Part 6/9:
The economic climate of the late 1980s saw housing production surging, with the market expanding to target middle-class buyers, leading to a frenzy of construction projects and rising land prices. In a few short years, land costs escalated sharply, driving speculation across the industry. Private developers increasingly constructed lower-priced units aimed at a much broader buyer demographic, marking a pivotal shift in the market.
However, the industry soon became fragmented, populated by inexperienced developers rushing into speculative investments. Many of the homes constructed during this period, particularly low-cost condominiums, were either unoccupied or flipped to simply reap profits, contributing to escalating vacancy rates.