Source: ReCODE · with Canay Atalay
The framing shift from real estate to hosting capacity reorients how cities should measure value—moving from transactional asset pricing to systemic resilience under climate, demographic, and infrastructure stress. Zoning boards, developers, and municipal planners still optimize for real estate returns rather than whether neighborhoods can actually sustain water systems, cooling infrastructure, and population density as climate extremes intensify. Adopting hosting capacity as the unit of analysis would force immediate reckonings with overbuilt suburbs, underserviced urban cores, and the capital misallocation baked into current development patterns.