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Market Report

Dallas-Fort Worth Multifamily Market Report

2024 Investment Forecast

Motivated by Nation-Leading Workforce Growth,
Some Suburbs Have Larger Pipelines than Entire Metros

Neighboring submarkets represent the epicenter of development. Allen-McKinney and Frisco combine for about 18,800 units underway with scheduled completion dates between 2024-2026. This trio of suburbs has more rentals slated to finalize in the next three years than at least 35 major U.S. metros. Other local submarkets — Ellis County, Kaufman County, South Fort Worth and West Fort Worth-Parker County — are on pace for 25-plus percent inventory growth by the end of 2026. In total, more than 20 separate areas have over 1,000 rentals underway, creating the nation’s largest active pipeline. The Metroplex is likely nearing peak construction, however, as elevated debt costs, hiking operating expenses and softer absorption have decelerated permit demand. Looking beyond the ongoing supply wave that is poised to lift vacancy and challenge rent growth, a drop in development would brighten the long-term outlook amid nation-leading employment gains. By year-end, the Metroplex workforce is expected to approach 4.5 million, inching within 210,000 jobs of Los Angeles — currently the nation’s third-largest employment base. For context, that gap was no closer than 750,000 prior to the pandemic.
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