The Limits of the Singapore Housing Model

In 2015, urban studies professor Anne Haila published a book on Singapore’s land ownership and housing system called Urban Land Rent: Singapore as a Property State. The Singapore housing model has recently been getting some attention for its widespread homeownership and affordability relative to high-cost coastal cities in the United States. Both Haila and, recently, writers at Bloomberg and CityLab approach Singapore uncritically. And Singapore’s housing market does offer some key lessons to the United States. But unlike the story Haila and some other U.S. commentators have told, it has its downsides. Singapore’s housing market works much better for households near the middle of its income distribution relative to the highest-cost U.S. regions, but provides severely inadequate housing for its low-income migrant workers. The Mechanics of Singapore’s Public Housing In Singapore, 90% of the land is government-owned, and about 80% of citizens and legal residents live in owner-occupied public housing on leased land. Extensive government landholdings and a leasehold system date back to the country’s colonial era. Following Singaporean independence in 1965, the People’s Action Party, which has been in power ever since, has expanded state land holdings. At independence, about 50% of Singapore was government-owned, reaching its current level of holdings in 2002. Government land ownership has been accomplished through eminent domain along with land reclamation, which has increased the size of the island by a quarter. Government land is auctioned for housing and other types of development primarily as 99-year leases. The Housing and Development Board (HDB), a government agency, builds the majority of new housing, but some higher-end housing is privately developed. The HDB and private developers compete for land at auctions, and both pay market prices for it. Unlike the U.S. public housing system under which units remain government-owned and are leased to low-income tenants, Singapore’s […]

The “Renters Are Evil” Argument For Zoning

Charles Marohn’s recent article in The American Conservative on the evils of single-family zoning received over 200 comments. The most provocative responses were the ones forthrightly defending exclusion, on the grounds that renters are dangerous and must be excluded at all costs.  For example, one person wrote:  “People of all races also have a right to escape from uncivil society… Renters are entirely different in their outlook and practices than home owners in how one regards their neighborhood. For one it transactional, for the other its their dream and investment.”  In other words, homeowners are better citizens, and thus must be protected from disorderly renters.  What’s wrong with this argument? If you really believe homeowners are better citizens, you would want homeownership to be as cheap as possible, so that more people could become homeowners. For example, you would be positively eager to have small, cheap houses in homeowner zones, or even for-sale condos. But homeowners have a financial incentive to do the opposite: to make home ownership as scarce and expensive as possible, so they can sell their house for as much money as possible (or to use a common euphemism, to “build wealth”).  And they usually favor zoning policies that do exactly that- that is, by excluding smaller, cheaper-to-build houses, inflate home prices and make homeownership unaffordable for many people. In other words, government can encourage home ownership as a source of alleged good citizenship, and can try to make home ownership a source of vast wealth- but it can’t do both. In the United States (and especially on the coasts) local government has chosen the latter path.

Review: The Urban Mystique, by Josh Stephens

This book, available from solimarbooks.com, is a set of very short essays (averaging about three to five pages) on topics related to urban planning. Like me, Stephens generally values walkable cities and favors more new housing in cities. So naturally I am predisposed to like this book. But there are other urbanist and market books on the market. What makes this one unique? First, it focuses on Southern California, rather than taking a nationwide or worldwide perspective (though Stephens does have a few essays about other cities). Second, the book’s short-essay format means that one does not have to read a huge amount of text to understand his arguments. Because the book is a group of short essays, it doesn’t have one long argument. However, a few of the more interesting essays address: The negative side effects of liquor license regulation. Stephens writes that the Los Angeles zoning process gives homeowners effective veto power over new bars. As a result, the neighborhood near UCLA has no bars, which in turn causes UCLA students go to other neighborhoods to drink, elevating the risk to the public from drunk driving. The Brooklyn Dodgers’ move to Los Angeles; Los Angeles facilitated the transfer by giving land to the Dodgers- but only after a referendum passed with support from African-American and Latino neighborhoods. On the other hand, the construction of Dodger Stadium displaced a Latino community. To me, this story illustrates that arguments about “equity” can be simplistic. Los Angeles Latinos were both more likely than suburban whites to support Dodger Stadium, yet were more likely to be displaced by that stadium. So was having a stadium more equitable or less equitable than having no stadium? (On the other hand, a stadium that displaced no one might have been more equitable than either outcome). […]

More on Subways and COVID-19

After reading an article suggesting that New York’s subways seeded COVID-19, Salim Furth’s response to that article on this blog, and one or two other pieces, I decided to write a more scholarly piece summarizing the various arguments. The piece is at https://works.bepress.com/lewyn/196/ For those of who you don’t feel like downloading the full paper, here’s a summary: Jeffrey Harris of MIT (whose article seeded this controversy) wrote that COVID-19 infections rose most rapidly before subway ridership began to decline; this alone, of course, is not a strong argument because as subway ridership declined, many other crowded places (such as restaurants) were also shutting down. Harris also notes that infections rose more slowly in Manhattan, where ridership declined most rapidly. However, a majority of the city’s jobs are in Manhattan. Thus, Manhattan’s lower subway ridership may have been a reflection not of changed behavior by Manhattan residents, but of the citywide loss of jobs as non-Manhattanites stopped riding the subway to Manhattan jobs. Furthermore, Alon Levy writes that ridership did not decline as rapidly in residential parts of Manhattan (which nevertheless have low infection rates). Levy also asserts that Harris’s reliance on data from subway entrances is misleading in one technical but important respect.  If a Manhattan stops riding the subway to a Manhattan job, this means there are two fewer subway entries for that person.  On the other hand, if a Queens resident stops riding the subway to a Manhattan job, this means there is one fewer Queens entry and one fewer Manhattan entry.[  Why does this matter?  Suppose that on March 1, there were 100 Manhattan-to-Manhattan commuters and 100 Queens-to-Manhattan commuters, and a week later 30 of each group stop riding the subway.  Because there were 90 fewer entries at Manhattan stations (60 from the first group and […]

The “everybody left Manhattan” argument (updated 5-15 to reflect recent data)

The COVID-19 epidemic has led to a lot of argument about the role of urban form; defenders of the Sprawl Faith argue that New York’s high infection and fatality rate is proof that transit and density are bad, bad, bad. On the other hand, urbanists point out that within the New York metro area, there is no correlation between transit use and COVID-19. Manhattan is the most dense and transit-oriented part of the metro area, and yet every outer borough, including car-dependent Staten Island, has higher death and infection rates. In fact, three suburban counties (Nassau, Rockland, and Westchester) are also worse off than Manhattan. Two more (Suffolk and Orange) have higher infection rates but slightly lower death rates. So it seems obvious that density and transit have been blamed a bit too much by some people. But this argument has led to a counterargument: that all the Manhattan statistics are useless because most Manhattanites are rich people who fled the city, so of course there are few records of Manhattan infections. This argument contains a grain of truth. In fact, more people did leave Manhattan than the outer boroughs: according to a New York Times story based oha few estimates based on monitoring smartphones, between 13 and 19 percent. But the gap between Manhattan and the outer boroughs is far greater. Currently, Manhattan’s COVID-19 death rate is 11.7 per 10,000 residents. By contrast, the Bronx’s death rate is 21.3 per 100,000- 82 percent higher. The Queens death rate is 20.6 per 100,000- 76 percent higher. Brooklyn’s death rate is 17.9- 53 percent higher. It could be argued that even if borough-wide data is still useful, neighborhood COVID-19 data is not, because some Manhattan neighborhoods lost far more than 20 percent of their population. For example, the neighborhood that has […]

Automobiles Seeded the Massive Coronavirus Epidemic in New York City

New York City is an epicenter of the global novel coronavirus pandemic. Through April 16, there were 1,458 confirmed cases per 100,000 residents in New York City. Always in the media eye, and larger than any other American city, New York City has become the symbol of the crisis, even as suburban counties nearby suffer higher rates of infection. In a paper dated April 13, 2020, Jeffrey E. Harris of M.I.T. claims that “New York City’s multitentacled subway system was a major disseminator – if not the principal transmission vehicle – of coronavirus infection during the initial takeoff of the massive epidemic.” Oddly, he does not go on to offer evidence in support of this claim in his paper. Conversely, as I will show, data show that local infections were negatively correlated with subway use, even when controlling for demographic data. Although this correlation study does not establish causation, it more reliably characterizes the spread of the virus than the intuitions and visual inspections that Harris relies on.  Data In an ongoing crisis with a shortage of tests, all infection and mortality data come with a major asterisk: we do not fully know the extent of the data. Only when all-cause mortality data and more-extensive testing data are available can any conclusions be confirmed. This study, like Harris’ and others, is subject to potentially massive measurement error. Data from the American Community Survey (2018 5-year averages) show that commuting modes vary extensively across New York City. New York is broken into Community Districts (CDs), which generally correspond (on either a one-to-one or two-to-one basis) with Census Public Use Microdata Areas (PUMAs). These 55 areas contain between 110,000 and 241,000 people each. The most car-dependent PUMA (Staten Island CD3) has a car-commute share of 75%; the least car-dependent PUMA is Manhattan […]

Do cities have too much public space?

My sense is that parks and similar forms of public space tend to be far less controversial than housing or industry. But an interesting paper by Israeli architecture professor Hillel Schocken suggests that a city can have too much public space. He begins by asking: why do cities exist? He writes that cities allow people to “widen contact with as many people as possible… The more people one came in contact with the more he increased his chances of finding a suitable mate or potential “business partners” with whom he might exchange goods.” Thus, cities need places where one can come into contract with people that one does not already know. He adds that “the more public space per person within a study area ­ the lower are the chances that people may enjoy mutual presence in public space. ” In other words, if most of the city is parkland or roads,your chances of actually meeting another person in the park is lower, since most of the parkland will be unoccupied at any given time. Schocken suggests that his view is supported by data: he studies four cities and the most pedestrian-friendly ones (Nice and a Brazilian favela) have relatively low amounts of public space per person, while Ashdod, Israel (which is more auto-oriented) has more, perhaps because more land is used for roads than in the other towns studied. He also studies Poundbury, a British new urbanist development which he thinks has far too much public space and is thus not as lively as it could be.

Are Dollar Stores Wiping Out Grocery Stores?

I had always thought dollar stores were a nice thing to have in an urban neighborhood, but recently they have become controversial. Some cities have tried to limit their growth, based on the theory that “they impede opportunities for grocery stores and other businesses to take root and grow.” This is supposedly a terrible thing because real grocery stores sell fresh vegetables and dollar stores don’t. In other words, anti-dollar store groups believe that people won’t buy nutritious food without state coercion, and that government must therefore drive competing providers of food out of business. Recently, I was at the train stop for Central Islip, Long Island, a low-income, heavily Hispanic community 40 miles from Manhattan. There is a Family Dollar almost across the street from the train stop, and guess what is right next to it, in the very same strip mall? You guessed it- a grocery store! * It seems to me that dollar stores and traditional grocery stores might actually be complementary, rather than competing uses. You can get a lot of non-food items and a few quick snacks at a dollar store, and then get a more varied food selection at the grocery next door. So it seems to me that the widespread villification of dollar stores may not be completely fact-based. Having said that, I’m not ready to say that my theory is right 100 percent of the time. Perhaps in a very small, isolated town (or its urban equivalent), there might be just enough buying power to support a grocery store or a dollar store, but not both. But I suspect that this is a pretty rare scenario in urban neighborhoods. *If you want to see what I saw, go on Google Street View to 54 and 58 E. Suffolk Avenue in Central Islip.

Even NIMBYs should be YIMBYs

Jeremiah Moss, a New York blogger, just wrote a long article complaining about the bad habits of his new neighbors in the East Village. I suspect many, if not most readers, of his article would think: maybe we need to zone out new housing to keep out the yuppies! But it seems to me that this conclusion would be wrong. Here’s why: new buildings in the East Village are generally more expensive than old buildings.* So I suspect that if yuppies are moving into old buildings like Moss’s, it is probably because they cannot afford newer buildings, or more affluent neighborhoods like Tribeca. It logically follows that if more new buildings were allowed in Moss’s neighborhood, he would have less affluent neighbors, which presumably would make him happier. *I searched listings at streeteasy.com, and found that of about 170 pre-war one-bedrooms, 77 of them (or 45 percent) rented for less than $3000 per month. By contrast, of the 32 postwar one-bedrooms in the East Village, only 3 rent for under $3000.