Most people in the multifamily industry would say that 2023 was a year to forget and, in the Washington area, we have not been immune to the problems plaguing the multifamily industry nationally.
The year started with a new landscape that featured rising interest rates, a glut of new-project deliveries, increased expenses and peaking rents. Navigating this new market proved to be complicated for everyone, especially since many in the industry today have never seen a downturn. How 2024 ultimately goes will be determined by how some key components of the market fare.
The Washington area has seen a prolific level of new construction, with an average of 12,613 units added annually over the past 10 years and 32,552 units under construction, representing 4.8% of current inventory. Most of the new construction, though, has been centered on the Navy Yard/Capitol South in D.C., Bethesda in Maryland, and Crystal City and North Arlington in Virginia. These submarkets will continue to see impacts,…
Read the full story from the Washington Business Journal.
