Luxury condos are popping up around downtown and the city is trying to ensure housing for low-income residents by charging developers and funding new units. So far, so good. The problem is that the added fees, on top of rising construction costs, make building mid-priced rentals uneconomical.
City councilmembers who enjoy challenging the mayor for his development-friendly agenda push for higher fees on developers as an expedient way to fund more infrastructure. But even they admit they didn't see this unintended consequence on mid-income housing.
Why not come up with a new system that looks at development wholistically instead of parcel by parcel? What if the city created a system that levied development fees based on the amenities they plan and the market they plan to serve? Either way, it's clear that Seattle needs flexibility in its housing market if it is going to grow into a diverse community like its Cascadia neighbors Vancouver and Portland.