Scroll Down

Market Report

Washington, D.C. Multifamily Investment Forecast

2020 Outlook

Multifamily Development Nudges Higher As Vacancy Reaches Cycle Low

Elevated renter demand in Navy Yard filling newly delivered apartments.After two years of declines, Washington, D.C.’s development pipeline will expand in 2020. The focal point of construction is in the Navy Yard and along the Capital South Waterfront, where more than 4,000 apartments will be completed by year end. New entertainment options, including the opening of Audi Field in 2018, have bolstered renter demand in the area. Deliveries will also rise in multiple Arlington submarkets, encouraged by the establishment in National Landing of Amazon’s second headquarters. Housing needs are expected to increase in surrounding areas moving forward, as hiring at the e-commerce giant’s new offices ramps up this year. The number of upcoming arrivals, particularly in the Navy Yard, will weigh on local vacancy in the short term, but fewer apartment additions in other parts of the market, such as Central D.C. and Downtown Silver Spring, will support an overall drop in availability in 2020. Tighter vacancy is in turn sustaining rent growth, particularly among Class B units.

Related Research

Back to top