Search
 

Optimism Prevails in Apartment Sector

ORLANDO-Investors like the area's long-term prospects are looking up despite a faltering job market.

By Carl Cronan | Updated on January 26, 2009

(Carl Cronan is editor of Real Estate Florida.)

ORLANDO-The local market for apartments appears to be stable in the long term, despite a slight overall decrease in employment, according to multifamily experts. Job losses in the construction, retail and government sectors are being offset by gains in the hospitality industry, a continual strong suit for the nation’s theme park capital, as well as in the burgeoning medical field.

As a result, investors are optimistic about the area’s long-term prospects and more robust apartment fundamentals in upcoming quarters, says Bryn Merrey, regional manager of Marcus & Millichap’s offices in Orlando and Tampa. Capitalization rates appear to be settling on either side of the 7% mark, and first-year returns could ratchet up as expectations between buyers and sellers realign, he says.

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.