IRR-Tulsa Mid-Year Viewpoint 2015 Local Market Report - Multifamily
The Tulsa multifamily market continues to expand, driven by the attraction of new business, the expansion of existing industry in several key sectors, and low unemployment. Overall vacancy decreased over 2014 and continued downward the first quarter of 2015; however it will likely begin to increase as 2015 progresses with more than 400 new units nearing completion. Rental rates for both A and B/C property classes continue to increase, with units in central, south and southwest Tulsa seeing the highest rates as demand remains strong.
Cap rates remained steady for the most part over the beginning of 2015 while discount rates decreased slightly. Both cap and discount rates will likely see little variation throughout the remainder of the year. The Central Business District continues to be a hot spot for new development, with several projects in the planning stages. Notable projects include the proposed Brady District Flats and the Arco Building Apartments.
Currently, the former downtown YMCA building is being converted into 82 apartments. The multifamily market in suburban Tulsa remains equally strong with several large projects underway. Southwest Tulsa is experiencing growth in the multifamily sector including Grandview Heights, a 348-unit development set to open this summer and a proposed 565-unit development known as The Greens at Page Belcher. The market should continue to expand as the strengthening of the local economy drives the demand for multifamily housing in the Tulsa area.
Download the full version PDF of this Local Market Report below to see the charts, graphs, and tables not included above.
IRR Mid-Year Viewpoint 2015 comprises a National Overview report and 300+ two-page Local Market Reports for all key property types as well as additional resources, including metrics methodology, graphs, and tables; these free reports may be downloaded from IRR’s site here.