Colombo brings up an interesting point. Gateway cities should be considered as international markets; that gives them a powerful safety net. NYC/Boston are coupled to Europe, Bay Area is coupled to Asia, Seattle probably to Canada. When prices go down below a threshold, they become a bargain for the newly rich foreigners for whom $ price tags look like Big-Lot/Wal-Mart. Unfortunately, SD & LA are coupled to Mexico that doesn’t have such a strong purchasing power.
