The apartment sector continued its record run, reflected in the National Multifamily Housing Council’s (NMHC) newly released 2017 NMHC 50 – the authoritative ranking of the nation’s largest apartment owners, manager, developers, general contractors, and, new this year, syndicators.
MAA (headquartered in Memphis, Tenn.) is the country’s largest apartment owner, with 99,393 apartment homes owned. Propelling MAA to the top of the list was its acquisition of Post Properties and its 24,000 apartments.
Greystar Real Estate Partners (headquartered in Charleston, S.C.) remained the largest apartment manager, with 415,634 apartments under management.
Greystar Real Estate Partners also jumped to the top of the apartment developers list this year through its 7,623 apartments started in 2016.
Alliance Residential Company (headquartered in Phoenix, Ariz.) retained its spot as the nation’s top general contractor for the second year in a row, starting 6,933 apartments in 2016.
Alden Torch Financial (headquartered in Denver, Colo.) is the country’s largest apartment syndicator with 183,456 apartments syndicated.
“Whether it’s rent growth, occupancy or absorptions, key industry metrics continued to show 2016 as one of the strongest years on record for the apartment industry,” said Mark Obrinsky, NMHC’s Senior Vice President of Research and Chief Economist. “Any way you slice it, last year was a tremendous one for multifamily.”
Additional industry and NMHC 50 highlights:
- 9.1 million – Growth in renter households over the past decade, according to the Census Bureau.
- 1,992,700 – Number of units owned in the NMHC 50 ownership list, representing 9.6 percent of the total apartment stock in the U.S.
- 3,177,852 – Number of units managed in the NMHC 50 management list, an all-time high and a 4.3 percent growth over last year.
- 96.2 percent – Occupancy rate in 2016, the highest since 2000, according to MPF Research.
- 311,700 – Number of apartments completed in 2016, according to the Census Bureau.
- 289,025 – Absorptions of apartments, which is 87 percent higher than historical average, according to MPF Research.
- $159.4 billion – Total transaction volume for 2016, a new record according to Real Capital Analytics.
NMHC partners with Kingsley Associates, a leading real estate research and consulting firm for the NMHC 50’s research and analysis. All apartment owners, managers, developers, general contractors and syndicators are invited to answer a survey questionnaire that asks about their prior year activities. Apartment owners, managers and syndicators are ranked based on their portfolio holdings (either owned or managed) as of January 1, 2017, while developers and general contractors are ranked based on the number of units started in 2016.
For more details about the NMHC 50, visit www.nmhc.org/The-NMHC-50
The site, formerly home to the GlaxoSmithKline and J. Lyons & Co. operations, will comprise mixed use development with a significant focus on rental housing but also including for-sale residential, employment, active retail, amenity, and community uses.
Greystar said that upon completion it will be the largest purpose built rental housing development created in the UK.
The development is part of Greystar’s plans to introduce its multifamily proposition to the UK market.
Greystar is the largest multifamily operator in the US and a large operator of student housing in the UK, and manages over 410,000 residences worldwide.
Wes Fuller, executive managing director, Greystar, said: “We have aspirations to build a large portfolio of purpose designed and developed rental housing in London. The under-supply of housing in London represents an attractive investment opportunity for us and our partners. As a vertically integrated company, we intend to develop and operate the project utilising our team in London.”
Mark Allnutt, managing director, Greystar UK Multifamily Team, said: “Greystar’s approach to our sites, with total immersion from conception to planning and development to long-term management, allows us to offer residents the benefits of a high-quality home without compromise. We are working closely with the local community and the London Borough of Ealing to regenerate the site and create a true, sustainable, community.
"The Greenford site represents our opportunity to introduce an entirely new way of living to the UK. The multifamily model allows people of all ages and life stages to enjoy the benefits of fully-managed properties with superior specifications and amenities. We believe that this marks the beginning of a revolution in the UK property market, and are proud to be leading the way.”
