Atlanta Multifamily Market Report
Rent Growth Returns to Sustainable Level;
Construction Signals Incoming Supply Wave
Economic trends support vacancy, rent stabilization. Atlanta's multifamily sector is entering a cooling period as supply catches up to the unprecedented demand surge seen during the pandemic. Metrowide, unit availability closed June at 4.3 percent, 130 basis points above the year-end 2021 rate. Double-digit rent growth translated to vacancy decompression across all submarkets during the first half of this year, as availability closes in on the long-term average. Furthermore, rising vacancy across all apartment tiers indicates that this movement is driven by a mix of household consolidation and rapid development activity. Upward-trending availability is expected to end frenetic rent growth, with year-over-year gains in this metric expected to return to the single digits before the end of 2022.