The average new apartment in the U.S. is about 8% smaller than the average was a decade ago. And that shrinkage wasn’t confined to urban markets, either.
Those are two of the main findings in a recent survey of the apartment market, conducted by RENTCafé, a nationwide apartment search website, using data provided by Yardi Matrix, a sister company that researches and reports on multifamily properties of 50 units or more across 121 markets in the U.S.
That research shows the size of new apartments averaging 934 sf, versus 1,015 sf in 2006. New studio apartments took the steepest decline, to an average 504 sf this year from 614 sf a decade ago, representing a nearly 18% difference. New two-bedroom apartments, on the other hand, at 1,126 sf, are actually 1% larger than the average for that apartment type in 2006.
RENTCafé estimates that the average apartment size in the U.S., regardless of when it was built, is 889 sf. There are three regions of the country that exceed the average—the Southeast (974 sf), South (937), and Mid-Atlantic (891).
The southern regions of the U.S. still give renters the most for their buck, in terms of average apartment size. Image: RENTCafe
The largest gap between luxury and non-luxury apartment sizes is in the western states, 967 sf vs. 763 sf. Conversely, the gap between luxury and non-luxury apartments in the Southeast is relatively narrow: 1,045 sf vs. 905 sf.
Atlanta leads all cities with the largest average apartments, followed by Plano, Texas; Jersey City, N.J.; Henderson, Nev.; and Chesapeake, Va. Arizona has three of the five cities—Tucson, Glendale, Mesa—with the smallest average apartment sizes. (El Paso, Texas, and Buffalo, N.Y., fill out that ranking).
By far, Atlanta leads all cities with the largest average two-bedroom apartments, at 1,125 sf; Jersey City is its closest rival in that category, at 1,097 sf.
Interestingly, neither New York, San Francisco, nor Boston—three cities where the micro apartment crae hit first—ranks among the top 20 cities for smallest apartment size. (In fact, Boston is No. 10 in among the cities with the largest average apartments.)
“But that doesn’t erase the fact that Manhattan remains the nation’s tightest market, with average rents reaching a whopping $4,043 per month, more than three times the national average,” Yardi Matrix data show.
RENTCafé’s survey breaks down 95 metros and their average apartment sizes by studio, one-bedroom, and two-bedroom. In Los Angeles, the country’s largest city, a studio apartment averages 524 sf, a one-bedroom 729 sf, and a two-bedroom 1,043 sf. Reno, Nev., has the smaller average studios (352 sf), Stockton, Calif., the smaller average one-bedroom (632 sf), and Buffalo the smallest average two-bedroom (843 sf).
Despite the shrinkage in apartments, rents aren't retreating. Image: RENTCafe
The survey cautions, however, that while apartments are shrinking, their rents may not be. “Apartment rents are breaking record after record,” with the national monthly rent hitting an average of $1,204 in May, the report states. In San Francisco, “you’ll still be paying $2,500 for a 500-sf studio.”
There is increasing demand for high-density housing with mixed-use components, which are being directed specifically at Millennials and downsizing Baby Boomers.
Another thing that hasn’t changed: Renters desire apartment buildings with lots of amenities. RENT Café points to Eastown, the largest apartment community delivered to L.A.’s rental market last year. Located in Hollywood, the community includes a pool and spa with lounges, a fireplace and patio area, a gym and fitness center, and electric vehicle charging stations. Rents start at $1,925 for a 571-sf apartment.
The average size of a new apartment in the U.S. has been on a steady decline for the past 10 years, according to a new survey that tracks apartment sizes in most major metros across the country. Image, which shows average square footage by year: RENTCafe
Related Stories
Apartments | Aug 22, 2023
Key takeaways from RCLCO's 2023 apartment renter preferences study
Gregg Logan, Managing Director of real estate consulting firm RCLCO, reveals the highlights of RCLCO's new research study, “2023 Rental Consumer Preferences Report.” Logan speaks with BD+C's Robert Cassidy.
Adaptive Reuse | Aug 16, 2023
One of New York’s largest office-to-residential conversions kicks off soon
One of New York City’s largest office-to-residential conversions will soon be underway in lower Manhattan. 55 Broad Street, which served as the headquarters for Goldman Sachs from 1967 until 1983, will be reborn as a residence with 571 market rate apartments. The 30-story building will offer a wealth of amenities including a private club, wellness and fitness activities.
Sustainability | Aug 15, 2023
Carbon management platform offers free carbon emissions assessment for NYC buildings
nZero, developer of a real-time carbon accounting and management platform, is offering free carbon emissions assessments for buildings in New York City. The offer is intended to help building owners prepare for the city’s upcoming Local Law 97 reporting requirements and compliance. This law will soon assess monetary fines for buildings with emissions that are in non-compliance.
Sponsored | Multifamily Housing | Aug 15, 2023
Embracing Integrations: When Access Control Becomes Greater Than the Sum of Its Parts
Multifamily Housing | Aug 11, 2023
Hotels extend market reach with branded multifamily residences
The line separating hospitality and residential living keeps getting thinner. Multifamily developers are attracting renters and owners to their properties with hotel-like amenities and services. Post-COVID, more business travelers are building in extra days to their trips for leisure. Buildings that mix hotel rooms with for-sale or rental apartments are increasingly common.
MFPRO+ New Projects | Aug 10, 2023
Atlanta’s Old Fourth Ward gets a 21-story, 162-unit multifamily residential building
East of downtown Atlanta, a new residential building called Signal House will provide the city with 162 units ranging from one to three bedrooms. Located on the Atlanta BeltLine, a former railway corridor, the 21-story building is part of the latest phase of Ponce City Market, a onetime Sears building and now a mixed-use complex.
Senior Living Design | Aug 7, 2023
Putting 9 senior living market trends into perspective
Brad Perkins, FAIA, a veteran of more than four decades in the planning and design of senior living communities, looks at where the market is heading in the immediate future.
Multifamily Housing | Jul 31, 2023
6 multifamily housing projects win 2023 LEED Homes Awards
The 2023 LEED Homes Awards winners in the multifamily space represent green, LEED-certified buildings designed to provide clean indoor air and reduced energy consumption.
MFPRO+ New Projects | Jul 27, 2023
OMA, Beyer Blinder Belle design a pair of sculptural residential towers in Brooklyn
Eagle + West, composed of two sculptural residential towers with complementary shapes, have added 745 rental units to a post-industrial waterfront in Brooklyn, N.Y. Rising from a mixed-use podium on an expansive site, the towers include luxury penthouses on the top floors, numerous market rate rental units, and 30% of units designated for affordable housing.
Affordable Housing | Jul 27, 2023
Houston to soon have 50 new residential units for youth leaving foster care
Houston will soon have 50 new residential units for youth leaving the foster care system and entering adulthood. The Houston Alumni and Youth (HAY) Center has broken ground on its 59,000-sf campus, with completion expected by July 2024. The HAY Center is a nonprofit program of Harris County Resources for Children and Adults and for foster youth ages 14-25 transitioning to adulthood in the Houston community.