In its latest research, Axiometrics Inc., a provider of data and advisory services on the apartment market, reports that sequential rent growth in February 2012 was the highest it has been since June 2011, with effective rent (rent net of concessions) increasing by 0.66% from January to February. Likewise, the national occupancy rate improved on a sequential basis for the first time since August 2011, increasing from 93.36% in January to 93.57% in February. This was the highest month-to-month gain since April 2011, and the third highest in the last 18 months. The combined effective rent and occupancy growth rates—0.87%—provide a potential monthly revenue growth figure, and exceed every month since May 2011.
Axiometrics also notes that Class A properties—which were the first to expand rents in the current apartment market recovery—are still increasing rents but at a slower pace, especially in some of the “early recovery” markets. In contrast, Class C properties will help increase overall rent growth numbers this year, rather than being a drag as they have been the past few years.
Read more...Apartment Market Delivering Strong Rent Growth - Multifamily News Headlines – Breaking News, Stories, Top Headlines :: MultifamilyBiz.com
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