economy
Rhode Island's $52 Million Housing Blunder
Rhode Island has spent an eye-popping $52.2 million to produce 200 rental units since voters approved a $120 million housing bond in November 2024, a local nonprofit research organization has revealed.
TL;DR
- Rhode Island spent $52.2 million for 200 rental units, with development costs almost 50% higher than private sector.
- Since 2021, Rhode Island has invested $522 million and is projected to produce only 2,207 affordable units, far short of the deficit.
- Chicago invested $300 million for 798 new units and preservation of 425, but has only produced 505 affordable units under Mayor Johnson's administration.
- California's low-income housing costs $662 per square foot to develop, 1.5 times the market rate.
- Affordable housing projects often require numerous funding sources, extending timelines and increasing costs.
- Government-financed projects are burdened by policy priorities like labor requirements and climate policy, inflating costs.
- New York City's $22 billion housing plan includes high wage requirements for contracted developers.
- Rhode Island requires EV charging stations for housing for the homeless and disabled.
- Bureaucratic roadblocks and ordinances hinder new developments in Chicago.
- A simpler, faster, and cheaper housing policy that removes construction barriers is advocated.