X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Rising construction costs are the biggest challenge for all developers, but for affordable developers, it can be a crippling one. In fact, the increased construction costs are one of an amalgam of reasons that the affordable housing supply is shrinking. However, there are solutions. Partnering with an established affordable builder is one of the essential ways that developers get costs under control, along with pre-construction planning to stay on schedule and work out potential cost-increasing issues before they happen.

“Affordable housing projects face several inherent challenges to completion, especially in California,” Richard Lara, president and CEO of RAAM Construction, tells GlobeSt.com. “Among these challenges are rising construction costs and scarcity of quality labor, which, while they don’t exclusively affect affordable development, these challenges do hit the affordable sector especially hard.”

Kelsi Maree Borland

Kelsi Maree Borland is a freelance writer and editor living in Los Angeles whose work has appeared in such publications as Travel + Leisure, Angeleno and Los Angeles Magazine.

More from this author

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.