5871 Glenridge Drive, N.E
    Suite 400
    Atlanta, Georgia 30328

    Office: (404) 917-1930
    Fax: (404) 252-8834


« Back to list

ATL multifamily: more capital, better financing, rising rents
May 9, 2013

Source: Atlanta Business Chronicle

By Wes Hudson, CohnReznick, LLP

A rebounding economy, more readily available capital and a low-interest rate environment contribute to a decidedly optimistic mood among multifamily developers.

And, barring events that could derail the broader economic recovery, national multifamily production could soon reach pre-crash levels of roughly 350,000 units nationally a year.

Given the challenges to get a mortgage and demographic shifts that should continue to favor renting, the focus on multifamily could continue for another three to four years. Debt and equity providers already are executing at a faster pace than in 2008 and not just for A-class projects. We are also seeing strong capital flows toward B- and C-class assets.

Gateway and other top-tier cities continue to be favored for capital investment: Atlanta at present is enjoying that attention. While secondary markets are, in spots, seeing some action in multifamily, markets such as Savannah and Mobile are still seen as largely too volatile. Examining Atlanta, though, reveals that the urban infill is attracting the vast majority of the money.

...Read the full article on the Atlanta Business Chronicle website.