Sure.

And that’s where luxury condos and apartments come in.

There is no scenario where building for less than luxury returns makes sense in these areas. Renting a set square footage for 1500 makes no sense when I can rent the same square footage for 3200.

And that’s at the bottom end.

i find the word 'luxury' not very useful in these discussions. they wouldn't be luxury compared to a SFH in the same area, they would be lowering price.

> Renting a set square footage for 1500 makes no sense when I can rent the same square footage for 3200.

uhhh, except for location?