Report: 83% of New Large Rental Developments are High-End
A new study from RentCafe.com confirms what many people are already aware of: new apartments are expensive. The report takes a look at the rent price of large new apartment complexes (containing more than 50 units) and concluded that 83 percent (12 out of 15 completed in 2015) in the Columbus Metro Area —including its suburbs — are priced on the higher-end of the market.
“This lands Columbus a spot on the list of emerging metro areas with the highest percentage of luxury apartments delivered in 2015,” said Georgiana Mihaila, Communications Specialist at RentCafe.
The Columbus Metro Area doesn’t score too much higher than the national average, which clocked in at 75 percent for high-end new apartments completed in 2015. That national stat has climbed from 63 percent in 2012.
Several cities that scored higher than Columbus on the list include Cleveland (where 88 percent of new apartments were high-end) and Austin (92 percent). Six cities were found where 100 percent of new apartment developments are high-end: Oklahoma City, Milwaukee, the Midland-Odessa region in Texas, Kansas City, Jacksonville and San Antonio.
Of course, it could be said that brand new or newly renovated apartments are naturally more likely to command a higher price tag compared to older apartments that lack luxury finishes and amenities. On average, Columbus has managed to remain the third most affordable large city in the US for renters, even while rents have climbed by 25 percent between 2011 and 2015. Local developers are likely continuing to target the higher end of the market as it has not yet hit a saturation point; apartment occupancy rates in Columbus were at 95.5 percent in the fourth quarter of 2015.
To view the full report on this new study, visit www.rentcafe.com.
If you’re interested in touring dozens of new apartment buildings in Columbus, you can join us for the upcoming Urban Living Tour on Sunday, May 15th. More details on tour stops can be found HERE and advance ticket sales are HERE.