Study of 78,000 properties reveals challenges and weak spots in the return to post-pandemic conditions
SANTA BARBARA, Calif., April 22, 2021 – Multifamily performance has rebounded quickly from the pandemic slowdown, but there are exceptions in urban gateway metro submarkets. According to a study of 78,000 properties with 14.4 million units in Yardi® Matrix’s database, large occupancy declines in the last year have been concentrated in a handful of cities that may take up to five years to recover.
Roughly one out of every 14 multifamily properties in the U.S. has seen occupancy rates drop by 5% or more over the last 12 months, states the new multifamily occupancy bulletin. These losses are concentrated in urban assets in nine gateway metros, including San Francisco, Chicago, Los Angeles, Manhattan and others. In the year ending February 2021, 7.3% of properties nationally saw occupancy rates drop by 5% or more and 1.8% of properties saw occupancy rates drop by 10% or more.
“The study shows a large bifurcation in market performance and recovery period. Some markets are back to pre-pandemic performance levels already, while it could take five years or more for rents to recover in the most affected urban submarkets,” say Matrix analysts.
Find much more in-depth insight on multifamily occupancy levels from Yardi Matrix.
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