes were typically 150sqm in size.

The extravagant 80s brought in the era of the McMansion, with the floor spaces of homes blowing out to 300sqm and this became more extreme in the 1990s, with homes typically covering 350sqm of floor space on a 650sqm block.

It is interesting that this story emphasizes the size of the lot. Of course, this would have some effect on the size of the home that can be built on the lot but not necessarily. One issue that frequently comes up in American communities with teardowns is that the new owners want to build a relatively large home compared to the relatively smaller size of the lot. This can lead to situations where the new home, often dubbed a McMansion dwarfs older single-family homes. In response, many communities have developed guidelines about the new home including height restrictions and how much of a lot the new home can cover.

The article suggests that lots are becoming smaller because of prices and “changing demographics.” Is any of it due to larger concerns about sprawl? Compared to the typical quarter-acre lot of the 1940s, many of the lots today are less than half of that size. There is also mention in this article of an interest in more infill development. It sounds like there could also be some zoning issues going on as governments pursue denser forms of residential development.

The first secular studies department

The subject of secularization has generated much discussion among sociologists and others in recent years (see a recent example with thoughts from sociologist Mark Chaves regarding religion’s decline in America). Now there is news that the first secular studies department will begin in the next academic year:

Starting this fall, Pitzer College, a small liberal arts institution in Southern California, will inaugurate a department of secular studies. Professors from other departments, including history, philosophy, religion, science and sociology, will teach courses like “God, Darwin and Design in America,” “Anxiety in the Age of Reason” and “Bible as Literature.”

The department was proposed by Phil Zuckerman, a sociologist of religion, who describes himself as “culturally Jewish, but agnostic-atheist on questions of deep mystery.” Over the years he grew increasingly intrigued by the growth of secularism in the United States and around the world. He studied and taught in Denmark, one of the world’s most secular countries, and has written several books about atheism.

While the field of sociology of religion has spent time in the last few decades discussing the resurgence of religion in the world, particularly the rise of American evangelicalism, perhaps this new major is illustrative of a reversal of study as atheism or non-religiousness (even though Americans who identify as this still may consider themselves “spiritual” or still partake in religious practices) gains attention.

It would be interesting to hear more about the internal discussions at Pitzer about why the study of secularism should have its own major rather than approaching the subject within several already established majors like sociology or religious studies.

The architectural legacy of Mayor Daley

Chicago Tribune architecture critic Blair Kamin considers Mayor Richard M. Daley’s architectural legacy in Chicago. Here is Kamin’s conclusion after going over Daley’s hits, mixed results, and misses:

Daley was a great mayor. He was also a flawed mayor. Power enabled him to reshape Chicago. And the abuse of power undermined him—and the cityscape he did so much to uplift.

As Kamin suggests, this will take some years and historical perspective to sort out. Regardless of the final verdict, it will be interesting to see how subsequent mayors try or don’t try to live up to a long-serving Mayor who generally went for big efforts with mixed results.

The rankings of liveable cities

Architecture critic Edwin Heathcote of the Financial Times asks why the most livable cities in the world, such as Vancouver, are not necessarily the the most loved cities.

This is another argument that deals with methodology: how exactly does one determine which cities are the “most liveable”? If just one or two factors are tweaked by certain publications, the list changes. Just like college rankings (recent thoughts here), such lists should be viewed with some skepticism.

Additionally, the criteria used by publications is not necessarily the criteria used by citizens who have some choices about where to move. Indeed, such lists seem to presume that these are the choices people would make if they had equal opportunity to move within their own country and/or around the world. Of course, most people have more restricted options due to job availability, price, personal preferences, location of family, and more.

In reading about this, it also strikes me that lists of liveable cities also might not make sense to many Americans: why would they want to live in a city when a majority have already chosen a suburban life?

h/t Instapundit

The importance of property values to NIMBYism

NIMBYism is cited as a common American issue as homeowners often fight hard to protect their pristine homes and neighborhoods. I was reminded of this by an article looking at seven neighbors that damage property values:

Here, the seven suprising neighbors that can reduce your home’s value:

Power Plants. The data is fairly clear on the impact of power plants on nearby home values — it usually hurts them. A study from the University of California at Berkeley shows that home values within two miles of a power plant can decrease between 4% and 7%.

Landfills. A study from the Pima County (Arizona) Assessor’s office shows that a subdivision located near a landfill (and all other residential factors being equal, like house size, school quality and residential incomes) loses 6% to 10% in value compared to a subdivision that isn’t located near a dump.

Robert A. Simons, an urban planning professor at Cleveland State University, says that if you live within two miles of a Superfund site (a landfill that the government designates as a hazardous waste site), your home’s value could decline by up to 15%.

Sex Offenders. Living in close proximity to a registered sex offender is one of the biggest downward drivers of home values. Researchers at Longwood University’s College of Business & Economics conclude that the closer you live to a sex offender, the more your home will depreciate. In the paper, Estimating the Effect of Crime Risk on Property Values and Time on Market: Evidence from Megan’s Law in Virginia, Longwood researchers say, “the presence of a registered sex offender living within one-tenth of a mile reduces home values by about 9%, and these same homes take as much as 10% longer to sell than homes not located near registered sex offenders.”

Delinquent Bill Payers. One surprising way that neighbors can bring down the value of surrounding homes, especially in town home or condo communities, is by not paying their maintenance fees or their mortgages. “Bad neighbors bring values down by not paying their maintenance fees, in some cases their mortgage payments, and not maintaining the home’s appearance,” says Pordes. “These homeowners usually do not care about real estate values.”

Foreclosed Homes. Perhaps the biggest single factor that drives nearby home values down is a foreclosure. A recent study by the Massachusetts Institute of Technology concludes that a neighbor’s foreclosed home can slash the value of homes within 250 feet of the foreclosed properties by an average of 27%. Says Federal Reserve Governor Joseph Tracy recently in his economic outlook for 2011: “The growing inventory of defaulted mortgages continues to weigh down any recovery in the housing market… Problems in housing markets can impact economic growth.”

Lackluster Landscaping. Studies show that lawn care has a big impact on surrounding home values. Virginia Tech University released a report stating that pristine landscaping can jack up the value of a home by 5% to 10%. But if the lawn looks like it just hosted the world rugby tournament, it can be a green thumb to the eye of local home prices.

Closed Schools. Sometimes, neighborhood problems can stem from local government action. For example, if a cash-strapped city or town closes a neighborhood school, that can easily steer home values south. The National Association of Realtors says that 75% of home shoppers, the quality and availability of schools in the neighborhood is either “somewhat important” or “very important.”

As the article notes, what an individual homeowner can do about these situations might be limited. Perhaps the best way to avoid this is simply to do one’s homework before moving into a neighborhood to assess what has happened or might happen in the future. This could involve checking community websites, reading local news, and talking with current residents. But, there are always trade-offs involved in this process. If someone desires a cheaper home, perhaps they might move into an area that has one of these conditions.

At the same time, there are plenty of land uses or neighbors that are not cited in the article where homeowners band together to protect their community. Here are a few recent situations in the Chicago region: a battle over affordable housing in Winnetka (with an update here), Naperville residents opposed to Show-Me’s and Evanston residents opposed to a Tilted Kilt restaurant, and a debate over lighting in Barrington Hills. Compared to a power plant or landfill, these uses seem much less obvious and yet are important concerns for residents of wealthier communities.

On the whole, this article illustrates that one of the primary goals of a homeowner is to protect and/or grow their property values. In order to do this, a homeowner may have to be in opposition to larger neighborhood or community goals. After all, power plants and landfills and sex offenders have to be somewhere. But, if you have the economic means in the United States, you generally move to nicer and nicer neighborhoods where these NIMBY concerns are likely reduced. It would be interesting to track how people’s neighborhood or suburban moves over the years progressively place them further and further away from such property value lowering uses.

Rising debt for college loans better than debt for a McMansion

The college Class of 2011 might expect more in life than simply to be known as “the most indebted ever“:

22,900: Average student debt of newly minted college graduates

The Class of 2011 will graduate this spring from America’s colleges and universities with a dubious distinction: the most indebted ever.

Even as the average U.S. household pares down its debts, the new degree-holders who represent the country’s best hope for future prosperity are headed in the opposite direction. With tuition rising at an annual rate of about 5% and cash-strapped parents less able to help, the mean student-debt burden at graduation will reach nearly $18,000 this year, estimates Mark Kantrowitz, publisher of student-aid websites Fastweb.com and FinAid.org. Together with loans parents take on to finance their children’s college educations — loans that the students often pay themselves – the estimate comes to about $22,900. That’s 8% more than last year and, in inflation-adjusted terms, 47% more than a decade ago.

In the long run, the investment is probably worth it. Education is a much better reason to borrow money than buying cars or McMansions, and it endows people with economic advantages that the recession and slow recovery have only accentuated. As of 2009, the annual pre-tax income of households headed by people with at least a college degree exceeded that of less-educated households by 101%, up from 91% in 2006. As of April, the unemployment rate among college graduates stood at 4.5%, compared to 9.7% for those with only a high-school diploma and 14.6% for those who never finished high school.

I am intrigued by the McMansion comparison here as it is used to illustrate the foolishness of overspending on a big or expensive house versus the possible “good debt” of college loans. Of course, this is all in economic terms as the education is expected to pay off down the road while McMansion purchases of the last 15 years are not expected to yield such great values in this poor housing market. (And using a car as a debt comparison seems a bit strange: a car is rarely an investment but rather a black hole for money.) But this view of a house, as an investment opportunity, is a relatively recent development.

There is something about this data that could warrant a closer look: while it appears that the average college student debt has increased, is the average really the best measure here? I would much rather see a distribution of college debt in order to better know whether this mean is heavily influenced by people with massive amounts of college debt. Here is a paragraph from a recent New York Times article regarding college loans:

Two-thirds of bachelor’s degree recipients graduated with debt in 2008, compared with less than half in 1993. Last year, graduates who took out loans left college with an average of $24,000 in debt. Default rates are rising, especially among those who attended for-profit colleges.

And here is some additional data from recent years that sheds more light on the distribution of college debt:

These figures were calculated using the data analysis system for the 2007-2008 National Postsecondary Student Aid Study (NPSAS) conducted by the National Center for Education Statistics at the US Department of Education. (For comparison, cumulative education debt statistics from the 2003-2004 NPSAS are also available.) The 2007-2008 NPSAS surveyed 114,000 undergraduate students and 14,000 graduate and professional students. These statistics are not necessarily available from published NPSAS reports.The median cumulative debt among graduating Bachelor’s degree recipients at 4-year undergraduate schools was $19,999 in 2007-08. One quarter borrowed $30,526 or more, and one tenth borrowed $44,668 or more. 9.5% of undergraduate students and 14.6% of undergraduate student borrowers graduating with a Bachelor’s degree graduated with $40,000 or more in cumulative debt in 2007-08. This compares with 6.4% and 10.0%, respectively, for Bachelor’s degree recipients graduating with $40,000 or more (2008 dollars) in cumulative debt in 2003-04.

This data provides a median that is somewhat similar to the two figures cited above. Based on these three figures and interpretations, it sounds like more college students are taking on debt rather than some students are taking on a lot more debt.

The sociological origin of the term “McJob”

With McDonald’s hiring 62,000 employees on April 19, a journalist looks at the sociological origins of the term “McJobs“:

The term McJob first appeared in the summer of 1986, when George Washington University sociology professor Amitai Etzioni wrote a column for the Washington Post decrying the “highly routinized” jobs at fast-food restaurants and their effect on American teens.

“By nature, these jobs undermine school attendance and involvement, impart few skills that will be useful in later life, and simultaneously skew the values of teenagers -especially their ideas about the worth of a dollar,” Etzioni wrote.

He went on to criticize the culture and routine of working at McDonald’s and other fast-food companies, noting that the jobs do not provide opportunity for entrepreneurship like the traditional lemonade stand, or the lessons of self-organization, self-discipline and self-reliance like the traditional paper route.

“True, you still have to have the gumption to get yourself over to the hamburger stand, but once you don the prescribed uniform, your task is spelled out in minute detail,” he argued. “There is no room for initiative creativity or even elementary rearrangements. These are breeding grounds for robots working for yesterday’s assembly lines, not tomorrow’s high-tech posts.”

The article then goes on to describe how McDonald’s has tried to fit back against the term, including a 2007 from “the British arm of the company…to get the Oxford English Dictionary definition changed.”

On one hand, such jobs may not be great and this is what Etzioni was getting at: they generally are low-paying and in many places don’t pay enough to be considered a “living wage.” A work like Nickel and Dimed (a review of the theater version here) portrayed such employees as having difficult lifestyles and little hope for the future. More broadly, we could think of these jobs as emblematic of a larger process of McDonaldization, coined by sociologist George Ritzer, that describes the rationalization of the modern world.

On the other hand, we live in a country that really pays attention to job reports with less interest in what kinds of jobs were actually created. The April jobs figures showed good jobs growth but we could inquire about the quality of these jobs: are they well-paying, sustainable jobs that will pay American workers for decades to come? Or, were the majority of jobs middling to lower-skilled jobs that serve American consumers in the service industry?

In the end, we have a society that is quite dependent on such “McJobs.” The term is unlikely to go away though it clearly applies to a lot more corporations and areas than simply McDonald’s. Just as Walmart tends to get singled out as emblematic of big box stores and suburban sprawl because of its revenue (still at the top of the Fortune 500), McDonald’s size and influence draws attention (Super Size Me, anyone?). But as a society, we could have larger and ongoing discussions about what kind of jobs we wish to hold and to promote. In these discussions, we need corporations like McDonald’s, Walmart, Starbucks, Apple, and others involved to think about the American future.

The decline of men in the American workforce

The Economist examines some recent figures showing that men, particularly less-skilled workers, have lower levels of participation in the labor force:

The decline of the working American man has been most marked among the less educated and blacks. If you adjust official data to include men in prison or the armed forces (who are left out of the raw numbers), around 35% of 25- to 54-year-old men with no high-school diploma have no job, up from around 10% in the 1960s. Of those who finished high school but did not go to college, the fraction without work has climbed from below 5% in the 1960s to almost 25% (see chart 2). Among blacks, more than 30% overall and almost 70% of high-school dropouts have no job…

The main reason why fewer men are working is that sweeping structural changes in rich economies have reduced the demand for all less-skilled workers. Manufacturing has declined as a share of GDP, and productivity growth has enabled factories to produce more with fewer people. Technological advances require higher skills. For the low-skilled, low demand has meant lower wages, both relative and absolute. This in turn reduces the incentive to find a job, especially if disability payments or a working spouse provide an income.

Men have been hit harder than women by these shifts. They are likelier to work in manufacturing; women have been better represented in sectors, such as health care and education, where most job growth has taken place. Women have also done more than men to improve their academic credentials: in most rich countries they are likelier than men to go to university.

There is a lot to think about here. One reason that the article cites for this trend is the numbers of women (compared to men) who are getting college degrees. This has been noted by others (with some interesting data from the White House here) and it really does seem to be a sizable shift in American society.

A few other questions come to mind:

1. Could politicians promote policies that specifically target less-skilled male workers?

2. What are some of the broader consequences of this trend, such as the impact on community life or family life?

3. How could schools, particularly high schools and colleges, tackle this issue?

At least some builders says McMansion may not be dead yet

Amidst suggestions that McMansions are being “shunned,” McMansions should be subdivided, and homebuyers want denser, walkable communities, at least some builders suggests McMansions may not be dead yet:

Wilson said builders are taking the slow approach toward embracing the younger generation of buyers, who are buying homes and starting families later in life.

“Most builders are still in recovery mode and remain cautious with any revolutionary concepts,” he said. “The one consistent thread is that the buyer continues to shop hard.

“Housing is in a recovery mode, but the consumer is still looking for the best deal he can find.”

Baby boomers set the tone for housing in recent decades, but their influence is starting to wane, Wilson said.

“This is not to say that the McMansion is dead – far from it,” he said, “just that the following generation – the Gen X group – is not as large as the preceding group.”

And most of the millennial or 20-something buyers aren’t yet ready to commit to home ownership – particularly after the decline in values they have witnessed in many areas of the country.

“I’ve heard that some of the new homes in California are getting a lot smaller, but I don’t see how that works around here,” said Jimmy Brownlee, Dallas-Fort Worth regional president for K. Hovnanian Homes. “Our buyers aren’t asking for that. We are trying to open our houses up and give them more light.”

This builder and others (described as “stumped builders” in the headline) sound like they are waiting to see what will happen in the housing market in the near future. Several factors are at play: the state of the economy and the housing industry, regional differences (Dallas vs. California), and generational differences as the Baby Boomers transition to retirement and younger buyers are more skittish.

From this article alone, it sounds like regional differences could play a big role. In places like Kansas City and Texas, house prices never got out of hand in the same way as California, Las Vegas, Florida, and Arizona. Therefore, continuing to build somewhat bigger homes might not be such a stretch, even in a tough housing market.

Also of note in this article is the suggestion that the homes may still be fairly big but they not have all the amenities like granite countertops or a deluxe bathtub. I’ve suggested before that smaller homes may not necessarily be cheaper, possibly due to more upscale furnishings or due to a more desirable urban/denser location.

11,000 square foot NYC homes designed by a noted architect qualify as McMansions?

Villanova Heights is a newer residential development in the Bronx, New York City. Despite being designed by noted architect Robert A.M Stern, Curbed NY says even the smallest homes in the development are McMansions:

We’ve occasionally mentioned Villanova Heights, the McMansion community in Riverdale designed by Robert A.M. Stern. And by McMansions, we mean houses that aren’t only huge in comparison to Manhattan apartments—the smallest Bobby A.M. creations in Villanova Heights are around 11,000 square feet. The rents are similarly hefty, with the first two completed homes in the development renting for $13,000 and $16,000 per month. Now we’re finally getting a peek inside one of these things, with the new listing for 5020 Iselin Avenue, an 11,000-square-footer on a 25,000-square-foot lot that contains a heated swimming pool and cabana. In fact, we’d be amazed if there were anything this house didn’t contain. When it comes to Riverdale, though, this one’s still our favorite.

Two things strike me here:

1. The homes are at least 11,000 square feet. This is more like a mansion, not just a McMansion. Percentage-wise, very few American homes are that large. When people typically refer to suburban McMansions, they are thinking of homes that are 3,500 to 5,000 square feet.

2. The neighborhood is designed by a noted architect and yet the houses are still called McMansions. One major criticism of McMansion is that they lack tasteful design or more authentic materials. So is this more of a criticism of Stern’s home designs than anything else? Stern is a noted architect but designs McMansions?

This is how the Villanova Heights website describes the home design philosophy:

In developing Villanova Heights, Robert A.M. Stern Architects has adhered to its philosophy that the residences designed “do not, by their very being, threaten the esthetic and cultural values of the buildings around them.” Further, that no one style “is appropriate to every building and every place.” Finally, consistent with Robert A.M. Stern’s belief in the continuity of tradition, his firm’s work on Villanova Heights is driven “by entering into a dialogue with the past and with the spirit of the places in which we build.”

Does this sound like a description of a McMansion?