Multifamily market steps up in San Antonio

SAN ANTONIO – After having been exempt from the fluctuations typical of other Texas cities, San Antonio’s multifamily stock is seeing changes in the market, according to Berkadia Commercial Mortgage.

Job growth is the most powerful force behind San Antonio’s multifamily growth. Growth in industries such as energy, manufacturing and the financial sector are drawing families to the region. Drilling at Eagle Ford created about 48,000 jobs in South Texas in 2011 alone.

According to the San Antonio Economic Development Foundation, one in six workers in San Antonio is employed in the bioscience and health care industry, and the sector has added approximately 33,000 new jobs over the past decade.

As a result of job growth and a nationwide regression of home ownership rates to more historic levels, San Antonio’s multifamily market is seeing a rapid increase in demand. As of August 2012, San Antonio multifamily properties boast an overall occupancy rate of 92.9 percent.

The average age of San Antonio’s population is about 33.7, providing a robust base of families and individuals seeking affordable housing.