Major Florida Markets Lead the Nation for New Lease and Renewal Trade-Out
Apartment market performance has surged across Florida markets as recent demand levels shattered previous records. As a result, all six major Florida markets were in – or near – the top 10 for both new lease trade-out and renewal lease trade-out in November. West Palm Beach led for both performance metrics in November with new lease trade-out of 39% and renewal lease trade-out of 14.2%. On a national level, the West Palm Beach performance was best in the U.S. for new lease rent growth and was bested only by the rate in Phoenix for renewal rent growth. In comparison, the U.S. overall logged new lease trade-out of 16.1%, while national renewal lease trade-out was 9% in November. Miami was the only major Florida market to not rank as a top 10 market for renewal trade-out, though this market was not far behind at #13 with growth of 10.8%. This was the fourth straight month these major Florida markets were in the top 10 in the nation in new lease trade-out performance as operators continue to push rents on the back of the continued demand surge. Florida markets beat already record demand levels recently as typical leasing seasonality has been pushed back. Miami and Orlando hit especially strong levels, logging absorption for roughly 15,000 to 17,000 units in the year-ending 3rd quarter.