A recent report from Harvard University confirms several trends in the multifamily industry. More Americans are renting by choice, vacancies are down and multifamily development is up.  And the need for more affordable rental housing shows the irreplaceable role rental housing plays in every community.

Harvard’s Joint Center for Housing Studies has released an annual State of the Nation’s Housing report since 1988. Their 2012 report highlights the economic and demographic trends driving the country’s housing demand.  The national rental vacancy rate fell to 8.7 percent in 2012, according to the report, the lowest level since 2001.  Market conditions for professionally managed apartments were even stronger, with average vacancy rates at 4.9 percent.  The brisk pace of growth in renter households is the reason for the rise in construction of new rental units by 258,000 in 2012, the report surmised. Multifamily building permits in many markets have surged past average levels seen in the 2000’s and activity in Austin, Raleigh and Bridgeport “approached all time highs.”

But the gap between the supply of affordable housing and demand for low-income quality rental housing reached 5.3 million in 2012, the report noted. The National Apartment Association welcomed Harvard’s report as an affirmation of the quality and professionalism of the nation’s rental housing owners and operators.  Doug Culkin, President of the NAA expressed the NAA’s disappointment over the fact that so many Americans continue to struggle to find safe and affordable housing. “NAA and its affiliates look forward to continuing to work with policymakers at all levels of government on sensible and effective strategies to meet this need,” he said. 

No one is really sure if it’s the actual weather in Washington that makes it so hot in summer, or if it’s all the hot air pouring out of agency buildings.  Christine recently spent a morning at EPA  headquarters and still can’t tell. She was in town representing the National Apartment Association to argue for the interests of the apartment industry at an EPA public meeting about lead paint hazards in buildings. The powerful federal agency might expand their Renovation Repair and Painting rules to commercial buildings.  Current RRP rules only apply to residential buildings built before 1978-the year lead was taken out of paint, and child care facilities.  RRP rules can add huge costs to renovation and repair projects.  In typical Washington cart-before-the-horse fashion, the EPA is considering requiring every single commercial building in the country-even the ones built after 1978 – to follow RRP rules as well.  In her comments Christine noted they are simply guessing there could be a problem and from there they are guessing at a solution to fit their imaginary problem.

NAA RRP comments for EPA June 26 2013 draft June 23

The bright future for the multi-family housing in Pennsylvania was the subject of a symposium, Trends in the Multi-Family Market, in Pittsburgh last week. More than 100 apartment industry leaders, Pittsburgh lawmakers, and area attorneys attended. The Apartment Association of Pennsylvania's Government Affairs director participated on the panel. The panel offered their insights on the latest developments in capital markets, multi-family housing design and the need for public policies that recognize the importance of multi-family housing in every community. 

Pittsburgh Business Times Article:

http://www.bizjournals.com/pittsburgh/blog/the-next-move/2013/05/a-different-american-dream.html