63 F
Fort Worth
Wednesday, September 30, 2020
- Advertisements -
Real Estate U.S. apartment rent growth reaches 4.7 percent annually, reports says

U.S. apartment rent growth reaches 4.7 percent annually, reports says

Other News

Exxon’s oil slick

Exxon Mobil is slashing its capital spending budget for 2020 by 30% due to weak demand caused by the COVID-19 pandemic and a market...

Folk music’s Mark Twain: 7 Essential tracks from John Prine,

NEW YORK (AP) — Some people, the songs just come out of them. For nearly half a century, they tumbled out of John Prine...

Tarrant County records another COVID-19 death

Tarrant County Public Health (TCPH) on Wednesday, April 8 reported that a resident of Euless has died as the result of the COVID-19 virus....

Tradition stymied: A year unlike any since WWII for Augusta

The Masters is so intertwined with Augusta, they added an extra day to spring break.You see, the first full week of April isn't just...
Robert Francis
Robert Francis
Robert is a Fort Worth native and longtime editor of the Fort Worth Business Press. He is a former president of the local Society of Professional Journalists and was a freelancer for a variety of newspapers, weeklies and magazines, including American Way, BrandWeek and InformatonWeek. A graduate of TCU, Robert has held a variety of writing and editing positions at publications such as the Grand Prairie Daily News and InfoWorld. He is also a musician and playwright.

A. Lee Graham


The rent growth pace for apartments nationwide reached 4.7 percent during 2014, according to MPF Research, a market intelligence division of Carrollton-based RealPage Inc.

In the past two decades, similar growth during the final three months of the year occurred just once: in 2005.

“This market cycle for the apartment industry looks like a record-setter in terms of both total revenue growth and the duration of the strong increases,” said Greg Willett, vice president of MPF Research, commenting in a news release.

“The pace of rent growth normally slows after the first couple of years in a cycle, once additional new supply comes on stream, but demand is rising right along with deliveries this time,” Willett said.

About 246,579 apartments were completed in the nation’s 100 largest metros during 2014, marking a 14-year high. Ongoing apartment construction in the top 100 metro areas reached 405,886 units. Of those, 290,145 units are expected to complete during 2015, according to the report.

Underlying apartment demand influences suggest 2015’s product absorption capacity should roughly align with expected deliveries.

“The momentum in job creation that emerged during 2014 looks sustainable in 2015, pointing to significant new household formation and sizable apartment demand,” Willett said.

Rent growth of 3.5 percent to 4 percent appears likely in 2015, according to the research firm.

“While occupancy should continue to be tight, apartment owners and operators may have to be a little more conservative in their pricing strategies over the coming year in order to capture available demand,” Willett said.

On the metro level, the San Francisco Bay and Denver remained the country’s rent growth leaders during 2014. Effective rents for new leases rose 11.5 percent in Oakland, 10.5 percent in San Jose, 9.8 percent in San Francisco, and 9.7 percent in Denver-Boulder.

At the next tier of performance, annual effective rent growth registered at 6 to 7 percent in Atlanta (6.8 percent), Portland (6.7 percent), San Diego (6.7 percent), West Palm Beach (6.5 percent), Los Angeles (6.3 percent) and Seattle-Tacoma (6.1 percent).

The full fourth-quarter 2014 report is available at www.realpage.com/MPFQ4-2014-Report.

RealPage Inc. provides property-management software solutions for the multifamily, commercial, single-family and vacation rental housing industries. More information is available at www.realpage.com.




- Advertisements -
- Advertisements -

Latest News

Delta Hotels by Marriott to open in Southlake in November

Delta Hotels by Marriott announced on Sept. 28 that the official grand opening of the Delta Hotels by Marriott Dallas Southlake is scheduled for mid-November...

LanCarte leases industrial space to Pantera Ventures

LanCarte Commercial has leased 13,092 square feet of industrial space to Pantera Ventures LLC. The Industrial Building is located at 189 Bear...

RE Council of Greater Fort Worth presents State of Municipalities program

The Real Estate Council of Greater Fort Worth on Sept. 30, at 10 a.m. presents a program on the State of Municipalities.On...

Vision leases Airport Freeway location to OMG BBQ

Vision Commercial Real Estate on Sept. 28 announced Trenton Price, Senior Director at Vision Commercial, recently completed lease...

AC Hotel opens in Downtown Fort Worth

Downtown Fort Worth has another hotel with the 252-room, 16-story AC Hotel Fort Worth opening on Sept. 28. The first AC Hotels by Marriott to debut...