A jobless recovery. "Absurd," you say? Not in the apartment world, leaders of four of the country’s largest multifamily REITS said at mid-year. And they had the numbers to prove it.
"Increased renter demand from the baby boom echo, falling homeownership rate and historically low new supply almost offset the worst drop in employment in over 60 years," said Camden Property Trust CEO Ric Campo, who expects the nationwide apartment REIT’s same-store NOI to see positive year-over-year numbers in Q4.
"This cycle, which included the Great Recession, produced a peak-to-trough revenue decline in our portfolio of eight percent and an NOI decline of 10.5 percent. It lasted for six quarters and came with a total employment loss of 8.4 million jobs. By comparison, during the 2001 to 2003 downturn, our portfolio experienced a roughly six percent revenue decline and an 11 percent NOI decline. It lasted five quarters and we lost a total of 2.7 million jobs," he said.
Back in the bad old days of 2003 ... read more