California is grappling with ambitious proposals to construct entirely new cities, spurred by a persistent housing shortage and a desire to circumvent the constraints often imposed on urban development within existing municipalities. Projects include a planned city of 400,000 people an hour north of San Francisco and another proposed urban center in Sonoma County, envisioned for land previously designated for a golf course and single-family homes.
The Debate Over New Cities
The concept of building cities from scratch isn’t unique to California; nations like Egypt and Saudi Arabia are also undertaking similar projects. However, these efforts have faced criticism, often centered on concerns about financial waste or a disregard for existing, overcrowded urban centers. Similar concerns have been raised regarding the California proposals, with some labeling them unrealistic or overly utopian.
A key factor influencing this debate is California’s population trend, which has plateaued and may even decline due to stricter immigration policies and slowing birth rates.
Economic Perspectives
Economists are divided on the necessity of new cities. Caroline Freund of UC San Diego argues that new cities are costly and require extensive coordination, suggesting the state should focus on improving the investment climate for existing businesses and housing. Conversely, David Ely of San Diego State University believes new cities can foster economic growth, but only if infrastructure is feasible and businesses are willing to locate there.
Ray Major, an economist, cautions that investment in new cities would be a “boondoggle” given projected population declines, while Alan Gin of the University of San Diego points to the lack of affordable housing and the challenges of overcoming “NIMBYism” in existing cities as reasons to consider new, transit-oriented developments. James Hamilton of UC San Diego welcomes new approaches to affordable housing, even if the success of a new city isn’t guaranteed.
Kelly Cunningham of the San Diego Institute for Economic Research contends that California already possesses the infrastructure to support additional housing, but political obstacles prevent its implementation. Norm Miller of the University of San Diego suggests that holistically planned new cities, similar to Irvine, may be preferable to attempting to add density to existing urban areas, though financing such projects remains a challenge.
Executive Opinions
Executives also offer varied perspectives. Chris Van Gorder of Scripps Health sees potential in creating new cities with adequate infrastructure, while Jamie Moraga of Franklin Revere argues for strengthening existing cities and addressing the root causes of population decline, such as high costs and an unfriendly business climate. Phil Blair of Manpower expresses skepticism about attracting businesses to isolated new developments.
Gary London of London Moeder Advisors suggests focusing on master-planned communities on the edges of metropolitan areas, while Bob Rauch of R.A. Rauch & Associates believes California needs its existing cities to “act like new ones” by embracing density and streamlining permitting. Austin Neudecker of Weave Growth believes new urban centers could bypass existing constraints, but must prove economic viability and deliver housing quickly.
Frequently Asked Questions
What is driving the proposals for new cities in California?
A persistent housing undersupply and a desire to avoid the obstacles often encountered when attempting urban development within existing cities are driving the proposals.
Are there examples of new cities being built elsewhere?
Yes, several nations, including Egypt and Saudi Arabia, are currently in the process of building new cities.
What are some of the criticisms of building new cities?
Criticisms include concerns about financial waste, ignoring existing overpopulated capitals, and the projects being too utopian or unrealistic.
Given the complex challenges and differing opinions, will California move forward with building new cities remains to be seen. What role should state and local governments play in addressing California’s housing needs and fostering economic growth?
