As for target market, Ratner said that their projects have a very diverse demographic appeal. “We are reaching the never-nester, men, women, couples, not couples, millenials, etc. we also get our share of the baby boom moving back.”

When moderator Ricardo Rivas, principal and chief investment officer at Allied Orion Group, asked paenlist Jay Hiemenz, president and COO of Alliance Residential Co., about his portfolio, he said it is a very broad one. “We try to be opportunistic to where the opportunities are within a market.”

Hiemenz says that there is some overbuilding in the urban core, which happens from time to time, but said “we think we able to try to keep our antennae up and see if a market is better suited for suburban. You can even go street corner to street corner and get different results,” he said.

For his company, he says they look within each market to determine what they want to do there. “Even in Houston, we are looking at some core long term holds, which I know some people are gasping at. They will do fine in the long term as long as we get past the absorption market.”

And marketing is getting much more sophisticated, which helps, Hiemenz explained. “We are using a lot of tools to help us learn all kinds of information to figure out our target renter for a location. In this cycle, we saw a lot more baby boom who found a way to our conventional product, but now we are having to design specific products for them.”

Like Ratner, Hiemenz is renting to a diverse group of people. “We are renting to Millennials etc. and the occasional Gen X and Gen Y. I think the boomer demographic has been interesting to really focus on and I think frankly, it has sort of helped in some of these locations or settings where they may have gotten overbuilt.”

For Hiemenz, their focus is probably as much as 50% suburban now. “We have seen good demand there despite what we continue to hear from the urban demographers. Suburbs haven't died. The suburban product we are doing now is different than the suburban product we did in the last cycle.”

Several economic factors have resulted in net positives for the multifamily sector and prices in core markets are at an all-time high. But just how long can the market continue on this trajectory? Join us at RealShare Apartments East on Feb. 28 and March 1 for insights on succeeding in the right markets as well as navigating and finding opportunities in the more challenging ones. Learn more.

SAN DIEGO—How do you develop in today's world of increased development costs and growing infrastructure issues? A panel of expert builders at last week's NMHC Apartment Strategies Outlook Conference took a closer look and discussed development techniques for different design types as well as forward-looking construction strategies and how to make them work.

According to Ron Ratner, EVP and chief development officer of Forest City Realty Trust, his firm focuses on being primarily in a series of core primary markets. “We are committed to core urban markets.” He says they have also teamed a lot with partners to make that happen and says that they look at mixed-use development where they really think they can develop a place. “We look for placemaking.”

Ratner explained that his company looks to add value in a development rather than just position a property for the short term. “We are confident that for the long term, those types of developments are healthy.”

The placemaking part of Forest City Realty Trust's business gives them a strategic advantage as well as a long term hold, he added. And when they work with capital partners, they try to find ones with that same view, he explained.

As for target market, Ratner said that their projects have a very diverse demographic appeal. “We are reaching the never-nester, men, women, couples, not couples, millenials, etc. we also get our share of the baby boom moving back.”

When moderator Ricardo Rivas, principal and chief investment officer at Allied Orion Group, asked paenlist Jay Hiemenz, president and COO of Alliance Residential Co., about his portfolio, he said it is a very broad one. “We try to be opportunistic to where the opportunities are within a market.”

Hiemenz says that there is some overbuilding in the urban core, which happens from time to time, but said “we think we able to try to keep our antennae up and see if a market is better suited for suburban. You can even go street corner to street corner and get different results,” he said.

For his company, he says they look within each market to determine what they want to do there. “Even in Houston, we are looking at some core long term holds, which I know some people are gasping at. They will do fine in the long term as long as we get past the absorption market.”

And marketing is getting much more sophisticated, which helps, Hiemenz explained. “We are using a lot of tools to help us learn all kinds of information to figure out our target renter for a location. In this cycle, we saw a lot more baby boom who found a way to our conventional product, but now we are having to design specific products for them.”

Like Ratner, Hiemenz is renting to a diverse group of people. “We are renting to Millennials etc. and the occasional Gen X and Gen Y. I think the boomer demographic has been interesting to really focus on and I think frankly, it has sort of helped in some of these locations or settings where they may have gotten overbuilt.”

For Hiemenz, their focus is probably as much as 50% suburban now. “We have seen good demand there despite what we continue to hear from the urban demographers. Suburbs haven't died. The suburban product we are doing now is different than the suburban product we did in the last cycle.”

Several economic factors have resulted in net positives for the multifamily sector and prices in core markets are at an all-time high. But just how long can the market continue on this trajectory? Join us at RealShare Apartments East on Feb. 28 and March 1 for insights on succeeding in the right markets as well as navigating and finding opportunities in the more challenging ones. Learn more.