By John Bogdasarian, Promanas At a time when the multifamily marketplace is experiencing some turbulence after an extended period of strong growth, some developers, owners and investors are rethinking, repositioning and reworking their approach to a commercial real estate sector that has historically been one of the most reliable investments and dependable asset classes. Current market conditions, however, are not as favorable. A report by The Motley Fool this summer highlighted a 21 percent decline in apartment value. Overbuilding has saturated some markets, contributing to an increase in vacancy rates to around 7 percent and helping push rent growth down to 0.8 percent. In conjunction with persistently high interest rates and increasing delinquency issues with renters, the result is that building a traditional apartment product is a very tricky proposition. Even though the apartment market is somewhat dysfunctional at the moment, there are still plenty of opportunities in multifamily. For thought leaders and forward-thinking commercial real estate investors and professionals, the key is to understand the market, be flexible in your development and investment strategies, and be able to execute an approach that does work in the current marketplace. For those looking to maximize multifamily returns in 2024, there are …
