INVESTED IN KNOWLEDGE
Trends & Insights
Stay informed. Let our research, insights, thought leadership and news help you make knowledgeable investment decisions.
Research Library
MarketSnapshot
At Northmarq, we are committed to offering our clients the latest trends and expert analysis to power their decision making. Our MarketSnapshot suite of reports contains critical market data covering a variety of commercial real estate property sectors. In each report, you will find: Investment sales volume data Average cap rate information Buyer distribution analysis... and more! Single-Tenant Overall Market Single-Tenant Office Single-Tenant Industrial Single- Tenant Retail Multi-Tenant Retail
Latest Publications
St. Louis 2Q23 Multifamily Market Insights Report: Construction active but slower than 2022 pace
Highlights: Operating conditions in St. Louis were somewhat mixed during the second quarter as vacancy continued to tick higher while asking rents advanced. Developers remain active, although construction has lagged the pace recorded in 2022. Area vacancy rose 20 basis points in the second quarter, reaching 4.4%. The rate has trended higher in each of the past three quarters and is up 30 basis points year over year. Asking rents inched higher in recent months after a sluggish start to the year. Rents in St. Louis rose 0.5% during the second quarter to $1,179 per month. During the past 12 months, area rents increased by 5.5%. Transaction volume in the local multifamily investment market has remained limited to this point in 2023. Transaction totals are down 60% from one year ago, while the median price has dropped 9%. Read the report
October 9, 2023
Chicago 2Q23 Multifamily Market Insights Report: Investors continue to target Class A properties
Highlights: Property performance metrics in Chicago were mostly stable during the second quarter with the vacancy rate holding steady and asking rents ticking higher. The market should maintain its current trajectory through the end of 2023. Vacancy in the second quarter was 5%, identical to the rate in the first quarter. Year over year, local vacancy rose 20 basis points. During the past five years, the vacancy rate has remained in a tight range. Asking rents in Chicago inched higher during the second quarter, rising 0.2% to $1,830 per month. Average rents are up 4.7% from one year ago. The multifamily investment market in Chicago continued to slow during the second quarter while prices remained elevated from last year. A surge in the sale of Class A properties has caused the median sales price to spike to $250,200 per unit. Read the report
October 9, 2023
Minneapolis 2Q23 Multifamily Market Insights Report: Vacancy ticks lower at midyear
Highlights: The multifamily market in the Twin Cities improved gradually during the second quarter as vacancy conditions inched lower and apartment rents gained some ground. Developers are on track to deliver about 8,000 units in 2023, a dip from the elevated supply gains of the past two years. The local vacancy rate improved slightly during the second quarter, dipping 10 basis points to 5.2%. Year over year, the rate is up 100 basis points. Asking rents continued to trend higher, rising 1.2% in the second quarter to $1,510 per month. Area rents increased 3% during the past 12 months. Multifamily transaction activity in the Minneapolis-St. Paul market slowed during the first half of 2023. The median sales price to this point in the year is $110,900 per unit, while cap rates are averaging between 5.75% and 6.5%. Read the report
October 9, 2023
Los Angeles 2Q23 Multifamily Market Insights Report: Construction picking up following 2 slow years
Highlights: The Los Angeles multifamily market recorded a mixed performance during the second quarter with vacancy inching higher, while rents rose. Apartment development activity is ramping up with a steady flow of new projects expected to come online in the remainder of the year. The local vacancy rate ticked higher during the second quarter, rising 20 basis points to 4%. Year over year, the rate increased by 40 basis points. Local asking rents rose 2% during the second quarter to $2,449 per month and are up 4.1% year over year. The strongest rent gains have been recorded in Class B and Class C properties. The multifamily investment market cooled in recent months as deal volume fell more than 50% from the first quarter to the second quarter. The median sales price year to date is $303,500 per unit while cap rates were averaging around 4.8%. Read the report
September 27, 2023
Hampton Roads 2Q23 Multifamily Market Insights Report: Strong rent growth likely to continue
Highlights: The Hampton Roads multifamily market posted a strong performance during the second quarter, as the vacancy rate declined and asking rents continued to trend higher. The pace of multifamily deliveries picked up in recent months, and projects totaling roughly 650 units have been completed to this point in 2023. Vacancy conditions tightened in recent months, as the rate fell 50 basis points during the second quarter to 5.4%. This marks the first vacancy decline since the second quarter of 2021. Year over year, the vacancy rate has risen by 170 basis points. Asking rents are increasing at a healthy pace to this point in the year after dipping at the end of 2022. Area rents advanced 1.9% in the last three months to $1,506 per month. Rents have risen 5.2% in the last 12 months, one of the fastest rates of growth in the country. Despite a healthy start to the year, multifamily sales velocity through the first half of 2023 is down 33% from levels posted in the same period last year, due to the higher interest rate environment. The median sales price year to date is $135,400 per unit. Read the report
September 25, 2023
Richmond 2Q23 Multifamily Market Insights Report: Developers trying to keep pace with renter demand
Highlights: Renter demand in Richmond has remained strong, supporting additional rent gains even as supply-side pressures have pushed vacancy rates higher. Projects totaling more than 2,700 units have been delivered thus far in 2023, with new developments leasing up at a healthy pace. Area vacancy showed signs of stabilizing in recent months after recording increases in recent periods. The vacancy rate ticked higher by 10 basis points during the second quarter to 6.1%. Year over year, local vacancy is up 120 basis points. Apartment rents in Richmond have been on an upward trajectory for the past four years, and gains continued to be recorded during the first half of 2023. Year over year, asking rents have risen 2.6% to $1,514 per month. Sales activity in the second quarter closely tracked volume from the start of the year. In the transactions that have occurred to this point in 2023, the median sales price is $175,000 per unit — while cap rates are between 5.25% and 5.5%. Read the report
September 25, 2023
Dallas 2Q23 Multifamily Market Insights Report: With rents on an upswing, sales prices trend higher
Highlights: Operating conditions improved in the Dallas-Fort Worth multifamily market in recent months. The pace of absorption regained momentum, supported by strong growth in the local labor market. Vacancy crept up 20 basis points during the second quarter, reaching 6.6%. Vacancy levels are higher than one year ago, but the bulk of the year-over-year increase occurred in the second half of 2022. The rate is forecast to level off in the second half of this year. After inching lower to start the year, rents rebounded in recent months. Average rents ended the second quarter at $1,546 per month, 3.8% higher than at the midpoint of 2022. While still considerably lower than recent peak levels, investment activity picked up at the end of the first half of 2023. Prices trended higher, particularly in sales involving Class A properties. Cap rates pushed up to 5% on average. Read the report
September 20, 2023
Orlando 2Q23 Multifamily Market Insights Report: Investors favoring large transactions
Highlights: Property performance metrics in Orlando remain strong, with vacancy tightening in the second quarter and asking rents pushing higher. Several years of growth have attracted multifamily developers, with projects totaling roughly 25,400 units under construction. Area vacancy improved during the second quarter, after rising at the start of the year. The vacancy rate dropped 40 basis points in the last three months to 5.6%. The current vacancy rate equals the figure from one year ago. Asking rents trended higher during the last three months, rising 1% in the second quarter to $1,690 per month. Rents are up 2.8% during the past 12 months and additional increases are forecast for the second half. Multifamily sales activity has occurred at a slow but consistent pace through the first two quarters of 2023, following elevated levels in recent years. The median sales price thus far in 2023 is $215,000 per unit, while cap rates have been between 4.5% and 5.25%. Read the report
September 19, 2023