Builders stay active, keeping pace of development far above last cycle’s. Apartment construction in San Francisco will remain historically elevated in 2020 as 3,600 units are set for delivery, with developers focusing heavily on the Mission District and SoMa areas. This cycle’s annual average completions are nearly 4,000 units, more than double that of the previous cycle as builders capitalize on the area’s growing renter pool and exceptional economic growth. San Francisco will lead the nation in household income growth this year, rising 5.4 percent to $132,300, fueled by the unwavering creation of high-wage jobs. Residents taking these jobs will continue to help fill the influx of new luxury apartments, where the average effective rent hovers around $4,000 per month. Over the past five years, Class A assets have led the market in rent growth, climbing 21 percent, while the Class B and C segments posted 14 percent and 18 percent gains, respectively.