The Real Deal Los Angeles

LA County housing supply growth still lags national rate: report

LA's new housing supply grew by 0.47% last year, compared to the national rate of 0.68%
May 30, 2017 08:30AM

Home under construction near the West side (Credit: Getty)

The rate of Los Angeles housing growth falls significantly behind the national average, according to a new analysis of census data.

Housing units from new construction increased by only 0.47 percent, or by 16,600 new units, in L.A. County in 2016. That’s compared to a 0.68 percent average nationwide increase.

Overall, Southern California lagged behind the national average, with a 0.53 percent growth rate, according to the analysis by the Pasadena Star-News. And California ranked 29th out of the 50 states in terms of housing growth.

While it’s still falling behind, L.A.’s housing growth is speeding up.  The 2016 numbers are an improvement over the growth registered between 2010 and 2015, which penciled out to just 0.33 percent.

The city’s lawmakers are exploring incentives for builders to create more housing supply — especially affordable units. Mayor Eric Garcetti has stated his intention to add 100,000 new units to the market by 2021 by updating the city’s 35 community plans in order to upzone for more construction. [PSN]Cathaleen Chen