Wednesday, March 24, 2004

State Housing Costs More Than Private

The Heartland Institute mentions a study that says the state-subsidized housing in California is more expensive than the private sector. The study says this occurs because:

higher design standards, to “blend in and temper neighborhood opposition to lower-income projects.”

longer turnaround times, because “nonprofit developers spend [more time] chasing other financial sources to put deals together.”

state laws, especially those that “require the highest prevailing union wages on projects built with public funds.”

It sounds like anachronistic New Deal era prevailing wage laws are the main culprits.