One year ago, COVID-19 upended the commercial real estate industry, including the revered multifamily sector. Throughout the past year, the sector’s professionals have dealt with unpaid rents, shifting valuations, changes to underwriting requirements and more.
During the pandemic, residents’ priorities, demands and desires shifted. As work-from-home policies stayed in effect, residents were granted the ability to freely choose where they live, and many Americans made the decision to relocate from densely populated areas to suburban life.
In conjunction with the stay-at-home orders and the on-going work-from-home policies, residents’ space needs quickly evolved, as people began to desire additional designated living spaces for make-shift offices, at-home classrooms for virtual learning, outdoor spaces and more.
Considering the decline in new apartment leases, due to the rapid shift in resident preferences, the multifamily market experienced unprecedented bifurcation in apartment rents throughout the past year.
According to a report from RCLCO, suburban apartments outperformed urban apartments last year, as apartment rents in densely populated markets dropped significant amounts. However, suburban apartments experienced 2% rent growth in 2020, compared to 3.5% the year before.
Such changes in the market have required multifamily professionals to watch closely, navigate needs and act fast. Throughout this time, these professionals have also negotiated rising material costs, dealt with the expanding affordable housing crisis and stayed on top of dynamics within the space.
Certain indelible changes, such as the migration to the Sun Belt and the importance of “home” for renters and buyers, will likely impact the asset class for some time. However, the multifamily sector recently turned a sharp corner and is emerging from the pandemic relatively unscathed.
Throughout all of the ups and downs and turmoil, apartments still remains one of the better positioned asset classes, due to its strong fundamentals.
As the market continues to accelerate, professionals within the sector are offering cautious strategies, navigating new trends, considering current dynamics and bravely moving into a new era for the asset class.
GlobeSt. Real Estate Forum is honored to once again shine a spotlight on some of the biggest influencers across the multifamily real estate sector. Our next Influencer series installment will feature some of the most notable professionals in the multifamily scene, from developers, investors and brokers to those introducing new concepts and products to the business. We will profile not only the pioneers who have made an impact with their individual efforts, but also the teams and entire organizations which have become critical to the industry.
We plan to honor the chosen 2021 Multifamily Influencers at a celebratory awards ceremony this fall – assuming health and safety guidelines allow. In addition, the 2021 Multifamily Influencers will be profiled in GlobeSt. Real Estate Forum’s October issue, and will gain recognition on GlobeSt.com. Whether at our event, or within our pages, our hope is that the industry will gain insight from the nominees’ stories, thus preparing their transactions and investments for continued success.
The deadline for nominations is July 14, 2021. To apply, click here.
For additional information, please view the series’ FAQs page.
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Please consider our other available recognitions:
Influencers in Industrial
Influencers in Net Lease