This dissertation aims to evaluate the potential of high-rise residential real estate to provide affordable housing in urban areas as a response to the growing population. The city of Vancouver was selected as a case study. Beginning with an analysis of Vancouver’s housing market, three important factors that mainly influence success or failure of new high-rise residential real estate were identified and their validity reviewed. The results indicate that in order for high-rise residential real estate to be a part of the solution to overcome housing shortages, it must be supported by a clear set of policies and a framework that assures an adequate supply of affordable units. The needs of the local population need to be considered appropriately (suitability), and a certain level of liveability needs to be retained to avoid overcrowded or underused urban areas.
The populations of urban areas are expected to grow over the coming decades. Consequently, if demand exceeds supply, housing costs are likely to rise, and the portion of disposable income that needs to be spent on housing will rise.
Table of Contents
1. Introduction
1.1. Background
1.2. Research focus
1.3. Aims and objectives
1.4. Research overview
2. Literature Review
2.1. Introduction
2.2. The history of high-rise residential real estate
2.3. Distinction between high-rise and high-density
2.4. Economic factors of high-rise residential real estate
2.4.1. Construction costs: the correlation between construction costs and height
2.4.2. Maintenance and operational costs
2.5. Inadequate consideration for the needs of the local population
2.6. Liveability and Vancouverism
2.7. The role of government policies and regulations
2.8. Conclusion
3. Research Methodology
3.1. Introduction
3.2. Methodology
3.3. Data Analysis
3.4. Data Collection
4. Analysis
4.1. Introduction
4.2. City of Vancouver, British Columbia
4.2.1. Basic information
4.2.2. Demographics
4.2.3. Economy
4.2.4. The housing market of Vancouver
4.2.5. Housing Vancouver Strategy
4.2.6. Vancouver’s building policies and regulations
4.3. Findings
4.3.1. Introduction
4.3.2. New housing constructions in Vancouver
4.3.3. Affordability
4.3.5. Suitability
4.3.5. Liveability
5. Conclusion
5.1. Summary of findings
5.2. Limitations
5.3. Recommendations
5.4. Personal reflection on high-rise residential real estate
Research Goals and Themes
The primary research goal is to evaluate whether high-rise residential real estate can effectively address housing shortages by increasing supply while remaining affordable and suitable for the local population. The study focuses on balancing real estate development with government policy to avoid negative urban outcomes.
- Impact of high-rise construction on housing supply
- Economic viability and costs of high-rise development
- Suitability of high-density housing for various household types
- Role of government policy in regulating speculative investment and ensuring affordable living
Excerpt from the Book
2.4.1. Construction costs: the correlation between construction costs and height
There are constraints when analysing the construction costs of any real estate, whether low-, medium- or high-rise, because all real estate (land and property) is unique in terms of size, location, on-site specifics, interiors or exteriors. Nevertheless, some observations have been made over the last decades regarding the correlation between construction costs and height.
Early research concluded that two-storey buildings are the cheapest to build (Nisbet, 1961). Bathurst and Butler (1980) postulated that the cost of a building (per sqm) increases with additional storeys. The general assumption was that there is a linear relationship between height and cost, known as the ‘linear relationship theory’ (Picken and Ilozor, 2015). Flanagan and Norman (1978) were among the early researchers who questioned the linear relationship theory and identified four categories of cost (per sqm) regarding the construction of residential real estate in connection with height.
1. Costs that fall as height increases (e.g. roof)
2. Costs that rise as height increases (e.g. lifts)
3. Costs that do not change with height (e.g. floor finishes and internal doors)
4. Costs that will fall initially, but rise when height increases (e.g. external cladding)
Flanagan and Norman (1978) postulated the theory of a U-shaped curve and compared their model with available UK data. The comparison confirmed their theory. Initially, the overall costs will fall, but factors such as height will cause them to rise at some point. In the study, the rise usually began after five or six storeys.
Summary of Chapters
1. Introduction: Introduces the global housing shortage context and defines the research scope regarding high-rise residential buildings.
2. Literature Review: Synthesizes existing research on the historical context, economic principles, and liveability factors associated with high-rise developments.
3. Research Methodology: Details the choice of a case study approach, focusing on 15 specific developments in Vancouver to verify theoretical assumptions.
4. Analysis: Examines specific Vancouver housing market data, building policies, and criteria like affordability and suitability for the local population.
5. Conclusion: Summarizes that while high-rise development can address housing shortages, it requires strict government policies to ensure it remains inclusive and avoids gentrification.
Keywords
High-rise, residential real estate, affordability, housing shortage, Vancouver, urban planning, sustainability, liveability, construction costs, government policy, housing market, gentrification, density, strata units, speculative investment
Frequently Asked Questions
What is the core issue addressed in this dissertation?
The research investigates how high-rise residential real estate can alleviate global housing shortages while addressing potential issues like high construction costs and gentrification.
What are the primary thematic fields of this study?
The study centers on urban planning, the economics of vertical residential construction, government housing strategies, and the demographic needs of urban populations.
What is the main research objective?
The goal is to analyze whether current high-rise developments in Vancouver effectively meet the needs of the local population in terms of supply, affordability, and suitability.
Which scientific methodology is implemented?
The research uses a qualitative case study approach, evaluating 15 specific developments in Vancouver to compare theoretical models against empirical data.
What core topics are covered in the main section?
The main section covers the history of high-rise building, economic factors of construction and maintenance, the role of government regulations, and a critical analysis of Vancouver’s housing market.
Which keywords characterize the work?
The work is characterized by terms such as high-rise, affordability, housing strategy, urban planning, Vancouverism, and sustainable development.
How does Vancouver's housing market specifically influence the analysis?
Vancouver serves as a case study due to its extensive high-rise history and its proactive (though struggling) efforts to maintain affordability through specific policies like the Empty Homes Tax.
What are the unique conclusions regarding building amenities?
The author concludes that while amenities like gyms and wine tasting rooms are attractive, they contribute to higher maintenance fees and premiums, potentially alienating parts of the lower-income population.
- Citation du texte
- Lars Poggensee (Auteur), 2022, Key Factors for new High-Rise Residential Real Estate. A Case Study of Vancouver, Munich, GRIN Verlag, https://www.grin.com/document/1246549
