Search
 

Report: OC Apartment Market Recovering

NEWPORT BEACH, CA-Weakness still remains after this red-hot market cooled along with the economy, but a study by Marcus & Millichap shows "signs of recovery," including the prediction that vacancy rates should improve slightly in the next 12 months.

By Bob Howard | Updated on July 12, 2002

NEWPORT BEACH, CA-The Orange County apartment market still shows signs of the weakness that crept in after this once red-hot market cooled along with the economy, but the overall market “has shown great resilience over the past year” and now shows signs of recovering.

That’s the gist of a new report on the county’s apartment market by Marcus & Millichap, whose Newport Beach regional manager, John Przybyla, says smaller deals are still being done at a brisk pace, pushing up average sales prices for apartment buildings.

“Investors have been purchasing smaller-sized deals and have pushed the average price to record highs,” despite the economic downturn and despite weakness that pushed up vacancies in some segments of the Orange County market, Przybyla says. Specifically, the study points out, the average-sized property sold dropped to 23 units in 2001 from 37 units in 2000. The median price per unit rose 14% to $70,000 in the central submarket and 21%, to $74,000, in the northern submarket during 2001.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.