Apartment Feasibility Studies
The feasibility studies and analysis of apartment rental projects requires research that focuses not only on the current market performance, but also the current and projected supply, demand, absorption, and mobility rates. By studying the macro factors such as employment growth, new supply, demographic projections and micro factors related to the income-driven demand of household incomes, product concept, and project competitive advantages, we can define where a apartment project’s potential can be enhanced. Because competition for the resident is won with the overall asset, we examine everything from the market including unit mix and square footage, amenities, parking and rents. We take a deep dive into the details – where the real asset performance of the apartment project is determined – taking into consideration demographic projections, renter spending habits, income-driven demand, household income being captured, inventory structure and price sensitivity by apartment type and square footage range.
In addition to new purpose built apartment construction, we can also perform market research and feasibility studies for existing apartments to evaluate competitive assets and research reports on specific markets.
Each apartment asset is different but we review theses basic factors as part of our apartment market research and feasibility studies projects:
- Market Performance
- Current and Future Supply
- Target Markets
- Demand Drivers (Macro & Micro)
- Project Competitive Advantages
- Product Concept
- Manager Interviews
- Absorption Rates
- Mobility Rates
- Renter/Buyer Behaviors