For Multifamily Executive, Hamilton Zanze CEO Kurt Houtkooper details the reasons for optimism about the multifamily market and his company’s plans for 2024.Read
Multifamily Investors Look to the Suburbs in 2015
Increasing numbers of investors seek multifamily properties outside major urban centers, as high rents drive residents out of crowded cities and into suburban communities.
According to recently released data from Real Capital Analytics, transactions for suburban, garden-style apartment properties are on the rise: nationwide, purchases of multifamily buildings outside the urban core grew 8.2% to a transactional value of $82.5 billion.
Meanwhile, suburban rents are climbing, averaging about 5% year-over-year growth in 2014, compared to 3.5% in urban markets, according to Axiometrics. Major developers and investors have taken note, with large companies such as AvalonBay announcing that 75% of the projects in its pipeline are in suburban areas.
Read more at Bloomberg Business