February 2011

Click here to view as PDF.

Key metrics for the Houston area multifamily sector were mostly positive in February. Overall occupancy increased across all classes, with Class A properties recording occupancy at 92.14%. Absorption returned to positive figures with Class A properties recording the highest absorption at 446 units. Overall rental rates per square foot remained unchanged over the previous month, with Class B properties recording a decrease of $0.001 and Class C properties recording an increase of $0.001. Declines were noted in average rents per unit of all classes – Class B rates came down by $0.52 – resulting in the overall average decreasing marginally compared to January. With over 36% of the construction pipeline currently pre-leasing and no significant deliveries expected in the coming month, the sector’s key metrics should remain mostly positive in the coming month.

Houston apartment market occupancy increased 0.22% points over the adjusted figure of the previous month to 86.91% in February and increased by 1.41% over the same period last year. Average rents per square foot remained unchanged compared to January, and are up $0.003 over February 2010. Average rent per unit decreased by $0.39 to $768.17, while the average increased by $9.62 over February 2010. Monthly absorption was positive 893 units, while annual absorption (rolling twelve months) totals positive 11,517 units.

To subscribe or unsubscribe to this update, please send an email to Scott Sherrill or call
1-800-856-REAL (7325) ext. 4264.

O’Connor & Associates / Research & Consulting Group
Houston: 713-686-9955  

O'Connor & Associates -- Your Key to Real Estate Success
Corporate Office:
2200 North Loop W., Suite 200
Houston, TX 77018
1-800-856-7325

www.poconnor.com • www.oconnordata.com • www.oconnorcomps.com
Houston • Dallas • San Antonio

If you would like to be removed from this list and receive no future real estate information, click here to unsubscribe.