Rent Movement Remains Consistent
South Florida’s strong fundamentals drove its performance following the first quarter of 2024, according to the latest Yardi Matrix Miami multifamily market report. Rents increased 0.2% on a T3 basis, to $2,427, marking the fourth consecutive month of positive growth. The average overall occupancy rate in stabilized properties decreased by 40 basis points year-over-year, but still stood above the nation’s 95.4%. Of the two quality segments, Renter-by-Necessity occupancy figures posted a steeper, 60-basis-point decline.
Employment growth in Miami expanded 2.6% year-over-year as of February, the equivalent of 58,500 net jobs. The metro’s rate of growth was 110 basis points above the national average, according to the national multifamily report. Education and health services led gains with 17,700 jobs. The area’s unemployment rate stood at 2.7% as of March, 110 basis points below the U.S. figure, according to the Bureau of Labor Statistics. Miami’s economy is set to receive another boost from its tourism sector, as MSC’s $450 million PortMiami nears completion. The new port is being hailed as the world’s largest cruise terminal.
With 2,782 units or 0.8% of existing stock delivered through April in Miami, the metro outpaced the nation by 20 basis points. Meanwhile, transaction volume remains limited, with only $352 million in assets changing hands, as high interest rates are making investors more cautious.
Read the full Yardi Matrix Miami Multifamily Market Report: June 2024
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