@Robert Quiroz I think all of the factors you have listed might contribute.So I’m not going to comment on that but I am going to comment on an assumption you made.If 85% of rents are below market on deals you underwrite then those contract rents are probably THE market rent.You can’t just go based upon area median income to rent ratio.First off urban areas are oftentimes street by street, block by block.

No off-street parking = not worth doing MTR unless it meets all of the following: super urban area where no parking is the norm, highly desirable area with a ton of MTR demand, super safe part of the city, and has great public transportation (think NYC, Hoboken NJ, etc.)Unless it meets all of the criteria above, I pass on those opportunities because my MTR will be eliminating the many people that travel with their vehicles.

Now this can be done in Urban areas as well.. those in the Know can find these hidden lots and there is some big money to be made at this.

I think that urban office still has a lot more pain to go through, but I wonder if many people will want to get out of the house to work in the next few years, but not have to commute through to downtown.

A more urban market doesn’t always mean the best returns.

In general, Kansas is more of a bedroom community and Missouri has arts, culture, and dense urban areas.

West Texas landowners have overwhelming said that they will not sell their land for urban development nor for any solar/wind farms.

There could be opportunity for urban in-fill with tiny homes, and I know several folks researching that possibility.

I'm not sure how that would work, but I am guessing that another factory housing type would be better for urban housing.  

If you think of it, all of our society is full of scam and hypocrisy.