The San Ysidro Boulevard Apartments offers a unique two parcel development opportunity with seven (7) existing conforming units and three (3) additional non-conforming units as well as a vacant front structure with a code violation. The offering consists of 10 operating units: two (2) 2+1s; six (6) 1+1s; two (2) studios plus parking income generating over $23,850 per month. There...
Source: Lee & Associates Research In the words of Ben Franklin, “In this world nothing can be said to be certain, except death and taxes.”1 While neither can be avoided, both can be delayed and, with regard to taxes, can be minimized. In preparation for the next tax season, this report will explain how property owners, whether commercial or residential, can mitigate...
Source: Yardi Matrix Multifamily National Report - Summer 2022, in link here. While multifamily rents have decelerated from the record highs in 2021, they are still in the double-digit growth percentage through mid-year. The average asking rent increases are expected to grow to 7.9% by the end of the year. Due to the ever so strong performance in the multifamily sector,...
Source: SDAR / Alan Nevin Economic Report link here. San Diego ranks fourth in the United States for the share of $1 million-plus dollar homes in the city at 13.5%. This is likely in part because San Diego is such a desirable place to live. United States unemployment has hit a new low of only 3.6% in June. San Diego’s unemployment...
Source: Yard Matrix The average US asking rent increased $19 to a new high of $1,706. Nationally the asking rates have increased by $73 year-to-date. Rent growth has increased by at least 10% in 25 of Yardi’s top 30 metros. US asking rents have also increased at an average of 1.1% in June from May. National occupancy rates are at a...
Source: Courtesy of Southern California Rental Housing Association. Click link here for more details. "An eviction moratorium that was passed a year and half ago in the City of San Diego is now in effect with the end of statewide eviction protections. The ordinance was approved in February 2021 but was pre-empted by state law. The city’s ordinance which applies to...
Source: Yardi Matrix While the average month-over-month asking rent increased to 1.1% in May from month-over-month in April (1.0%), the year-over-year average asking rates have actually decelerated from 16% in April to 14% in May. It is not looking the same year for rental increase as we saw in 2021. Inflation continues to rise at a 40-year high while food and energy...
San Diego's occupancy increased 90 basis points over the past 12 months while within the last year the rent growth rose 20.8%, which outperformed the national average. 2021 was a record year with $3.7 billion traded in multifamily assets. With this, the first 4 months of 2022 have had a volume of $731 million, which is on par with last...
On Wednesday, the Feds hiked interest rates by 75 basis points (the highest since 1994). Mohamed El-Erian, CEO of Allianz calls this hike part of a “great awakening” for central banks and others. The Swiss National bank also hiked 50 bps as well, and the European Central Bank announced it would have its first-rate hike in over a decade next...
Traditionally rents would increase based upon factors such as employment growth or population growth. But the pandemic made changes in rent not seen before. The overall rent surges/declines throughout the beginning of the pandemic were mainly based on job growth/decline. The pandemic was a hard time for everyone everywhere and from April 2020-March 2021 no major metro gained jobs. The bigger...
In 2021 Yardi Matrix has stated that US multifamily property sales hit an all-time high of $215 billion, a 67.3% increase from the prior high point in 2019. On average it cost $192,000 per unit, a 21.6% increase over the past year. Rent growth has also been above the long-term average for at least half a decade (besides in 2020)...
SB 9 Allows for 2 units on a parcel zoned for single-family housing. It also allows for urban lot splits of SFR zoned parcels and up to 2 units for each new lot created. The development of lots must adhere to all objective zoning. Side and rear lot line setbacks cannot be less than 4 feet. Units must be rented for...
Sales of existing and new homes are bound to run into some major problems in the future. When the 30-year fixed interest rates were in the 3.2%-4.2% range, people were more inclined to purchase a home. Mortgage rates have now increased to over 5%, causing less interest from potential buyers. In San Diego, single family home prices increased 3.7% in March...
Data Courtesy of Yardi Matrix, source link here. The average US multifamily asking rent rose $19 in May to reach $1,680, an all-time high. Rent growth rose 10% over the last year in 26 of the top 30 metros. Despite the questioning of our decelerating economy and rising gas prices, the multifamily rents have continued to surge (3% over the past...
Yardi National Multifamily Report April 2022 Source: Yardi Matrix Amidst the U.S. economic volatility and recent hiccups, multifamily continues to strive while having a small handful of weaknesses within the product type. Even then, the demand for rent growth remains prominent as it has been positive in each of the top 30 metros over the past year. While many thought multifamily growth...
Source: WSJ, article link here. Article Summary Below: Investors have spent $63 billion on apartment buildings from 2019 to 2021, the highest figure on record. Prices paid for apartment buildings increased 22.4% from the first quarter of last year to the first quarter of this year. But with this, interest rates have quickly risen this year as well. This caused some multifamily...