Austin apartment report 3Q 2014 Marcus & Millichap
AUSTIN – Central Texas apartment operators will enjoy tight conditions and significant rent growth this year despite record-high completions, according to Marcus & Millichap’s most recent quarterly report.
Strong job creation in the metro, particularly in the high-tech sector, remains a lure for young professionals.
In third quarter 2014, effective rents averaged $1,078 per month, up 6.2 percent from 3Q 2013. Vacancy closed 3Q 2014 at 4.3 percent, a 20-basis point decline from 3Q 2013.
Approximately 10,560 apartments were brought online in the last 12 months, 76 percent increase from the corresponding period in 2013.
| Rank | Submarket | Vacancy Rate | Y-O-Y Basis Point Chg. | Effective Rents | Y-O-Y Change |
| 1 | Round Rock/Georgetown | 3.1% | -100 | $1,007 | 6.8% |
| 2 | Downtown/University | 3.2% | -10 | $1,974 | -1.4% |
| 3 | Arboretum | 3.2% | -30 | $1,060 | 4.0% |
| 4 | North Central Austin | 3.5% | 0 | $865 | 6.0% |
| 5 | Far South Austin | 3.6% | -180 | $1,061 | 5.9% |
| 6 | Cedar Park | 3.6% | -170 | $1,017 | 5.1% |
| 7 | Northwest Austin | 3.7% | 10 | $1,024 | 5.0% |
| 8 | Pflugerville/Wells Branch | 3.8% | -20 | $967 | 6.7% |
| 9 | Far West Austin | 3.9% | 0 | $1,061 | 4.4% |
| 10 | Austin | 4.3% | -20 | $1,078 | 6.2% |
*Chart includes top ten of 16 submarkets, ranked by vacancy.
Read more at Marcus & Millichap Real Estate Investment Services.
(Texas real estate news)
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