Apartment Production Up Strongly Year Over Year

The Census Bureau’s preliminary estimate for starts in buildings with five or more apartments in July came in at  229,000 units (at a seasonally adjusted annual rate), up 9.6 percent from the revised figure for June (revisions to the May and June numbers were minor).

The 3-month moving average has been very stable, hovering between 205,000 and 210,000 for the past quarter.  Production in this range is a substantial improvement over the roughly 100,000 five-plus starts recorded in 2009 and 2010, or even the 167,000 last year.  The industry was consistently hitting production targets in the neighborhood of 300,000 a year for the entire decade of 1997-2006, however, so there still appears to be substantial room for improvement before apartment construction returns to a long-run sustainable rate.

On a year-over-year basis, all the five-plus numbers in the Census Bureau’s new residential construction report for July were up strongly: the five-plus starts rate was up 30.1 percent from July of 2011; the seasonally adjusted rate at which new five-plus permits were issued (274,000) was up 47.3 percent; the number of unused five-plus permits in the pipeline (44,200) was up 24.8 percent, the seasonally adjusted number of five-plus units under construction (218,000) was up 32.1 percent; and the seasonally adjusted rate of five-plus completions (209,000) was up 47.2 percent.

7 Responses to Apartment Production Up Strongly Year Over Year

  1. […] This article was originally published on the NAHB blog, Eye on Housing. […]

  2. […] This article was originally published on the NAHB blog, Eye on Housing. […]

  3. […] This article was originally published on the NAHB blog, Eye on Housing. […]

  4. […] single-family starts were down in July, multifamily construction continues to expand. Housing starts of units in buildings with five or more apartments came in at 229,000 seasonally adj… from the revised figure for June. The three-month moving average has been very stable, hovering […]

  5. […] single-family starts were down in July, multifamily construction continues to expand. Housing starts of units in buildings with five or more apartments came in at 229,000 seasonally ad… from the revised figure for June. The three-month moving average has been very stable, hovering […]

  6. […] single-family starts were down in July, multifamily construction continues to expand. Housing starts of units in buildings with five or more apartments came in at 229,000 seasonally ad… from the revised figure for June. The three-month moving average has been very stable, hovering […]

  7. […] While single-family starts were down in July, multifamily construction continues to expand. Housing starts of units in buildings with five or more apartments came in at 229,000 seasonally ad… from the revised figure for June. The three-month moving average has been very stable, hovering […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: