So the problem is really that regulations have constrained the supply of housing to the point that rents are set as high as people can afford, rather than at the price of replacement.
If there's only 100 units in a car-less block and 500 ppl that want them, what could be done if you've reached the limit of what can be built?
I guess you could go up, making sky scrapers... but now I have to admit I'm out of my element. Not sure if that's viable.