There isn't a shortage of 3500 sq.ft. single family homes in suburban or rural areas in the way that there is a shortage of apartments/condos in high-rent urban areas. There isn't much opposition to this kind of new development. The major limiting factor for demand for this type of development is commute times (to everything, not just jobs). This is not the first choice of many people who would prefer to live closer to an urban center if not for higher prices caused by low supply of housing in such high-demand locations.