The region saw 24,347 units deliver in comparison to 32,000 in 1985 and 42,000 in 1984. But, delivery is still 1,583 units shy of meeting demand.
Current multifamily construction is slowing in the Dallas-Ft. Worth region, which is good for property owners who have been faced with stiff competition in lease-ups and slow rent growth. There had been 11,522 units under construction or on the planning boards at year's end. West Plano, last year's supply leader, had more than 5,700 apartments come on line. In comparison, only two properties, totaling 567 units, are being developed now, says Willett. M/PF Research expects Intown Dallas to cop the supply lead this year. There are 1,925 units under construction followed by Northeast Tarrant County, which has 1,048 units under way.
Year-end occupancy had come in at 94.8%, up one point from year-end 1999. Dallas occupancy is 94.9% while Ft. Worth's is 94.4%.
In a good news-bad news scenario, units can be had for an average rent of $676 per month, up 3.8% from last year while property owners have been doling out giveaways to fill up the units as quickly as they deliver. M/PF Research says the hardest hit areas in terms of rent growth are Allen/McKinney and Intown Dallas. Leasing competition, says M/PF Research, drove down average rents by 1.3% in Allen/McKinney and slowed Intown Dallas' growth to 0.4%.
M/PF's Greg Willett, editorial director and data analyst, told GlobeSt.com that "it's very likely rents will accelerate this year, as there is less competition among the individual property owners."
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