Is Softening of Apartment Market Sign of Future?

National vacancies rose by 10 basis points in Q1 2017, to 4.3%, according to the latest research from Reis. Yet occupancies have remained tight, despite the flat year-over-year vacancy numbers and in consideration of the onslaught of deliveries.

Asking rents and effective rent growth are both challenging landlords, as they are discovering stable occupancies are coming at a price.

Reis reports that asking rents grew by just 0.3% in the first quarter, while effective rents rose by only 0.2%. That’s the weakest performance since Q1 2010 as the recovery commenced.

Top 5 Markets by Effective Revenue Per Unit

Percent Change from Q1 2016 to Q1 2017

Colorado Springs: 7.2%
Seattle: 7.0%
Tacoma: 7.0%
Sacramento: 6.6%
Ventura County: 6.5%

Bottom 5 Markets by Effective Revenue Per Unit

Percent Change from Q1 2016 to Q1 2017

San Francisco: -1.5%
New York: -1.1%
Oklahoma City: -0.6%
Tulsa: 0.0%
Houston: 0.6%

For comments, questions or concerns, please contact Dennis Kaiser

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About Dennis Kaiser

Dennis Kaiser is Vice President of Public Relations and Communications for Connect Creative. Dennis is a communications leader with more than 40 years of experience including as a journalist and in corporate and agency marketing communications roles. He is responsible for Connect Creative’s agency client services and is involved in a range of initiatives ranging from public relations and content strategy, communications and message development, copywriting, media relations, social media and content marketing services. Prior to joining Connect Media in 2015, his most recent corporate communications roles involved leading a regional public relations effort across Southern California for CBRE, playing a key marketing role on JLL’s national retail team, and directing the global public relations effort at ValleyCrest (BrightView), the nation’s largest commercial landscape services company. He has worked on marketing communications assignments for such CRE companies as Blackstone/Equity Office, Carlyle, Caruso, Disney Resorts, GE Capital, Irvine Company, Hines, Howard Hughes Corp., Jeffries, Lennar, MGM, Marcus & Millichap, Prologis, Raleigh Studios, Simon, Starwood, Trammell Crow Company, Transamerica, UBS and Wynn Resorts. Dennis has also worked on communications and launch strategies for a number of consumer electronic, media and tech brands including SlingMedia, Channel Master, Deluxe Media Entertainment, BeIn Sports, EchoStar and Sprint. Dennis’s agency background included firms such as Off Madison Ave., Idea Hall and Macy + Associates. He has earned an outstanding reputation with organization leaders as a trusted advisor, strategic program implementer, consensus builder and exceptional collaborator. Dennis has developed and managed national communications programs for Fortune 500 companies to start-ups, both public and private. He’s successfully worked with journalists across the globe representing clients involved in major-breaking news stories, product launches, media tours, and company news announcements. Dennis has been involved in a host of charitable and community organizations including the American Cancer Society, Easter Seals, Boy Scouts, Chrysalis Foundation, Freedom For Life, HOLA, L.A.’s BEST, Reach Out and Read, Super Bowl Host Committee, and the Thunderbirds Charities.

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National CRE News In Your Inbox.

Is Softening of Apartment Market Sign of Future?

Inside The Story

About Dennis Kaiser