Get enough luxury apartments in an area and all of a sudden the neighborhood becomes a lot more attractive to people with money. This puts pressure on landlords to renovate their buildings to cater to the new customers (and charge a lot more). Even with rent controls in place, there are loopholes to be exploited.
Get enough luxury apartments in an area and all of a sudden the neighborhood becomes a lot more attractive to people with money. This puts pressure on landlords to renovate their buildings to cater to the new customers (and charge a lot more). Even with rent controls in place, there are loopholes to be exploited.