Search
 

PE Firms Remain Committed to Washington, DC

As the DC metro area's multifamily market remains resilient, private equity investors remain active, a trend with positive regional and national implications, writes Capital One's Sadhvi Subramanian in this EXCLUSIVE commentary.

By Sadhvi Subramanian | Updated on February 05, 2018

Photo of Sadhvi Subramanian “Private equity is as deeply attracted to Washington multifamily as ever,” writes Subramanian.

McLEAN, VA—The trend line is clear. Over the past few years, multifamily investors have become increasingly bullish. In 2014, when Capital One first surveyed attendees at the annual RealShare Apartments Conference in Los Angeles, 43% of those industry professionals said they planned to be net buyers in 2015. In each succeeding year, interest in buying has grown steadily, from 47% for 2016, to 51 percent for 2017 and now 57% for 2018.

Will Washington, DC, follow this trend in 2018? Last year, Greater Washington had 14,700 completions, mostly class A properties concentrated inside the beltway and in nearby suburbs like Rockville and McLean. The metro area is projected to have even more deliveries in 2018—16,700 according to Marcus & Millichap. As 2017 progressed, rent growth slowed and vacancy rates moved upward, but the effects were not dramatic—and they are expected to remain muted through 2018.

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.