Dive summary:
- Stunning growth in the apartment construction and leasing industry this year is almost certain to cool some in 2013, according to some panelists at a the Commercial Real Estate Women national conference.
- Susan Blumberg of NorthMarq Capital said prices of apartment properties have zoomed, but a problem is that banks are still reluctant to lend. Part of 2012's growth, too, she said was due to owners burning off concessions and collecting full rents, a change that will not be in next year's numbers.
- Some panelists said building of units this year will cause a slowdown as demand begins to be met, but Matt Wakenight of at Equity Residential said he thinks new capacity will be burned off quickly and that demand will continue to rise.
From the article:
The year 2012 will go down in the record books as a chart-popping year for the multi-family sector, but the exuberant levels of multi-family rent increases, transactional activity and equity investments are due for a slowdown over the next year, suggested speakers at the 2012 CREW Network Convention and Marketplace held in Chicago. ...