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The Pros and Cons of Building High-Density Housing

The Pros and Cons of Building High-Density Housing

High-density housing basically refers to planned residential developments that can accommodate more than one home in an acre of land. You can look no further than apartment complexes and other types of multifamily developments that include recreational facilities and roads. 

As cities continue to expand beyond their borders, high-density housing will play an important role in the wholesale transformation of entire communities. And though it has its fair share of benefits, such developments still entail compelling risks.

Let’s take a look at the pros and cons of high-density housing.


1. Job growth
When high-density developments are pursued in places with robust economic growth, more companies will eventually invest in these places and provide jobs to the local workforce. Indeed, adding to the housing inventory of an emerging market can encourage companies to expand in an effort to extract local talents and skills.

2. Resurrected communities
Empty buildings and poorly maintained parks can get a major facelift through high-density housing. Property developers may consider repurposing or restoring worn down amenities and features. This will essentially make a neighborhood more livable, so much so that it is able to attract more residents and resurrect “dead” communities.

3. Increased property values
One important contribution that high-density housing provides is that it improves the median property prices within the same community. As the number of available living space increases, more people will choose to settle down in well-developed communities. Sure enough, an increase in demand will cause an upward surge in the value of nearby properties which, in turn, encourages more investments.

4. Better access to services
Gone will be the days in which you need to go on a daily commute just to get to school so you can check on your child as often as possible. Apparently, we can’t say the same for high-density developments. Sure enough, every amenity is in close proximity with one another. Everything has been carefully planned out to provide the utmost ease and comfort for residents and their families.

5. Lifestyle-centric experiences
High-density housing provides ample space for residents to explore and adopt new trends. What’s more, these developments can provide valuable creative spaces that can basically benefit from the inclusion of cultural and recreational facilities such as a farmer’s market. 


1. Gentrified neighborhoods
No doubt, much of the criticism against high-density housing is revolves around gentrification. As property developers make improvements in poor sectors, housing prices and rent increase significantly. This takes a toll on low-income earners who will have to move out in search of more affordable housing elsewhere.

2. Overcrowding
While it’s great that high-density housing is able to attract more investors, the result of this would be high congestion. Unless the local government is able to update its zoning and urban planning policies, investments will have the tendency to spill over to adjacent cities and towns.

3. Impact on affordability
The development of high-density housing will drive out affordable homes. Especially if the community is being remodeled as a lifestyle center, people will have to cope with the high prices or leave altogether.

4. Environmental concerns
High-density developments can result in unwanted environmental concerns in such areas as waste management and reclamation. Developers will have to assess the overall feasibility and impact that such projects have on local ecosystems. Such high-density communities will have to ensure that their activities comply with international environmental standards and ordinances. 

5. Traffic congestion
As more people move into high-density developments, the traffic volume increases and results in greater congestion. This could be effectively addressed by providing more parking spaces and encouraging a more walkable environment for residents. 

At any rate, developers are faced with numerous challenges to creating healthy communities that attract the right residents. It will take a lot of research and on that note, we are always eager to help you out. Set a development consultation by giving us a call.



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