Also, the vacancy rate is almost triple what it was a year earlier, when it stood at only 3.1%. The average monthly rental rate for all units, meanwhile, fell to $672.67 in the fourth quarter, compared with $698.27 in the third quarter. In the fourth quarter of 2000, it stood at $661.92.
Von Stroh says the 40,350-unit market is softening due to general and regional slowdowns in the economy, as well as an increase in supply.
Developers added about 780 units in the fourth quarter, which represented almost half off the 1,687 new units in the market in all of 2001. The market showed a negative absorption of 440 units in the fourth quarter.
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