MIAMI—Berkadia's second quarter 2017 South Florida Multifamily Report shows stabilizing rents in the regional market as apartment deliveries reach a post-recession high. With apartment inventory growth expected to slow over the next 18 months, GlobeSt.com caught up with Charles Foschini and Mitch Sinberg, Senior Managing Directors at Berkadia, to provide some clarity into what this means.

GlobeSt.com: South Florida renters have occupied 5,986 units since mid-2016, which is almost five times the number of units absorbed in the preceding year, and occupancy still close to 95 percent. What seems to be driving this continued demand?

Sinberg: When it comes to occupancy, a reason we can attribute this high percentage is the market still playing catch up from the recession, when no new multifamily units were built. This explains why the volume of new deliveries that we're seeing hasn't had such a great effect on occupancy or rental rates. South Florida's economy also continues to do well, so we can expect demand to keep pace with new supply in the near future.