• Key metrics for the Houston area multifamily sector continued to be positive in December.
  
  
• While overall occupancy recorded a marginal decrease over the month, on an annual basis occupancy in all classes recorded upward changes. For Class A properties occupancy went up by 1.44% to close at 93.38% in December. For Class B properties occupancy went up by 1.07% to close at 88.15%.
  
  
• Average rental rate per square foot went up for all classes both over the month and over the year. The Class A average increased by $0.003 over November and by $0.013 over the year to close at $1.188 per square foot. The class B average increased by $0.001 over the month and by $0.008 over the year to close at $0.840 per square foot.
  
  
• The average rental rate per unit also recorded significant increases over the year. The Class A average increased by $10.79 to close at $1,128.53 per square foot. The Class B average went up by $6.92 per square foot to close at $689.85 per unit.
  
  
• 8,601 units spread over 39 projects are in the construction pipeline. 1,813 units spread over eight of these projects are currently pre-leasing.

Houston Apartment Market Key Metrics

Occupancy	88.26%	Rent / Unit	$775.07	Rent / SF	$0.896
Monthly Change	-0.05%	Monthly Change	+$1.13	Monthly Change	+$0.001
Annual Change	+1.25%	Annual Change	+$7.39	Annual Change	+$0.009

Monthly absorption in Houston was negative 315 units, while annual absorption (rolling twelve months) totaled positive 9,441 units. 3,672 units are in the planning stage.

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