In the first half of 2022, activity noticeably advanced, but ground-up development has slowed as developers proceed with more caution. That should help lower labor costs and balance out interest rates, he explains.

“That said, demand for housing and hospitality projects will continue through this period and in the long term, and now is a good time for investment,” Chang says. 

In fact, hospitality rates are at an all-time high, which is instilling confidence that the overall market will remain strong beyond current conditions, he says.
Lowney Architecture is currently working on three ground-up hotel projects that Chang says will provide long-term value. 

The company is also working on 201H affordable housing projects that allow for development variances in exchange for bringing critically needed affordable inventory to market.