North Texas leads U.S. in apartment leasing

DALLAS-FORT WORTH – North Texas led the country in apartment rentals in 2014, and rents and occupancy levels in local apartments rose at a feverish pace.

Net apartment leasing in North Texas totaled 15,226 units, according to year-end data from MPF Research Inc.

Rental activity in fourth quarter 2014 was about 15 percent higher than 4Q 2013.

Local vacancy levels are at a 13-year low, with only about 5 percent of rental units empty.

Average apartment rents in DFW area grew by a record 4.9 percent in 2014, slightly higher than the nationwide increase of 4.7 percent.

“Annual increases above 4 percent are rare in this market,” said MPF Research vice president Greg Willett. “Because we’re such a construction hot spot, the flow of new product moving through initial lease-up normally holds rent growth below the national norm.”

Average apartment rents in the DFW area are now $919 a month. Apartments in Dallas’ more popular, close-in urban markets go for even more — averaging $1,700 to $1,800 for recently built rental communities.

Developers completed 15,575 North Texas apartments last year.

At the end of 4Q 2014, 30,196 units were still under construction in the area, the largest DFW apartment building volume since 1999.

Tag: DFW apartment news; Multifamily under Dallas-Fort Worth-Arlington Market Data Sources