Why the tulsas real estate boom has gone bust
A boom in real estate sales is a key driver of the market’s recent price gains, but the trend has already led to another crisis.
In January, a major sale of condominiums in the area’s most expensive district was halted after a fire gutted an office building that had been occupied for the past four years.
The city’s emergency manager said the collapse of the office building was due to “the failure of a boiler system” that failed.
“It was a very high risk project,” the city’s public works director, Bill Fong, told the local television station.
“I’m pretty confident that it will be repaired, but there’s not going to be a quick fix.”
In a report released on Tuesday, the federal government said the city of Tulsa had been the biggest seller of new real estate during the first seven months of 2017, and that it was selling at a loss of $3.9bn (£2.4bn).
“Real estate sales are a key component of the economic and economic development of our community,” the report said.
“A robust, vibrant and competitive market can be a critical driver of economic growth, employment and economic vitality for our citizens.”
Unfortunately, the current downturn has impacted on the overall economic health of our economy.
“The city’s real estate market has been driven by rising house prices, which have increased more than 30 per cent in the past year, according to real estate firm Jones Lang LaSalle.
It said that while some of the new homes sold during that period were for the very rich, others were priced to attract younger buyers.
The city has a population of around 10.3 million people, according the census, but a record number of them are living in apartments, a large portion of them on the outskirts of the city.
The number of people renting homes in the city has also increased, from 590,000 in the year ending March 2017 to 714,000 the year before.
In February, the local authority’s chief executive, Mike Gorman, said he was working to reduce rents in the suburbs by as much as 40 per cent, and by 2040 the city could see a rent reduction of up to 90 per cent.”
Follow Al Jazeera’s coverage of the crisis:In February 2017, TULA announced it would increase the rental rate for some older people to $800 a week, from $500. “
The problem is not just a local problem.”
Follow Al Jazeera’s coverage of the crisis:In February 2017, TULA announced it would increase the rental rate for some older people to $800 a week, from $500.
In January, the city said it had agreed to reduce its rate of growth in the coming years, and to keep it at 1.5 per cent of population growth.
In April, the state of Georgia, which includes TULS, raised its rent to $3,200 a month for properties worth more than $1m, from a previous level of $1,000.
The federal government has warned that the city and the region could face an influx of migrants as the economy slows and job losses and unemployment rise.
A government spokesman told the Associated Press news agency that a similar increase in rents in some of TURSs poorest districts was possible.
“We’ve seen a very, very significant increase in the prices of properties that are in the most disadvantaged areas of the TULAS economy, and these prices have been exacerbated by the influx of international migrants,” he added.
“They’re taking a significant bite out of the local economy.”
Tulsa has struggled to manage the influx and has been hit by the Zika virus, which has infected more than 1,000 people in the US.