With Toll Brothers profits up, are McMansions on the comeback?

Marketplace suggests McMansions may make a comeback. Here is some of the evidence:

This hour, the luxury home-builder Toll Brothers said profits in the latest quarter jumped 46 percent over last year. The CEO says he sees recovery across most of the country…

The [New Hampshire] builder says there’s a real difference between what his clients want pre- and post-recession. Before it was family homes — three-, four-car garages…

Spain: And I think today people are more or less getting back to basics. They are just looking to downsize. Single-floor living. And then have moderate finishes to fit their budgets.

It may be back to basics for Spain’s customers, but Fred Cooper with Toll Brothers, one of the nation’s top builders, says that’s not what their clients want.

Fred Cooper: While initial buyers came in thinking maybe they wanted the lower-priced home, they ended up predominately buying the larger one. That’s what they want.

So we may see more McMansions, but Los Angeles architect Buzz Yudell says the funny thing is we won’t see as much of them.

It doesn’t appear clear-cut here. Toll Brothers may have more profits but perhaps this means they have effectively reached certain segments of the housing market. At the same time, the majority of builders might be scaling back a bit and building units for those who have smaller budgets.

This raises an interesting question: at what point could we truly say that McMansions have or haven’t officially made a comeback? Who gets to decide this? We’ve heard this before – see these two examples from earlier this year. A few signs we could look at:

1. Like this article does, the fate of luxury builders like Toll Brothers might be the deciding factor. Presumably, a majority of them would see profits. However, these factors could be the result of other factors like builders being more efficient.

2. The square footage of the average new home goes up. This figure did increase this year. However, Australia just passed us again.

3. Perhaps all it takes is public perception. If more people feel like McMansions are being built, this is enough.

3a. A problem with this: perceptions of what constitutes a McMansion could change in the future. In a recession, is a 2,500 square foot home, the size of an average new home now seen as bigger than ten years ago? Or perhaps bigger homes could be more green, thus reducing the stigma of being a McMansion.

Regardless of the options I laid out, I suspect the media will have a fun time debating the comeback and/or death of McMansions for a while now as the term is such a loaded time.

McMansions have marble floors, hardwood dominates elsewhere

In addition to their size, McMansions are often said to have other defining characteristics like granite countertops and stainless steel appliances. Here is another suggested defining feature: marble floors.

Solid hardwood is the residential flooring gold standard, unless you’re in a McMansion, where marble might rule. But in Tucson, where tile has been the class act for so long, increasingly hardwood floors have the look for high-end homes. And more modern products that capture the look of hardwood – engineered hardwoods, a hardwood veneer over high-density plyboard bases, and laminates (convincing photographic reproductions of hardwoods over high-density board) – are moving in on the traditional tile, polished concrete and carpet throughout the area.

Hardwoods – from oak, the most common, maple and hickory, to exotic tropical woods and our own rock hard mesquite – are enjoying a resurgence in custom homes.

I can’t say that I have seen too many McMansions featuring marble floors. When I think of marble floors, I think of the expansive foyers of mansions that might also feature things like winding staircases and ornate chandeliers.

Hardwood floors seem to dominate many housing forms today from urban lofts, condos, starter homes, and McMansions. I’m not quite sure why this is but here are a few possible reasons: it is relatively easy to maintain; it has a reasonable price point compared to other options; people really don’t like the look of carpet, particularly in important social areas like a kitchen, dining room, and foyer; there are some sustainable options (if you are willing to pay for it); and it is what homebuyers appear to want. I might also add that marble floors might be considered too pretentious compared to hardwood which is viewed as both durable and classy.

Australia retakes the lead for largest new homes in the world

In recent years, Australia and the United States have alternated having the largest new homes. New data suggests Australia has retaken the lead:

In any case, that Australian homes should be costly is not so surprising given the peculiarities of the domestic market.

The Australian dream requires you to own a detached house with a large garden, a land-hungry type of accommodation that makes up no less than 76 percent of all homes.

Three-quarters of all homes have three or more bedrooms, and almost a third have four or more. The average newly built home is now the largest of any country at 243 square meters (2,615 square feet), taking the McMansion mantle from the United States.

And, while it is one of the emptiest countries on the planet, it is also one of the most urbanized, with most of the population crowding the coast in just eight sprawling cities.

I wonder how much this has to do with something I suspect is at play in the United States: housing starts may be down but those that are being built are primarily aimed at the upper ends of the market toward people who haven’t been hit as hard by the recession.

It is interesting that this is buried in the final paragraphs of a story about the Australian housing market. The overall piece suggests that a country can have large homes without necessarily having an overextended housing market like we see in the United States. One complaint about McMansions in the United States is that they have ruined the housing market, pushing buyers and lenders to have bloated mortgages and generally corresponding with American habits of overspending and incurring debt. But it doesn’t have to be this way: the article tells of different mortgage patterns in Australia such as homeowners paying them off quicker and having a small amount of subprime loans. In other words, having a large home doesn’t have to be tied to the ideas of profligate spending if the system is set up in a different way.

83 year old Hamptons resident sues for demolition of McMansions in her neighborhood

The McMansion battles continue, this time in the Hamptons as an 83 year old resident takes on the newer big houses in her neighborhood:

Evelyn Konrad claims in a new federal lawsuit that her high-powered neighbors — many of them finance honchos — have turned her subdivision into an overcrowded “Queens by the sea” because of an improperly adopted zoning code.

The suit doesn’t seek money — it seeks demolition.

Undeterred by her wealthy opponents, the brassy Stanford law graduate once skewered the supersized digs as “multimillion-dollar penis enlargements,” in a letter to a local newspaper…

In addition to Southampton Village Mayor Mark Epley, the suit names a host of cash-flush neighbors, including former Merrill Lynch honcho Donald Quintin and Manhattan attorney Denis Guerin.

Not your typical octogenarian, the yoga-practicing, bikini-wearing former NBC business reporter said that her modest, 2,200-square-foot colonial, purchased in 1984, has been slowly encircled by ballooning buildings ever since a new zoning code was adopted in 2005…

Konrad has demanded a jury trial and will argue the case herself, thank you very much.

I wonder what a jury would do…

It sounds like the zoning change from 2005 that is really at issue. I have no idea how often zoning regulations are overturned in court but I suspect they are infrequently challenged and even more rarely overturned.

“What is it like to live in a rich McMansion suburban neighbourhood?”

A post on the site Quora asks this question: “What is it like to live in a rich McMansion suburban neighbourhood?”

Here is what critics might suggest:

1. The homeowners care much more about how their home looks or what it signifies about them rather than the quality of the home.

2. People have little social interaction as their well-appointed McMansions provide plenty of space for their entertainment and private needs.

3. Because the neighborhood is auto-dependent (this is true of many suburban neighborhoods, not just ones with McMansions), people rarely walk or could even walk anywhere interesting.

4. Residents have little interest in residential diversity as the relatively higher prices of McMansions price out a lot of potential residents.

5. Homeowners don’t care about environment as these homes waste energy, are unnecessary large, and are tied to sprawl.

Indeed, I wonder if there is anyone extolling the virtues of McMansion neighborhoods in books, movies, music, television, and art as I have discussed a number of examples of negative portrayals throughout the cultural sphere. I do doubt all children and adults in McMansion suburban neighborhoods are maladjusted sociopaths…

Innovation: four McMansions built on top of a Chinese mall

Here is one possible solution to running out of open land: build houses on top of other structures.

The Chinese city of Zhuzhou, the second largest in the province of Hunan, is being pressed under the tremendous pressure of growth. Home to many a manufactory and textile mill, residents are seeking new ways to live close to work while preserving the spaciousness of the countryside. Thus, these wonderful photos of McMansion-style housing atop a five-story shopping center in the central district of Zhuzhou.

The four houses are perched above the city, invisible to street-level action. They do not cast a shadow on the ground, and seem to exist solely in the rarefied world of smoggy skies, with scenic views into the apartments surrounding their airy enclave. Though the landscaping around the houses leaves something to be desired, the overall approach is one we’d like to see replicated on blank and bare urban roofscapes everywhere. Now that’s mixed-use development.

Think of the views!

Too bad we don’t have interviews with those who bought or live in these homes.

I know this looks unappealing and I’m sure there are some structural issues (like how do these homeowners get off the building) but on the other hand, why not? If space is at a premium, this is a solution…perhaps not the best but a solution for those who have to have such a home.

More on Twitter co-founder and his teardown vs. neighbors in San Francisco

I recently wrote about Twitter co-founder Evan Williams’ fight with his San Francisco neighbors over his proposed teardown McMansion. Here is more information about the story:

“We don’t want nouveau riches McMansions sprouting up all over our ridges,” one resident wrote to San Francisco’s Planning Department.

And here, at least, is one local example of the side-effect of a tech boom that the city has fought hard to fuel. San Francisco worked hard in particular to convince Twitter to keep its headquarters in town in hopes that it would amp up the tech scene north of Silicon Valley. Williams, who is 40, was Twitter’s CEO before stepping down in 2010 to support more tech startups…

The strife started after Williams and Lundberg Design, the design firm hired by Williams, contacted neighbors about the couple’s plans. A couple of longtime residents quickly began circulating a handwritten flyer around the neighborhood, decrying the “APPALLING” plan to demolish a “widely coveted, unique and historic (to most) house.”

“TEAR DOWN is NEEDLESS, WASTEFUL, POLLUTION, DISRESPECTFUL,” the flyer said in all caps. It asked people to send in one letter per person if possible because “volume counts.”…

Williams isn’t alone in his neighborhood woes. Other high tech moguls have run into opposition from neighbors, including late Apple CEO Steve Jobs, who was trying to demolish a Woodside property and rebuild as well, and Oracle CEO Larry Ellison, who sued his Pacific Heights neighbors last year for their overgrown trees. Ellison’s Pacific Heights residence was, coincidentally, designed by Lundberg Design.

Sounds quite contentious. The columnist suggests San Francisco might have to change a little if it wants to keep important firms; what if the Twitter co-founder threatened to move away, taking away tax revenue and jobs? Communities compete against each other by offering tax breaks or other incentives so couldn’t corporations and their leaders make stipulations about housing issues?

Argument: New England neighborhoods attract movies because they have character and don’t have McMansions

A columnist in Swampscott, Massachusetts argues New England neighborhoods have a sense of place, don’t have many McMansions, and therefore attract filmmakers:

If you’ve ever traveled outside New England, you begin to notice that most of the rest of the country looks a lot alike. Rapid development on a budget lends itself to a landscape of boxy stores in strip malls and cookie cutter homes. Some of these cookie cutter homes are “McMansions,” and very nice to live in, but even so their exteriors are unmemorable, duplicated a million times over.

New England—Swampscott—looks different.  Neighborhoods have personalities. The roads curve in unpredictable ways.  Houses don’t all look alike. I happen to like the intricate purple paint on a certain home on Paradise Road, but we all have our favorites…

Yet there is true value in this difference.  Part of the reason that Massachusetts has attracted so many movies is because of our location—place matters.  Grown-Ups 2 is here because Swampscott looks like a typical New England town, and New England is a good brand, a marketable brand.

And crucial to the New England brand is a community’s willingness to embrace its historic past, to pay attention to its older buildings, and to, in short, care about the way something looks. A quick drive through the Olmstead District will remind all of us how lucky we are that the Mudges had the foresight to hire someone so talented to lay it out, that the town pays to upkeep the greens, and that the homeowners in the area now take such pride in their property.

New England does indeed have its own style and character though plenty of other places in the United States have historic preservation districts that are intended to save older buildings.

There is an interesting implication here that McMansions developed in places with less character. This would be intriguing to track: did the term first arise in Sunbelt locations or in more historic communities that felt threatened by new, big, mass produced homes?

I also wonder how many movies actually do film in New England compared to other locations. According to the Massachusetts Film Office, five films are in production or have recently finished filming. Like many other places, Massachusetts offers incentives for filmmakers:

Massachusetts provides filmmakers with a highly competitive package of tax incentives: a 25% production credit, a 25% payroll credit, and a sales tax exemption.

Any project that spends more than $50,000 in Massachusetts qualifies for the payroll credit and sales tax exemption. Spending more than 50% of total budget or filming at least 50% of the principal photography days in Massachusetts makes the project eligible for the production credit.

Battle in Redlands, California over teardown McMansion

There is an involved public battle taking place in Redlands, California between one homeowner and his neighbors as the neighbors try to stop his proposed teardown:

Monte Vista Estates residents lost another round in their fight against a neighbor who plans to tear down his house and build a larger one that will block their views of the San Bernardino Valley and mountains…

Hunt and the neighbors referred to McMansions — a derogatory term for oversized luxury homes — while discussing Canada’s project. They said the house, though it meets city zoning requirements, would begin a major change in the ranch-style neighborhood as houses are remodeled to reclaim their views.

Hunt told Canada that she values the rights of property owners but said she did not understand why he would want a house so much taller. His existing house has one of the best views in the neighborhood, she said…

Biggs said allowing such a large home — neighbors estimate it at 3,800 square feet — in an older, established neighborhood goes against Redlands’ pattern of preserving historic homes and older neighborhoods.

“The impetus for the Historic and Scenic Resource ordinance was to prevent that kind of shift from what we have, which is so different from the rest of the world … to the McMansion approach where you build to the absolute limits of the zoning ordinance,” Biggs said.

Two interesting points here:

1. As I’ve noted before, when neighbors or opponents of a particular home want to drive home their point, using the term “McMansion” is quite effective. I can’t think of any other term for such a house that would be so effective as it ties the homeowner to all sorts of negative ideas such as bad taste and excess.

2. Biggs’ comment about “the McMansion approach” is revealing. Indeed, my study of the use of the word McMansion found of times when references to McMansions was really about something bigger and not just one way: a way of life involving sprawl or excessive consumption. Living a McMansion life might include (and these are examples of how the term McMansion was applied to other objects) having a large RV, building a large mausoleum or headstone in a cemetery, and eating ice cream at Cold Stone Creamery. In this point of view, McMansions may simply be emblematic of a negative American lifestyle.

The New York Times on a McMansion travel trailer

The comparisons have been made in the pages of the New York Times before but here is another example: the travel trailer compared to McMansion.

Yet the passing of the Opera hasn’t prevented other trailer companies from trying to break out of the box. Here are five other head-turning trailers…

JAYCO SEISMIC The innovation here is room. A virtual McMansion on wheels, the Seismic has its own garage at the rear, though that space — from 80 to 112 square feet, depending on the model — can be used instead as a spare bedroom or a workshop. The back wall can be swung down to do double duty as a patio.

Seismic prices range from $71,000 to $130,000.

A so-called fifth-wheel trailer, the Seismic is pulled by a pickup using a hitch similar to those used on semitrailers.

So an extra-large trailer is akin to a McMansion. Also, there are some hints here of another characteristic of McMansions that in the past has been used to tie trailers or RVs to McMansions: luxury or excessive consumption. Who exactly needs a Jayco Seismic trailer? Clearly, this trailer is only available to a certain (wealthy) crowd. However, it is unclear from this article whether there are more “refined” or “sophisticated” trailers that could still be large without getting labeled a McMansion.