Here Are the Most Active Apartment Markets

If new apartment construction is a measure of a neighborhood’s attractiveness, then two massive apartment projects now under way in two New York boroughs prove the city’s lifestyle remains attractive for many – or at least that developers hope so. And they are far from the only U.S. neighborhoods experiencing apartment growth in Q3 2023, according to a recent RealPage report.

New York’s apartment pipeline is one of the fullest in the nation with 20,000 units under construction in Brooklyn. However, given the borough’s existing 480,000 units, the new addition will add only 4% to the neighborhood’s inventory. Queens will grow by the same proportion as10,700 new units supplement its existing stock of 280,000 apartments.

Relatively, the increase in Jersey City will be much greater as 12,000 units augment the submarket’s 77,000 existing apartments to add 15% to its inventory.

A few other neighborhoods nationwide have also seen multifamily supplies increase by at least 10,000 units. About 13,500 units are rising in Phoenix’s Avondale/Goodyear/West Glendale area, adding 58% to the area’s current 23,500 units. The Allen/McKinney area in Dallas and Central Nashville are also seeing rapid growth of their current inventories.

Respectable growth of over 8,000 units each is also occurring in City Center Philadelphia, downtown Miami/South Beach, Dallas’ Frisco neighborhood and Southwest Charlotte, NC. While these examples stand out, they are far from the only neighborhoods seeing new apartment construction. “Only about 13% of the 750+ submarkets across the nation’s 50 largest submarkets had no construction underway as of 3rd quarter, equating to about 100 submarkets,” the report noted.