The Census Bureau estimates that 255,600 multifamily housing units were completed in 2014 in buildings with at least five or more units, representing a 37.3% increase over the previous year and the highest total in those multi-unit structures since 2009.
And now an analysis of Census data by the National Association of Home Builders finds that, over the past five years, the number of completions in buildings with 50 or more units has continued to climb to where it hit 48% of total completions last year.
NAHB economist Robert Dietz notes that this trend toward larger multifamily buildings has been evident since 1996 (see chart below), after reaching a data series low of 8% in 1994 and 1995, and retrenching in 2009 and 2010 as a result of the housing recession.
Dietz also observes that completions in buildings with 20 or more units have been “well above” 50% since 2001, and accounted for 83% of the total last year.
Conversely, multifamily completions in units with nine or fewer units accounted for a relatively insignificant share of total construction last year. This would suggest that Census might need to rethink how it publicly reports its housing data, which to this point only show starts and completions for buildings with “five or more” units.
It’s worth noting, however, that multifamily construction activity in general appears to be peaking. For August, Census’s preliminary estimate for annualized completions in structures with five units or more stood at 283,000, up 0.4% from August 2014. And multifamily starts were actually down by 2.3% to 381,000.
Related Stories
Multifamily Housing | Jul 27, 2017
Apartment market index: Business conditions soften, but still solid
Despite some softness at the high end of the apartment market, demand for apartments will continue to be substantial for years to come, according to the National Multifamily Housing Council.
Multifamily Housing | Jul 27, 2017
Game rooms and game simulators popular amenities in multifamily developments
The number of developments providing space for physical therapy was somewhat surprising, according to a new survey.
Multifamily Housing | Jul 25, 2017
Co-living arrives in Queens: Common adds two new co-living homes
Common adds a new coliving home in Brooklyn and its first offering in Queens with Common Lincoln and Common Cornelia.
Multifamily Housing | Jul 19, 2017
Student housing trends: The transformation of co-living in college
The Student Hotel is representative of a new model for delivering housing solutions for students globally.
Multifamily Housing | Jul 19, 2017
KTGY-designed Elan Menlo Park nears completion
The 146-unit apartment community was designed as a series of six interactively connected garden-style apartments.
Multifamily Housing | Jul 12, 2017
Midyear Rent Report: 26 states saw rental price increases in first half of 2017
The most notable rental increases are in growing markets in the South and Southwest: New Orleans, Glendale, Ariz., Houston, Reno, N.V., and Atlanta.
Multifamily Housing | Jul 12, 2017
7 noteworthy multifamily projects: posh amenities, healthy living, plugged-in lifestyle
Zen meditation gardens, bocce courts, saltwater pools, and free drinks highlight the niceties at these new multifamily developments.
Mixed-Use | Jul 7, 2017
ZHA’s Mandarin Oriental hotel and residences employs ‘stacked vases’ design approach
The mixed-use tower will rise 185 meters and be located in Melbourne's Central Business District.
Multifamily Housing | Jun 28, 2017
Renters don’t just want nice apartments; they want communities packed with amenities
Based on a survey from the National Apartment Association, the most popular amenities are the ones that bring the community together.