Building for and selling real estate to more diverse suburbs

Builders and real estate agents are trying new approaches to match Houston’s diversifying suburbs:

Houston homebuilders, developers and Realtors are now trying to cater to this changing suburban demographic.

Realtors are taking classes in feng shui to appeal to Asian homebuyers. Local homebuilders are adding “mother-in-law” suites and casitas to their floor plans to attract Latin American buyers accustomed to multigenerational living.

Last month, Partners in Building, a Houston-based builder, announced plans to construct Mediterranean-style homes with domed roofs, Arabic-style arches and optional prayer rooms in a Sugar Land community.

“The suburbs are going to have to adapt,” Klineberg said. “These big McMansions are going to be less attractive. We need to provide more choices for people.”

Some interesting changes are likely underfoot in suburban real estate. Yet, the proposed changes may not be that large. For example, the sociologist cited at the end suggests McMansions won’t be such hot items. Maybe. McMansions could continue to thrive if they can incorporate some new styles (Mediterranean architecture) as well as new home features (prayer rooms, in-law suites). I’m guessing Klineberg means housing that is more flexible and cheaper to better suit working-class to middle-class residents who can’t afford the big suburban home yet need to be somewhat close to their suburban jobs. Again, that could go different directions: does that automatically mean more apartments and rental units or does it mean more affordable small houses, condos, and townhomes in denser neighborhoods? All together, will such changes be spread evenly throughout suburbs or will they be centered by class and race? I would guess a strong yes given the residential and class segregation present across suburban communities.

Preparing firefighters for McMansion fires

Two firefighters discuss how to go about tackling McMansion fires:

“There are a lot of unique features to consider,” Lt. Duckworth said. “As these things start popping up around your response area, you can’t just think of them as slightly bigger homes. You have to take an entirely different approach.”

Chief Wylie said pre-planning is the answer.

“Most people wouldn’t mind you going around their house and taking measurements,” Chief Wylie said. “As far as distances for hose lays, using preconnects, places to do ventilation, all of these things can be pre-planned just as you would on a commercial building.”

 

Here are some of the particular issues McMansions pose: lots of square feet to cover (and they do expand the size of a McMansion in this talk as something much larger than 4,000 square feet and up to 20-30,000 square feet); long driveways that require a lot more hose to reach the front door, let alone the rest of the house; faster movement of fire through big open floor plans; and houses that are often close together. One of the firefighters suggests McMansions are more like commercial buildings in their size and the way they are built.

I wonder how this affects home insurance rates…

McMansions in the Kurdish capital in northern Iraq

McMansions pop up all over the world, including in new developments in Erbil, Iraq:

Imagine this: Marble courtyards, lush palm trees and exclusive gated communities a drive away from ISIS aggression. Malibu has come to Iraq.

A robust real estate market has made Erbil, the Kurdish capital in northern Iraq, home to the country’s wealthy elite and the site of their palatial mansions.

Iraqi and Kurdish millionaires, politicians, oil tycoons and wealthy Iraqi refugees have flocked to Kurdistan, according to Shwan Zulal, managing director of Carduchi Consulting, a firm based in London and Erbil…

A broken banking industry and lack of faith in Iraq’s government have forced the country’s rich to find other places to put their money…

The increased demand for luxury homes like the ones in Erbil are attributed to several factors, including an increase in oil money, a sense of security from terrorist threats and an increase in the size of an Iraqi middle class…

Meanwhile, ISIS hasn’t scared off investors or homeowners, Zulal said, adding that buyers have been assured protection by the U.S.-led coalition.

Several quick thoughts:

1. Such mainstream media stories about McMansions in foreign lands interestingly don’t often contain much commentary about American-style large houses in other places. Perhaps the goal is to simply show that American housing styles are used around the world? While the term McMansion is generally negative, the news stories are often pretty neutral.

2. It is hard to tell the motivations behind the construction of these McMansions. For American McMansions, critics suggest people want to show off their wealth and live private lives in their big homes. This may be the case in Iraq as well though a limited financial industry changes things a bit. Are wealthier Kurds also all about aspirational homes that attempt to impress others?

3. I assume the last line quoted above means that the coalition is protecting a larger area of land beyond just these developments of McMansions. However, I could imagine some odd futuristic book or movie that involves American troops or security groups defending outposts of American McMansions throughout the world, perhaps as the last vestiges of a crumbled American empire.

A Milwaukee McMansion featuring Prairie Style, Las Vegas, and Palm Beach influences

News of foreclosure proceedings on NBA player O.J. Mayo’s house in the Milwuakee suburbs includes a description of his large home:

Built in 1995, the “contemporary” dwelling includes some ceilings as high as 20 feet. That’s tall enough to stack three O. J. Mayos on top of each other! The first floor has 4,298 square feet while the comparatively diminutive second floor has just 1,652 square feet. The 3,929 square foot basement has 2,250 finished square feet of floor space — plenty of room for a home theater (to watch those game highlights), a pool table, a bar, and all sorts of other jock stuff. There are two fireplace openings in the roof, and plenty of mantel space to display trophies and the other ephemera of a sporting life.

Four bathrooms offer ample space to shower or bathe after a game, with glass-fronted shower stalls and all sorts of custom fixtures. There are also two half-baths in the home, which has 5 bedrooms. The home sits on a 5 acre lot — the River Hills minimum — and has an attached 1,248 square foot garage. With 13 rooms, this is some house.

Architectural historians will place this structure in the era of the early McMansion. Although the real estate listing mentioned “Prairie School” influences in the architecture, the whole conveys the sense of a Las Vegas mansion colliding with a Palm Beach villa and settling to earth in the green landscape of the North Shore of Milwaukee.

See much better pictures of the home here. On one hand, this seems like a fairly typical big house: lots of space, lots of features, a big lot. On the other hand, the description of the home above is interesting. It is a home outside Milwaukee so the Prairie Style influences a la Frank Lloyd Wright make sense but the other comparisons are out of place. Las Vegas and Palm Beach just north of Milwaukee? This hints at one of the major complaints about McMansions: they tend to borrow and mix a variety of architectural styles that have very little connection to native architecture. A number of critics and architects argue that new buildings should blend in with existing styles. Architectural styles should be somewhat consistent. This, of course, does limit change but tends to preserve the existing character of places.

It’s too bad this article doesn’t go on to explore native Milwaukee architecture. Just how much does Mayo’s home differ from the typical Milwaukee suburban home?

Is the Biltmore Estate “the original McMansion”? No

One TripAdvisor reviewer suggests the Biltmore Estate in Asheville, North Caroline was “the original McMansion”:

At first we were a little surprised at the price of admission but after all was said and done, definitely worth it. It is really an all day project. The tour through the house itself is kind of a slow line through but you do get to see a significant portion of the house, actually you see rooms on all 4 floors. It took us about 90 minutes to go through. Then there are the gardens which are very extensive. There were other tours one could take like a ‘behind the scenes tour’ which seemed really interesting but alas we had run out of time. Our lunch at the Stable Cafe was superb. At the height of the lunch rush we had a 45 minute wait so we went off to some of the nearer gardens for a half hour or so. The setting is literally what used to be the stable and the old horse stalls are booths now. The rotisserie chicken that I ordered is about the best chicken I can ever remember. Juicy, flavorful, cooked to perfection. Sometimes simple is best. And served quickly no less. We commented on that to the waiter who said, We know you have better things to do.

Visited October 2014

From all accounts, this sounds like a flashy and impressive house. Here is the opening description from Wikipedia:

Biltmore Estate is a large private estate and tourist attraction in Asheville, North Carolina. Biltmore House, the main house on the estate, is a Châteauesque-styled mansion built by George Washington Vanderbilt II between 1889 and 1895 and is the largest privately owned house in the United States, at 178,926 square feet (16,622.8 m2) of floor space (135,280 square feet (12,568 m2) of living area) and featuring 250 rooms. Still owned by one of Vanderbilt’s descendants, it stands today as one of the most prominent remaining examples of the Gilded Age, and of significant gardens in the jardin à la française and English Landscape garden styles in the United States. In 2007, it was ranked eighth in America’s Favorite Architecture by the American Institute of Architects.

This sounds like a classic case of (1) an anachronistic application of the term McMansion as well as (2) an instance where this is clearly a mansion. When it was built or today, the home is simply large – McMansions are often roughly 3,000 to 8,000 square feet and this home has 135,000 square feet of living space – and this wasn’t just some new money but real big money from the Vanderbilt family.

Perhaps the home’s most McMansion like feature is its borrowing of architectural styles with French and English gardens alongside French architecture. Here is Wikipedia’s brief description of the estate’s architecture:

Vanderbilt’s idea was to replicate the working estates of Europe. He commissioned prominent New York architect Richard Morris Hunt, who had previously designed houses for various Vanderbilt family members, to design the house in the Châteauesque style, using several Loire Valley French Renaissance architecture chateaux, including the Chateau de Blois, as models. The estate included its own village, today named Biltmore Village, and a church, today known as the Cathedral of All Souls.

Vanderbilt borrowed the imposing and monied architecture of Europe to convey similar ideas in the United States. Yet, over a century later, the home’s architecture is celebrated.

My conclusion? The Biltmore Estate is nowhere close to being a McMansion.

Patterns in teardowns in Chicago’s inner-ring suburbs

An architecture professor has found some patterns in the teardowns in inner-ring suburbs surrounding Chicago:

Together, the data set Charles studied included 591,101 single-family houses in Cook County suburbs [between 2000 and 2010], and she determined that 4,789 were redeveloped during that 10-year period. That’s less than 1 percent, but that 1 percent was concentrated and not just in the obvious suburbs one might think.

She found that the teardown phenomenon didn’t affect all communities, wasn’t driven just by developers (often a homebuyer was behind the first teardown in a subdivision), and wasn’t confined to tony neighborhoods where the rebuilt homes were expensive McMansions that stretched from one lot line to the other.

In fact, some of the municipalities that saw clusters of teardowns were suburbs with moderately priced houses and families with moderate incomes, and it was those communities that saw the most conspicuous difference in size between the old house and the new one that replaced it. Charles also found that most teardowns occurred in white and non-Hispanic communities, and in areas with highly regarded school districts.

The article continues with the typical arguments for and against teardowns. Her conclusions?

“I’m not entirely convinced this is gentrification,” Charles said. “If you look that the new house is three times as expensive, you’d think the household coming in would have a considerably higher income. By one definition, that’s a form of gentrification. But I’ve heard examples in Norridge of people who grew up in Norridge and wanted to stay there.”

I wonder if this is what is going on: the Chicago suburbs have experienced teardowns for decades but they were much more likely in higher-class suburbs like Elmhurst, Hinsdale, and Naperville. These suburbs had relatively expensive property so only those with a lot of money and who were really interested in the particular status conferred by these suburbs could pursue teardowns. However, now with those with less money or who are looking for “original” neighborhoods have spread out to other suburbs that offer good schools, good deals, and some status. In other words, the locations have become more diffuse as the practice spreads. This won’t necessarily spread to all suburbs – some just don’t have the status or schools or demographics that those with money will want to buy into. Yet, those looking for unique teardown opportunities may continue to seek out new suburbs.

Continued mansionization debates in Los Angeles

The Los Angeles Times reports that controversy over mansionization in Los Angeles continues as the city struggles to develop guidelines that will please residents:

Los Angeles leaders say they want to tighten restrictions on mansionization, but citywide fixes are expected to take at least 18 months to allow for repeated hearings and environmental review, according to city officials…

Local politicians and planning officials say that L.A.’s rules against mansionization — meant to prevent bloated houses from being built on modest lots — have fallen short. The restrictions, put in place six years ago, curb the size of new and renovated homes based on lot size. But the rules also include “bonuses” of 20% or 30% more space than otherwise allowed…

In the meantime, city planners have suggested temporary rules to curb demolitions and give residents “breathing room” in neighborhoods that have mobilized against mansionization, including Sunset Square, Studio City and North Beverly Grove.

The Los Angeles chapter of the Building Industry Assn. is worried about those moves, saying that the temporary restrictions could “result in a flurry of lawsuits.” Homeowners have not been given enough warning about the restrictions, which “will immediately remove property owner rights,” the group’s chief executive, Tim Piasky, said.

Planning officials say the temporary restrictions would immediately address the problem in mansionization hot spots: desirable areas with older, smaller homes targeted for teardowns…

“It creates a situation of haves and have-nots,” said Traci Considine, whose Faircrest Heights neighborhood has been recommended to get temporary curbs on home demolitions. “If you do a few Band-Aids for a few select neighborhoods, the target is just bigger on the backs of the neighborhoods that aren’t protected.

Los Angeles is a big city so having city-wide regulations could be quite difficult. Austin passed a noted anti-McMansion ordinance but the city has 885,000 people in 272 square miles while LA has 3.88 million residents in 503 square miles. In addition to size differences, real estate in California is huge: the housing market is still quite pricey so limiting the ability of property owners to cash out is a bigger restriction than in the cheaper Austin market.

I would guess that the long-term solution is different guidelines for different neighborhoods in accordance with what residents desire. Yes, this might push the mansionizers to different neighborhoods. But, this is how communities often tackle this problem.

Decrease the number of new McMansions to increase local food security

One farmer and activist suggests reaching local food security means stopping the construction of McMansions:

Salatin — a successful American farmer, former reporter and author of nine books on the food revolution — is able to produce far more food per acre than industrial-scale farms using techniques that make raising beef, chicken, eggs and even pigs palatable to the neighbours…

Putting fallow land around monster homes that are proliferating in the Agricultural Land Reserve back into production will be key to building local food security in B.C.“We call those McMansions,” he said. “It is a problem because that is agriculturally abandoned land. We can’t begin to feed ourselves with a local-centric system if we lock up land in royal manor models.”

Even urban dwellers need to consider how far their food has to travel and whether it will come at all if there are shortages, he suggested. The integrated approach he takes to food production on the farm can be applied at any scale, Salatin said.

There are a lot of things that people, even in well-established communities, can do themselves to become more food secure, said Salatin, giving examples such as keeping honeybees on rooftops, installing food-producing solariums in our homes, capturing rainwater for food production, container gardening and reclaiming some of the billions of potentially productive acres sequestered under lawns in North America.

It is rare to find a critique of McMansions that explicitly addresses food. Such homes are often criticized for being wasteful, using too much land and resources as well as providing more space than people need.

Yet, I suspect it is not quite as simple as suggesting new McMansions automatically mean less agricultural space. McMansions aren’t the only use of land. This argument seems to use McMansions as a shorthand for sprawl. The sprawl often associated with McMansion neighborhoods consumes green land and pushes farming and agriculture further and further away.

Would a middle ground be consistently using McMansion land for growing things and raising animals? I have yet to see a request from McMansion homeowners to allow chickens or livestock – though such lots could accommodate such activities. It probably comes down to property values…

 

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Chinese homebuyers flood LA suburb with big homes

Bloomberg examines an influx of large-home purchases by Chinese buyers in Arcadia, California:

A year ago the property would have gone for $1.3 million, but Arcadia is booming. Residents have become used to postcards offering immediate, all-cash deals for their property and watching as 8,000-square-foot homes go up next door to their modest split levels. For buyers from mainland China, Arcadia offers excellent schools, large lots with lenient building codes, and a place to park their money beyond the reach of the Chinese government.

The city, population 57,600, projects that about 150 older homes—53 percent more than normal—will be torn down this year and replaced with mansions. The deals happen fast and are rarely listed publicly. Often, the first indication that a megahouse is coming next door is when the lawn turns brown. That means the neighbor has stopped watering and green construction netting is about to go up.

This flood of money, arriving from China despite strict currency controls, has helped the city build a $20 million high school performing arts center and the local Mercedes dealership expand. “Thank God for them coming over here,” says Peggy Fong Chen, a broker in Arcadia for many years. “They saved our recession.” The new residents are from China’s rising millionaire class—entrepreneurs who’ve made fortunes building railroads in Tibet, converting bioenergy in Beijing, and developing real estate in Chongqing. One co-owner of a $6.5 million house is a 19-year-old college student, the daughter of the chief executive of a company the state controls.

Arcadia is a concentrated version of what’s happening across the U.S. The Hurun Report, a magazine in Shanghai about China’s wealthy elite, estimates that almost two-thirds of the country’s millionaires have already emigrated or plan to do so. They’re scooping up homes from Seattle to New York, buying luxury goods on Fifth Avenue, and paying full freight to send their kids to U.S. colleges. Chinese nationals hold roughly $660 billion in personal wealth offshore, according to Boston Consulting Group, and the National Association of Realtors says $22 billion of that was spent in the past year acquiring U.S. homes. Arcadia has become a hotbed of the buying binge in the past several years, and long-standing residents are torn—giddy at the rising property values but worried about how they’re transforming their town. And they’re increasingly nervous about what would happen to the local economy if the deluge of Chinese cash were to end.

Interesting look at how this affects one particular community. It seems to bring together several issues that might trouble the average American suburbanite:

1. An influx of immigrants. This is happening across the suburbs as many new immigrants move directly to the suburbs. At the same time, there are a number of ethnoburbs in the LA region so this is not unknown.

2. An influx of immigrants from China. The United States has an interesting current relationship with China and Americans didn’t treat Chinese immigrants well in early California. A large group of wealthy foreigners from a country with a huge economy and shadowy government might make some nervous.

3. This big money means older homes are being torn down and replaced with big houses. A large number of teardowns in an established community tends to attract attention as the homes can change the character of neighborhoods as well as raise prices (though this is also presented positively in this story as long-time residents can cash out).

All together, this rapid change will be worth watching.

Satire: Hamptons residents tear down McMansions to build mini-mansions

This is unlikely to happen anytime soon:

The latest thing in the Hamptons are Mini-Mansions. People everywhere are tearing down their 15,000-square-foot McMansions and replacing them with little three-bedroom houses of 2,000 square feet. This trend is unprecedented in America. But here in the Hamptons, it’s the latest craze.

Alice Henderstreep did this. She’s married to the steel magnate Charles Henderstreep and they tore down their McMansion in Quogue for a Mini.

“It’s wonderful,” she said. “Some friends of ours in East Hampton did this. I call my husband, he’s in the next room and comes. We’re never far away from one another. And I love it. The dog runs around underfoot. The kids are in the kitchen. It’s family. And the room we now have on our five acres is just phenomenal. We have huge lawns, we now have tennis courts. The kids have parties in our new pool house. We even built a baseball diamond.”…

“This is the way the original settlers lived,” Fred said when we called. “We followed the plans for a saltbox pictured in the historical museum. And so did the Henderstreeps in Quogue. It’s not like that old split level that was here we tore down for the McMansion. This is a recreation of the early settlers. Hand-hewn beams. Wavy old glass in the windows. It wasn’t cheap. In fact, it cost more than the McMansion we tore down.”

The only way I could imagine this happening is if downsizing becomes the new marker of luxury. It would be the opposite of conspicuous consumption: you can afford to downsize your vacation home and live small for a few days. Or, the tiny house movement could go upscale, perhaps with gratuitous use of innovative yet expensive technology. Of course, such claims might be followed up by a pricey trip to another mini-mansion in another wealthy vacation spot…