Demand growth will ease as pipeline empties. A year of transition is in store in the Louisville market during 2017. Developers will step up efforts and raise completions to a cycle high this year, coinciding with a projected slowdown in hiring. A substantial rise in the vacancy rate is likely metrowide, one year after a 16-year low was recorded, and rent growth will moderate from the nearly 6 percent pace recorded during 2016. Projects comprising more than 1,500 units are on tap in Central Louisville and the northeastern section of the city. The vacancy rate in these areas ended last year in the low-4 percent range but appears likely to rise notably during 2017, potentially prompting the more frequent use of concessions. The coming year will test the limits of demand for upper-tier rental housing in the urban core.