South Florida Multifamily 2020 Forecast

BROWARD MULTIFAMILY MARKET SUMMARY* CONTINUED

MU LT I FAM I LY I NVE S TMENT | SOUTH F LOR I DA T E AM

NET ABSORPTION

DELIVERED UNITS

UNDER CONSTRUCTION

ASKING RENT PSF

ASKING RENT GROWTH

VACANCY

SUBMARKET

UNITS

ASKING RENT

21,582

$1,581

$1.52

2.7%

5.1%

88

-

211

Coral Springs

17,804

$1,766

$2.00

2.7%

6.8%

1,083

556

4,823

Fort Lauderdale

Hollywood/ Dania Beach

11,892

$1,344

$1.56

2.3%

5.6%

-4

-

506

Miramar/ Hallandale Beach Oakland Park/ Lauderhill Pembroke Pines/ West Miramar

5,666

$1,298

$1.46

3.5%

4.2%

95

-

0

13,940

$1,244

$1.41

3.1%

4.6%

-104

-

209

10,915

$1,803

$1.66

0.0%

7.0%

577

497

300

17,899

$1,559

$1.52

2.3%

5.0%

-30

-

1,805

Plantation/Sunrise

Pompano Beach/ Deerfield Beach

15,920

$1,356

$1.48

4.6%

5.1%

411

582

541

9,900

$1,626

$1.62

1.3%

5.0%

50

-

45

Weston/Davie

TOTAL/AVERAGE 125,518

$1,531

$1.58

2.5%

5.2%

2,166

1,635

8,440

• Broward witnessed the most multifamily sales in South Florida with 82 apartment sales totaling $1.64 billion with an average price of $214,441 per unit or $208 per square foot. • Sales volume increased by 9.7% from 2018.

• For 11th year in a row, average asking and effective rents were at record levels. • In 2019, average asking rents increased by 2.5%. • Highest rents are in Pembroke Pines/Miramar and lowest in Oakland Park/Lauderhill.

• Vacancies decreased in 2019 to 5.2% from 5.7%. • There were over 1,000 net units absorbed in Ft. Lauderdale which resulted in vacancies decreasing from 10.6% to 6.8%.

• There are 8,440 units under construction This represents 6.7% of the current inventory in the market. • In the past five years, 14,516 units were delivered to the market.

• For the second year in a row net absorption outpaced new supply. • In 2019, there were 2,166 net units absorbed and 1,635 units delivered in Broward.

• In 2019, median salary income increased by 5.5%. • The population grew by 115,599 in the past five years, and 1.3% in 2019.

*Data as of Jan-2020, apartment sales of 10 units or more, in excess of $1MM in pricing, excluding all condo sales Source: CoStar

9