LV
Author: Diana Heeb Bivona Area vacancy is forecasted to remain flat at 3.8% in 2007 as new construction offsets demand.
Asking and effective rents are expected to increase 5% this year to $878 per month and $840 per month, respectively.
Apartment construction is anticipated to accelerate this year with the addition of 2,500 new units, up from last year’s total of 1,300 units.
Investor sentiment will remain resoundingly positive in the Las Vegas metro this year as fundamentals continue to improve.
A recent Marcus & Millchap report points to nation-leading employment growth coupled with diminished rental inventory due to recent condo conversions as resulting in a robust improvement in the Las Vegas apartment market.
“Supply has been depleted due to conversion activity, and multi-family construction has been focused largely on the for-sale market during the past few years,? says Christopher LoBello, regional manager of Marcus & Millichap’s Las Vegas office. “The steep decline in vacancy over the past several years has allowed owners to aggressively raise rents.?
The most significant points of the Las Vegas Apartment Research Report: