Many new homes and other large-scale developments are planned for central Massachusetts. There’s also plenty of commentary on out-of-control rent prices, homelessness, and the impact of all types of new development on existing infrastructure. Real estate remains the region’s economic engine, so we expect the debate over the impact of growth to intensify in 2024.
Slowdown in housing construction
It would be hard to find an expert who believes that the factors driving construction costs will suddenly disappear next year. There is no lack of housing need, but if the financial numbers don’t make sense, we shouldn’t expect developers to keep building housing. Until costs come down, more builders will hit the pause button or scale back existing plans.
Community Preservation Act
Next year will be the first year that Worcester property owners will have the 1.5% Community Preservation Act surcharge included in their taxes. Funds from the levy, which will be passed by voters in 2022, are intended to protect historic buildings as well as support initiatives such as building community housing and new parks. Expect much debate over the use of these funds, as other Central Massachusetts municipalities considering their own CPAs are also watching closely.
Alternative uses for large retail stores
In the age of online shopping, more businesses are abandoning their big-box retail stores, and landlords are having to get creative to fill those spaces. Don’t be surprised to see more news about pickleball facilities and other unique businesses filling spaces that once housed big brands.
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