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What'll end up happening is that when they run out of wealthier clientele to buy/rent those, those apartments will sit vacant and they'll have to lower prices, thereby opening them up to the middle class.

Companies will always chase the higher margin luxury market first before hitting the mid range and budget audience.

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> those apartments will sit vacant and they're have to lower prices

When leverage is involved there is a lag. (If your building requires X per square foot to pay the debt, you may hold out longer for someone who will pay X versus renting for 0.9X.) But that is temporary.

The luxury housing boom is doing that to New York. I just negotiated my rent down by comparing the recently-discounted rent at the luxury building down the street to ours, counting up the amenities, and making my case for moving to the landlord. Not wanting to lose a good tenant in November, they acceded.

Nope. That's not what's happening. Owners are perfectly happy to leave them empty.

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