I don't disagree here for sure. But we should bear in mind experiences in other markets when planning our own. Though a bit different, look at all the small units being built by investment driven mentality in Toronto which now are sitting and not selling and people are stuck with underwater assets. The same goes for rentals as well. You need to build with things people want in mind. And being an automobile-centric city, I will say there IS a chance that these units will struggle to compete with other units in the area which are larger, have parking, and are cheaper on the monthly.
Again not complaining, it's an improvement on what was there, but the developer should exercise caution building "nothing but living space" homes especially in a market with a relatively large amount of rental inventory. Gotta compete, and give your building competing elements.