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Detroit Multifamily Vacancies at Five-Year Low
Even with additional inventory coming on line, the Detroit metro area’s vacancy rate is at a five-year low, says Marcus & Millichap in its fourth-quarter report. Overall vacancy hovers below 4% in all but three submarkets.
In buildings completed since 2010, vacancy dropped 110 basis points year over year to 1.8% as of the third quarter, the tightest rate among vintages, Marcus & Millichap says.
Meanwhile, even as ground-up construction of new apartments is underway in the suburbs and District Detroit near downtown, the conversion of older buildings into apartments continues.
One of the latest plans for redevelopment is the historic Albert Kahn Building on Second Avenue in Detroit. The project will bring 211 rentals and roughly 75,000 square feet of commercial space to the market.
Demand is expected to continue, thanks to Detroit’s job gains. Marcus & Millichap cites more than 12,500 households formed over the past year.
For comments, questions or concerns, please contact Paul Bubny
- ◦Economy
- ◦Lease

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