Landlords are making fewer concessions to lure tenants to their apartment buildings, and vacancies and rents still increased during the fourth quarter.
Apartment vacancies rose to 6.1 percent, compared to 5.2 percent during the third quarter but is still the lowest fourth-quarter vacancy rate since 2001, according to the fourth-quarter Denver Metro Apartment Vacancy & Rental Survey released Wednesday.
Average rent was up to $860.36, compared to $858.36. It’s still less than the peak of $865.76 in 2005.
“People in the apartment business are finally starting to make some money,” said Mark Williams, executive vice president of the Apartment Association of Metro Denver.
Demand for apartments last year was twice as strong as supply, with 4,644 units rented and just 2,262 new units built.
The strong multi-family market continues to attract investors, said Steve Rahe, first vice president of the CB Richard Ellis.
“Investors are coming from all over the country because they believe there’s three to five years of good rental growth in front of us,” Rahe said.
Margaret Jackson: 303-954-1473 or mjackson@denverpost.com
