December 2024
Putting up rental buildings has become more enticing than condo buildings since November 2018 when rent controls were eliminated for new rental construction. These newer buildings are designed to compete with what is provided in a luxury condo building.
Newer rental buildings with all the amenities and features of luxury condominiums offer an enticing alternative to renting a condo.
For renters, purpose-built rentals can be more appealing than a condo building where a landlord can reclaim the unit for their personal use or fail to maintain it. Purpose-built rental buildings can offer more resident services and superior management not controlled by a volunteer condo board.
Purpose-built rental amenities are more likely to include outdoor terraces, co-working spaces, dining rooms and media rooms with movie nights all of which help build a sense of community. They include staffing to address in-unit problems that can take longer to resolve with a condo-landlord.
Condo units for rent competing against superior purpose-built rentals are more likely to command lower rents.