Colliers Greenville-Spartanburg Multifamily Report: New wave of deliveries outpacing absorption
September 11, 2024
Commercial Real Estate Research & Forecast Report
Q2 2024 Greenville-Spartanburg Multifamily
Market Highlights
The Greenville-Spartanburg market’s multi-year building boom outpaced demand in the second quarter as 1,395 units delivered, decreasing vacancy slightly to 88.88%. The construction pipeline continues to taper off as interest rate uncertainty has limited new starts over the past few quarters as 322 units broke ground in Q2. 3,443 units have delivered in the past year in response to consistent demand from new migrants to the market, spread across inner suburbs and downtown areas as well as outlying small cities.
Click here to read the full report.
Key Takeaways
- Construction pipeline robust but slowing
- Rents increased to $1,247 as recent construction comprises a significant proportion of the market
- Deliveries outpaced absorption, driving occupancy down to 88.88%
Summary
Average rents rose slightly over the previous quarter as owners are pricing in higher construction costs, though rent concessions are frequent in newly built properties as developers seek to stabilize properties prior to sales. Investment sales are primarily focused on older properties as newer Class A properties face greater competition for tenants.
About Colliers
Colliers | South Carolina is the largest full-service commercial real estate firm in South Carolina with 66 licensed real estate professionals covering the state with locations in Charleston, Columbia, Greenville and Spartanburg. Colliers is an Accredited Management Organization (AMO) through the Institute of Real Estate Management (IREM) and is the largest manager of commercial real estate properties in South Carolina with a portfolio of over 23 million square feet of office, industrial, retail and healthcare properties. Colliers’ staff hold the most professional designations of any firm in South Carolina. Colliers | South Carolina’s partner, LCK, provides project management services for new facilities and renovations across South Carolina.
Colliers (NASDAQ, TSX: CIGI) is a leading diversified professional services and investment management company. With operations in 68 countries, our 22,000 enterprising professionals work collaboratively to provide expert real estate and investment advice to clients. With annual revenues of $4.4 billion and $96 billion of assets under management, Colliers maximizes the potential of property and real assets to accelerate the success of our clients, our investors and our people. Learn more at corporate.colliers.com, X @Colliers or LinkedIn.
