Even during COVID-19, construction goes on in the Bay Area amidst a need for housing:
California’s shelter-in-place order has forced millions of people to stay home and businesses to close to prevent the spread of the novel coronavirus. Some construction workers, however, are still reporting for work to build and renovate Silicon Valley mansions and San Francisco luxury condos because of carve-outs in shelter-in-place orders that exempt any housing construction as “essential” business.
Local officials say residential construction of all kinds is necessary to address the region’s housing crisis. The exemption means affordable housing projects are moving forward, too…
In Palo Alto, where the median property value is $3 million, according to Zillow, residential construction has been so ubiquitous that the city’s new coronavirus support line was inundated with calls about what kind of construction was permitted under shelter-in-place, according to the city’s daily coronavirus newsletter Monday. This past week, crews showed up to work on single-family homes valued on Zillow at $7.3 million for an eight-bedroom house and $9.6 million for a five-bedroom house…
Backlash from concerned neighbors is predictable, said Laura Foote, executive director of YIMBY Action, a Bay Area network of advocates for increased housing supply at all economic levels. “People find new reasons to believe what they have always believed,” she said. “We have a housing shortage and that is what’s driving up cost. More housing also helps bring down the overall cost.”
The article goes into more detail about the debates over the continued housing. There appear to be multiple issues: whether any construction should go on, whether construction should go on for building luxury or expensive housing, and if construction goes on, whether workers and developers should follow rules about social distancing.
This is both a reminder of the lingering issues in a world very focused on COVID-19 as well as the complications of housing questions in the Bay Area and California more broadly. Fiinding solutions has proven difficult; building more affordable housing in many regions depends on local actions which wealthier communities tend to avoid.
Perhaps the question coming out of the pandemic will be this: will the Bay Area, the Seattle area, New York City, and other tight housing markets be more open to affordable housing conversations and action after everyone had to unite (or at least agree to stay away from each other) for a common cause? Crises tend to reveal inequalities but they do not always lead to efforts to address and rectify the problems.
New recommendations from the Illinois Department of Transportation mean drivers should expect to see more zipper merges:
Most people aren’t familiar with the zipper merge and have never even heard of it. But with construction season just a couple months away, the Illinois Department of Transportation wants drivers to use the zipper merge technique when approaching lane closures…
Experts believe that is the quickest way to get through construction sites and entrances on highways during busy season.
So much so that a new law for 2020 mandates the zipper merge be included in this year’s Illinois Rules of the Road handbook, following many other states that already use the technique like Minnesota, Missouri, North Carolina, Montana and Nevada, to name a few…
Not only is the zipper merge a safer and more efficient way to merge into traffic, it’s the law and carries a $164 fine, not including court costs and fees.
Changing decades of ingrained patterns is not an easy task. New drivers can be trained on this from the start but many drivers have been operating with different methods for decades. However, I would guess the presence of police and the use of tickets in situations where zipper merges will now be expected could help prompt people to follow the new guidelines. Or, imagine a campaign on public media where drivers who do not follow the guidelines are highlighted.
The one thing I do not get about resistance to zipper merges and the drivers who look to block traffic is that it is inefficient to not follow the zipper merge. Theoretically, everyone wants to to get where they need to go as quickly as possible. Hence, rampant speeding and other behavior intended to save time. Zipper merges are supposed to help with this which should be a win-win for everyone.
The construction of single-family homes employs many Americans. When demand for homes drops, such as in the late 2000s with the burst housing bubble, many are out of work until the housing market heats up again.
Critics of McMansions would argue such homes should not be built. Instead, the land could be put to better use or developers and communities should focus on building other kinds of housing units that do not suffer from the same flaws.
But, the construction of McMansions employs people. Developers may build them to make more money than they could by building starter homes and communities may approve them in order to keep property values higher. And these homes provide work. Is this the case where a job is not worth it if the outcome is an undesirable product (in the eyes of McMansion critics)?
On this Labor Day, it would be interesting to consider how those who construct McMansions might be employed constructing other buildings. For many who construct McMansions, it could be hard to turn down the work if other opportunities are not present or the job pays okay. Should part of the fight against McMansions also include efforts to address labor issues?
Acquiring property for right-of-ways for highways and other uses can get expensive. Here are a few examples of the Illinois Tollway purchasing homes in Elmhurst and Hinsdale:
A two-story, 3,145-square-foot house in Elmhurst that was built in 2005 and that the Illinois Tollway bought for $710,000 has a date with a wrecking ball later this year. It’s one of the more unusual aspects of the upcoming $4 billion widening of Interstate Highway 294…
The house due to be razed, at 505 E. Crescent Ave. in Elmhurst, abuts a noise wall that parallels a ramp linking Interstate Highway 290 to I-294. The Illinois Toll Highway Authority needs the house’s 0.3-acre parcel to provide room for an interchange ramp, said tollway spokesman Dan Rozek. It’s the only house in Elmhurst that the toll authority intends to acquire…
While the tollway’s plans call for just that one house acquisition in Elmhurst, the tollway intends to acquire and demolish some 11 homes farther south in Hinsdale for the project, many of which are on Harding Road and Mills Street. In a reflection of the relatively high cost of homes in Hinsdale, the tollway paid even more for two Hinsdale homes than it did for the Elmhurst acquisition, shelling out $870,000 for a house at 621 Harding Road and $825,000 for a home at 645 Harding Road.
However, most of those pending Hinsdale demolitions are of homes that are much older than the one in Elmhurst. Of the Hinsdale acquisitions, the house that was most recently built is a four-bedroom, 2,346-square-foot, neo-eclectic-style house at 417 Mills Street, which was built in 1996. The tollway acquired that house in December for $700,000.
Suburban areas have lots of homes adjacent to highways and relatively few meet this fate. And such homes can be worth quite a bit even with all that noise if located in the right community and with the right features (such as plenty of square footage and a recent build).
This is a reminder that perhaps the best lesson to take from all of this is for leaders and planners to do these sorts of things earlier rather than later to save money. If the plan is always to add lanes – which probably just encourages traffic rather than relieving congestion – then do it earlier. These more recent homes might never have been built and communities could plan earlier for such major changes to residential areas.
The reasons for delayed Jane Byrne Interchange project in Chicago are only now trickling out to the public:
In January 2015 — just over a year into construction — university workers noticed the building had been sinking and shifting, leaving cracks in the foundation and making it impossible to shut some doors and windows, according to court records…
Over the next 1½ years, IDOT blamed engineering firms it had hired for missing the poor soil conditions that contributed to the problem. That led to a redesign of a key retaining wall that boosted costs by $12.5 million and dragged out that part of the project at least 18 more months…
IDOT’s Tridgell gave the Tribune a list of other reasons for delays. Among them: The city was leery of shutting down ramps and lanes on many weekends because of festivals and other events. And other local agencies required extra permits and reviews for work…
UIC’s Sriraj said public outreach is challenging on big projects, with no “gold standard” on how much is appropriate.
The public is likely not surprised that such a large project is behind schedule and over budget. This is common on major infrastructure projects. They just want the project done. (And I’m sure some of the cynical ones will note that even when the Byrne project is done, repaving of its surfaces will probably begin again very soon.)
Is this expectation of poor performance what then allows public agencies to not have to explain further delays and costs? Realistically, there is little the public can do whether they know about the delays and cost overruns or not: the construction keeps going until it does not. And the article hints that there is possibly little the state can do to compel contractors to do better work. So, because the news looks bad, is it just better to sit on the information?
I would prefer it work this way: given that such large projects affect many people and involve a lot of taxpayer dollars, the public should have access to clear timelines and explanations for delays. Many people won’t care, not matter how much information is available. But, in general, public life is valuable and information should be widely available and not hidden for fear of angering people or avoiding blame. At the least, knowing about delays and increased costs could theoretically help voters make better choices in the future about leaders who will guide these processes.
Curbed Chicago provides an update on the city’s work to resurface streets:
[T]he city rolls out plans to resurface 135 miles of streets, according to an announcement from the mayor’s office.
The work is expected to begin mid-April when the asphalt plants open for the 2018 construction season. The Chicago Department of Transportation and the Department of Water Management are leading the project and plan to resurface at least 275 miles by the end of the year.
Since 2011, more than 1,850 miles of streets and alleyways have been resurfaced (that’s out of the city’s 4,600 miles of roadways).
If these numbers are roughly consistent on a yearly basis, it would take 17 years to resurface everything. On the city’s page for Streets, Alleys, and Sidewalks, there is no description of how long an overall cycle might take. But, there might be some mitigating factors affecting which roadways are addressed: particularly bad pothole seasons that cause damage and draw attention and roads that are used much more than others.
And while residents may not be fond of all of this construction, roadways are a constant work in progress. Given the American emphasis on driving, they get a lot of use for commuting, trips within the community, and delivering goods and services. Poor roads do not look good for the local government and could impede activity. Residents can get unhappy pretty quickly if they feel their tax dollars are not leading to good roadways. Yet, if people truly do not want construction, they should really consider driving less and helping to create places with less driving so that the roads last longer.
The recovery from the housing bubble and Great Recession of the late 2000s continues in the construction industry:
For all of 2017, construction added 210,000 jobs, a 35 percent increase over 2016.
Construction spending is also soaring, rising more than expected in November to a record $1.257 trillion, according to the Commerce Department. That was up 2.4 percent annually. Spending increased across all sectors of real estate, commercial and residential, with particular strength in private construction projects. The only weakness was in government construction spending.
Construction firms are clearly looking to hire more workers. Three-quarters of them said they plan to increase payrolls in 2018, according to a new survey from the Associated General Contractors of America. Industry optimism for all types of construction, measured by the ratio of those who expected the market to expand versus those who expected it to contract, hit a record high…
Contractors are most optimistic about construction in the office market, which has seen little action since the recession. Transportation, retail, warehouse and lodging were also strong in the survey. Respondents were less encouraged by the multifamily apartment sector, which is just coming off a building boom.
Although this article does not say much about this topic, it would not surprise me if most of the gains in new structures in 2018 tend to go to (1) wealthier areas and (2) wealthier occupants (whether companies/organizations or residents). A thriving construction sector could theoretically float all boats but it sounds like the bifurcated housing market (and perhaps office and commercial as well) will continue.
It is interesting to see that the office market could see some significant construction. How much of that new office space comes at the expense of older structures that are less desirable because of less popular locations or because rehab costs would be too high?