Reasons to buy Texas Investment Real Estate? They are numerous…
Dallas-Fort Worth apartment demand, rents rise
01:55 PM CDT on Thursday, October 2, 2008
By STEVE BROWN / The Dallas Morning News
After lame leasing totals earlier in the year, Dallas-Fort Worth’s apartment market saw a bump in rental demand during the third quarter.
Net apartment leasing totaled about 3,680 units in the D-FW area during the just completed quarter.
During the first half of 2008, the market had suffered a net decline in overall apartment occupancy.
“There was decent demand for the first time since third quarter of last year,” said Greg Willett, vice president of research and analysis for M/PF YieldStar. “D-FW occupancy is up a little bit, and rent growth is holding steady.
“The sustained rent growth is counter to the pattern elsewhere, with the national numbers exhibiting a big slowdown.”
The increase in rentals during the third quarter was enough to push overall occupancy in the area to 93.2 percent.
And average rents rose 2.9 percent to a record $766.
Construction was booming, too.
M/PF said that developers in North Texas broke ground on 14 projects with about 4,400 units during the third quarter.
That pushes apartment building in the area above 20,000 units.
Mr. Willett said development is at the point “where it starts to be concerning, even in periods when the economy is in lots better shape than is seen now.
“Construction starts continue to be surprisingly aggressive, especially given that every developer you talk to will tell you that financing is nearly impossible to get.”
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