Washington, D.C. Multifamily
Market Report

Core demand stands out nationally. The CBD posted net absorption of 6,100 rentals over the year ending in March, the highest total among major metros in the span. Demand was widespread, with four urban submarkets — North Arlington, Navy Yard-Capitol South, Northeast and Central D.C.  — noting local paces over 1,000 units. The core’s absorption trends are mitigating the impact of new supply on property metrics. At 5.3 percent in March, CBD vacancy was 300 basis points lower than the level from three years ago, despite the delivery of over 17,000 units in that time. Strategic concessions have aided leasing; however, discounts are being rolled back amid improving demand and tapering new supply. Occupied stock grew 4.2 percent in the CBD over the last year, double the marketwide pace, while local deliveries in 2024 are slated to near a six-year low.