Those Sun Belt Suburbs Aren’t Going Away via Property Management Insider

When we talk about apartment construction these days, analysis tends to focus on total volume. But we really ought to be digging deeper and asking whether what’s on the way really will match up with future demand.

A key shift from building activity right now relative to what was seen in previous cycles is a much more pronounced emphasis on urban core locations in most metros. That makes sense in the big picture. Most of these properties coming out of the ground are targeted toward Gen Y renters, and the group as a whole certainly likes urban product and the lifestyle that comes with residing in or near downtown.

But let’s not forget that in many cities, especially in the Sun Belt, most jobs are found in the suburbs. Thus, while some renters desiring new apartments will opt for the reverse commute in order to enjoy living in the urban core, many likely won’t. Especially if there’s limited mass transit, as is the case in so many markets across the Southeast and Southwest.

Read more...Those Sun Belt Suburbs Aren’t Going Away | Property Management Insider