2024 | Multifamily Market Report | Columbus, OH
Columbus Multifamily Market Report + Sales Comp
Multifamily Overview
Columbus concluded 2024 as one of the top U.S. markets for rent growth among areas with over 75,000 apartment units, with rents climbing 2.7% year-over-year. This strong performance reflects a modest pace of completions, with 5,829 units delivered in the past 12 months, 25% above the pre-pandemic average yet below the national surge in supply. Columbus’ Northeast and Bexley-Whitehall submarkets, which posted rent growth of 4.1% and 3.8% respectively, led the market, driven by healthy demand and limited vacancy. Conversely, Downtown Columbus struggles with high vacancies and elevated completions. However, improvements are expected as the construction pipeline contracts, and available units are absorbed. The construction pipeline is expected to tighten over the next 12 to 18 months, pushing rent growth higher. Columbus’ relative affordability, strong job growth, and manageable supply additions continue to distinguish it as a robust Midwest market.
Sales Metrics
- Sales Volume: $614M
- Transactions: 75
- Sales Price/Unit: $131K
- Market Cap Rate: 6.8% | 2024 | Source: CoStar Group
Economic Overview
Columbus’ employment outlook is set to receive a significant boost from major corporate investments. Intel’s new factories in New Albany are projected to generate 3,000 direct jobs. This, in turn, solidifies the region’s status as a hub for advanced manufacturing. Additionally, Honda’s $237 million investment will position Ohio as its main production hub for North American operations. These developments have spurred rapid growth in construction employment. As a result, this sector expanded at the fastest pace of any sector in Columbus during 2024. The influx of jobs and associated economic activity is expected to sustain demand for multifamily housing in the region, particularly in submarkets near these major projects. As these corporations ramp up operations, the resulting population and income growth will likely enhance Columbus’ attractiveness as a destination for renters.
