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Support Continues for Apartment Rental Market

Author: Diana Heeb Bivona

The Business Press is reporting that Alliance Residential Company is developing $110 million worth of new apartment complexes totaling 834 units in the Las Vegas Valley. Additionally, Alliance plans to invest $150 million to $200 million on new apartment developments throughout the valley over the next few years. The company continues to look for R-3 zoned land at $600,000 to $800,000 an acre, with developable densities of 16 to 40 units per acre.

Alliance believes that LV continues to face a major shortage of multi-family rental communities. Furthermore, that population growth, rising interest rates and reduced home price affordability will combine to create an environment favorable to apartment ownership and construction. Alliance is anticipating a 6 percent rent growth over the next year because of a diminished rental inventory from 14,700 apartment-to-condominium conversions during the past two years.

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