Kansas City Multifamily Market Report

Net absorption remains positive, but new builds are outpacing. Tightening consumer budgets and an active construction pipeline will create obstacles for occupancy this year. The first quarter of 2023 already noted the highest annual basis point increase since 2002. Over 1,400 units coming online in the opening three months added pressure on availability. Notably, however, net absorption still ends 2023 in positive territory. In 2023, more units will be absorbed than relinquished for the 22nd consecutive year. Renter demand stems from sustained population growth and low unemployment.