Don’t count out the apartment wave just yet.
The Phoenix metro area ranked among the top multifamily markets for net leasing in the U.S. in the first quarter, according to new data from CBRE Group (NYSE: CBG).
New York – including Newark and Long Island — saw the most apartment absorption (or net leasing) in the first quarter with 6,400 units rented.
Phoenix was fourth with 3,300 units absorbed behind only New York, San Francisco (3,600) and Washington D.C. (3,400).
“This is a direct result of high net in-migration along with robust employment growth and the low home ownership rate.” Brian Smuckler, a senior vice president with CBRE in Phoenix. “Also a good indicator that metro Phoenix is not over-built.”
There continues to be new apartments under construction and hitting the market in downtown and central Phoenix as well as East Valley markets such as Tempe and Mesa.
Phoenix, however, isn’t among the top metros for first quarter job growth.
Mike Sunnucks writes about stocks and financial markets, real estate, government and sports business.