I disagree with the statement that DC has a bubble for housing. Regardless of what may be seen when driving on 395 (which I assuming is Navy Yard), the real estate market is more complex than what “looks like overbuilding”.
The reason condos and apartments continue to be built is because developers are doing their homework and watching the market (and banks are not taking on the same level of risk pre-2007). It’s foolish to think they would spend upwards of $100M on a new residential building with a “if you build it they will come” mentality.
Millennials may be growing old, however, they have also adapted to an urban lifestyle of live smaller, use less, walk to work. And while some of them may decide to move to the suburbs to pursue what some would consider an old fashioned perception of the American dream, plenty are content with or would rather raise their children in the city. With regards to the comment of them “spending their retirement dollars to order those same $20 cocktails” you may forget that the area median income or AMI in DC is $110k for a family of four… That’s right, almost double the national AMI of $59k. Furthermore, comments like that show how little Baby Boomers actually know about the lifestyle of Millennials which spend less annually on food, apparel, and housing than ANY previous generation… Why do you think that is? Feel free to look for yourself here: https://www.bls.gov/opub/mlr/2018/article/fun-facts-about-millennials.htm
Lastly without delving into the microeconomics of job growth, housing vacancy vs construction trends, level of education, etc… DC has earned itself a spot on the list of international power cities such as NYC, LA, London, Paris, Singapore to name a few.This will not be changing anytime soon. The trend of international investment in American real estate is staggering.