Mound Westonka Blog


Mound Minnesota on Lake Minnetonka             
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Development

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This entry was posted on 8/25/2007 3:00 PM and is filed under uncategorized.

From the Laker: "Unfortunately, this developer has taught the citizens of Minnetrista an important lesson about anti-growth activists, the misuse of regulation, private property rights and leadership." The above was written by Kory Banning of Minnetrista. He was writing about a developer's efforts to change the trailer park on County Road 110 west into typical residential housing.   Bigger image

I am reminded of what I'll call entry barriers. In Minnetrista, and to be fair other cities as well, city councils can make it difficult to get houses built. Regulations and established procedures do raise the cost of housing and as we can see locally, the housing that does eventually get built seems expensive. It is true that it's not just the city level of government that causes the problem. I've been told there can be over 5 separate divisions of government to make happy before one can start construction, and all this costs money that goes into the price of the final product.

This leads me to predict that Westonka's primary source of new housing, which is Minnetrista, will be in substance for the middle class and above. Will Minnetrista be the rich suburb of the central city Mound? Not likely since Mound with all its lake shore properties has its own upper middle class.

Minnetrista is (using a simple analysis), a small affluent market. With less government restrictions, it would be a bigger somewhat less affluent market. I think it's an example of government changing and influencing markets.

I wish the Council of Minnetrista well in dealing with their growth issues, and I suppose I'd like to see a few less imposed barriers effecting the market. 

In the recent Laker, BJ Johnson of Minnetrista responds to Banning: Johnson
 

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