Nationally, the total new apartment supply amounts to around 1.4 million units—well exceeding the decade-long historical average of 980,000 units. That is according to John Burns Research and Consulting's latest edition of The Light focusing on the wave of new apartment supply.
To understand the entire picture of new supply, John Burns searched metros undergoing construction of new units in addition to its deliveries in the past 12 months to estimate the total new apartment supply. Unsurprisingly, several Sunbelt markets are seeing more deliveries than other metros around the country.
Top 5 Metros for Apartment Development
Here are the five top metropolitan areas delivering and constructing new apartments in 2024.
1. Dallas
The Dallas, Texas, metro leads the nation in apartment development, according to John Burns:
- 20,062 units completed in 2023
- 55,212 under construction in 2024
- Total new supply of over 75,200 units
2. Phoenix
Phoenix, Ariz., is the second metro experiencing a surge of apartment demand:
- 17,167 units completed in 2023
- 51,208 under construction in 2024
- Total new supply of over 68,300 units
3. New York
New York, N.Y., comes third for total new apartment supply:
- 10,543 units completed in 2023
- 53,330 under construction in 2024
- Total new supply of over 63,800 units
4. Austin
Austin, Texas, is the forth metro delivering new units:
- 17,025 units completed in 2023
- 42,986 under construction in 2024
- Total new supply of over 60,000 units
5. Atlanta
Atlanta, Ga., rounds out the top five list of new apartment development:
- 20,001 units completed in 2023
- 34,250 under construction in 2024
- Total new supply of over 54,200 units
Future Outlook
While a record number of new supply is being built in the next couple of years, construction is expected to peak by 2025 before declining due to tighter financing and reduced permit numbers. Prepare for both short-term influx and long-term supply shortage.
Click here to read the full John Burn's report: How to Ride the Apartment Supply Wave.
Related Stories
Multifamily Housing | Jul 11, 2023
Converting downtown office into multifamily residential: Let’s stop and think about this
Is the office-to-residential conversion really what’s best for our downtowns from a cultural, urban, economic perspective? Or is this silver bullet really a poison pill?
Adaptive Reuse | Jul 10, 2023
California updates building code for adaptive reuse of office, retail structures for housing
The California Building Standards Commission recently voted to make it easier to convert commercial properties to residential use. The commission adopted provisions of the International Existing Building Code (IEBC) that allow developers more flexibility for adaptive reuse of retail and office structures.
Modular Building | Jul 6, 2023
Lennar, Mastry Ventures make multi-million dollar investment in net-zero prefab homes
Mastry Ventures and LENx, the venture arm of homebuilder Lennar, have co-invested in Vessel Technologies’ next-generation housing product.
Mixed-Use | Jun 29, 2023
Massive work-live-play development opens in LA's new Cumulus District
VOX at Cumulus, a 14-acre work-live-play development in Los Angeles, offers 910 housing units and 100,000 sf of retail space anchored by a Whole Foods outlet. VOX, one of the largest mixed-use communities to open in the Los Angeles area, features apartments and townhomes with more than one dozen floorplans.
Multifamily Housing | Jun 29, 2023
5 ways to rethink the future of multifamily development and design
The Gensler Research Institute’s investigation into the residential experience indicates a need for fresh perspectives on residential design and development, challenging norms, and raising the bar.
Affordable Housing | Jun 27, 2023
Racial bias concerns prompt lawmakers to ask HUD to ban biometric surveillance, including facial recognition
Two members of the U.S. House of Representative have asked the Department of Housing and Urban Development to end the use of biometric technology, including facial recognition, for surveillance purposes in public housing.
Apartments | Jun 27, 2023
Average U.S. apartment rent reached all-time high in May, at $1,716
Multifamily rents continued to increase through the first half of 2023, despite challenges for the sector and continuing economic uncertainty. But job growth has remained robust and new households keep forming, creating apartment demand and ongoing rent growth. The average U.S. apartment rent reached an all-time high of $1,716 in May.
Apartments | Jun 27, 2023
Dallas high-rise multifamily tower is first in state to receive WELL Gold certification
HALL Arts Residences, 28-story luxury residential high-rise in the Dallas Arts District, recently became the first high-rise multifamily tower in Texas to receive WELL Gold Certification, a designation issued by the International WELL Building Institute. The HKS-designed condominium tower was designed with numerous wellness details.
Multifamily Housing | Jun 19, 2023
Adaptive reuse: 5 benefits of office-to-residential conversions
FitzGerald completed renovations on Millennium on LaSalle, a 14-story building in the heart of Chicago’s Loop. Originally built in 1902, the former office building now comprises 211 apartment units and marks LaSalle Street’s first complete office-to-residential conversion.
Urban Planning | Jun 15, 2023
Arizona limits housing projects in Phoenix area over groundwater supply concerns
Arizona will no longer grant certifications for new residential developments in Phoenix, it’s largest city, due to concerns over groundwater supply. The announcement indicates that the Phoenix area, currently the nation’s fastest-growing region in terms of population growth, will not be able to sustain its rapid growth because of limited freshwater resources.