Shifting Demographics Look Positive for Apartment Industry
Digested from The Changing Landscape of Multifamily Renters Property Management Insider (5/4/16) Blackwell, Tim
As apartment needs and desires change with shifting demographics, apartment owners and developers must be ready to fulfill renters wishes. But in urban centers like Dallas, those owners and developers will be working under the constraints of limited space and rising construction costs.
Baby Boomers and Millennials may have different tastes, but theyre seeking similar spaces. So far Millennials and empty nesters are mixing fairly well, says Margette Hepfner, senior vice president of client services at Lincoln Property Co. You might think that empty nesters living next door to fraternity kids could cause lease terminations, however that hasnt been the case, she said.
The other phenomenon we see now, and I think it will continue, is more and more people are working out of their apartment, starting their own business or working for a company that doesnt have an office (here), says Tom Bakewell, president of development for Street Lights Residential, in Dallas.
One aspect of American life that is changing is that thirtysomethings are renting for longer and need bigger spaces to accommodate growing families. The renter demographics are shifting; everyone isnt moving into a house at 32. Were seeing them wait until 40 or even older. The shift seems to be having a positive impact on the industry, says Hepfner.