New from MPF Research: Construction Starts, Demand, and Rent Growth
MPF Research provides actionable market research to apartment investors and operators. Here’s the latest from RealPage’s multifamily intelligence division.
Metros Seeing the Largest Shifts in Apartment Construction Starts
Across the country, the current apartment development cycle is expected to peak in 2017, when the nation’s top 100 apartment markets receive more than 360,000 scheduled new units. While overall U.S. completion volumes should subsequently ease, the supply story varies market to market.
In contrasting top-10 breakdowns of starts data, Houston and San Jose lead the nation for the greatest downshift in starts, while Baltimore and Orlando tout the top spots for accelerated starts volumes.
Apartment Demand Drives Performance in Dallas/Fort Worth
In the current economic cycle, Dallas/Fort Worth’s steady stream of new product has attracted equally reliable renter traffic. While those big demand numbers have propelled metro occupancy and rent growth to impressive heights, high construction volumes raise performance sustainability concerns. In Apartment Market Dynamics, MPF Research economists discuss the impact of planned supply on Dallas/Fort Worth.
Minneapolis/St. Paul Sees Rent Growth Surge
High occupancy and limited rent growth has historically characterized the apartment market profile of Minneapolis/St. Paul. Over the last year, however, apartment operators became much more aggressive on rents.
In 2016, the market registered rent growth of 4.8% – a five-year high that sits well above the national norm of 3.7%. In a new report, MPF Research looks at employment, planned development and market metrics to determine which factors support price hikes in the Twin Cities.
For the latest multifamily market insights, visit MPF Research.