The greater Raleigh, N.C., market appears to be getting back on its feet again, which is good news for rental property owners.
Driven by the growth of government expansion and technology companies, the Raleigh-Durham area added 14,400 new jobs in the first half of this year, representing a 1.8% increase over the same period a year earlier, according to a report on the website Commercial Property Executive.
Equally important, the market’s median household income increased by 4.4% to $59,030.
These gains have been a positive impetus for new apartment construction and what owners can charge renters, albeit somewhat counter-intuitively. The number of apartments available has been falling since late 2013. However, completions of new apartments exceed demand, and multifamily permits have increased by 15% since the beginning of the year to an annualized rate of 7,540.
Still, the average monthly rent in the Raleigh-Cary area is up 1.2%, according to new research by Axiometrics. “Job growth continues to be strong, and new household formation is resulting in the absorption of new units,” Jay Denton, Axiometrics’ senior vice president of research and analytics, told the Triangle Business Journal.
The average rents for apartment communities open at least a year was $920 per month in the third quarter, compared to $899 in the same quarter in 2013, according to Axiometrics.
Related Stories
| May 30, 2013
5 tips for running a successful BIM coordination meeting
BIM modeling tools are great, but if you can't run efficient, productive coordination meetings, the Building Team will never realize the benefits of true BIM coordination. Here are some helpful tips for making the most of coordination meetings.
| May 29, 2013
Realtors report positive trends in commercial real estate market
Realtors who practice commercial real estate have reported an increase in annual gross income for the third year in a row, signaling the market is on the road to recovery.
| May 29, 2013
6 award-winning library projects
The Anacostia Neighborhood Library in Washington, D.C., and the renovation of Cass Gilbert’s grand Beaux-Arts library in St. Louis are among six projects to be named 2013 AIA/ALA Library Building Award winners.
| May 28, 2013
LED lighting's risks and rewards
LED lighting technology provides unique advantages, but it’s also important to understand its limitations for optimized application.
| May 28, 2013
Minneapolis transit hub will double as cultural center [slideshow]
The Building Team for the Interchange project in downtown Minneapolis is employing the principles of "open transit" design to create a station that is one part transit, one part cultural icon.
| May 24, 2013
James Turrell's art installation turns Guggenheim Museum into 'skyspace'
James Turrell, an artist whose projects are more properly defined as "light sculptures," will have a major installation at the Guggenheim Museum this summer, turning Frank Lloyd Wright's famed serpentine atrium into a show of shifting colors and textures. The site-specific project, Aten Reign, will run from June 21 to September 25.
| May 24, 2013
First look: Revised plan for Amazon's Seattle HQ and 'biodome'
NBBJ has released renderings of a revised plan for Amazon's new three-block headquarters in Seattle. The proposal would replace a previously approved six-story office building with a three-unit "biodome."
| May 23, 2013
Supertall 'Sky City' will house 4,400 families in Changsha, China
Broad Sustainable Building has completed a long and arduous approval process, and is starting excavation and construction on Sky City in June, 2013. The proposed "world's tallest building" will be a mixed-use project that could accommodate life and work needs of up to 30,000 people.
| May 23, 2013
Are design-build contracts killing small architecture firms?
Are federal design-build contract laws unfair to small firms? AIA thinks so, citing an interesting fact: an architecture firm spends a median of $260,000 to compete for a design-build project.
