San Francisco Business Times Features Jack Markey

In a recent article for the San Francisco Business Times titled, “San Francisco apartment rents have jumped more than all but one U.S. city,” Matthews™ associate Jack Markey explains how the recent slowdown in apartment construction has affected rents in the area.

 

Unlike SunBelt markets such as Austin and Phoenix, California’s multifamily sector has seen decreased new developments in recent years. This slowdown in construction starts has applied added pressure on cities like San Francisco to “confront the shortfall“.

 

According to Markey, today’s pipeline only has about 1,500 apartment units under construction—a 40% decrease from about a year ago and the lowest total in three years.

 

“High construction costs and tighter lending have slowed new development and kept inventory growth in check,” says Markey.

 

Read the full article here to gain more insights on why San Francisco’s apartment rents are increasing at the second-fastest pace in the nation.