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by JumpCrisscross 655 days ago
> Land acquisition costs were so high that it precludes building anything that can offer that <USD3000 a month price tag

"The median time for securing approval to build in San Francisco is 627 days" [1]. Land-development loans cost between 8 and 12% [2]. The financing cost alone of that delay thus adds 15 to 20% to the cost of any housing in San Francisco. At the median.

Add the risk of not getting approved and the cost of the lawyers and lobbyists and I wouldn't be surprised if these officials bump real estate costs by 50%.

[1] https://www.sfchronicle.com/opinion/openforum/article/sf-hou...

[2] https://eyeonhousing.org/2023/05/rates-on-development-and-co...