This content is in partnership with the Dayton Business Journal’s apartments list, published Feb. 14.

Similar to national trends, the Dayton-area apartment industry is expected to gain momentum this year with new projects and facility upgrades.

Kurt Shoemaker of CBRE presented latest trends in the local apartment industry at the Greater Dayton Apartment Association’s January meeting.
Kurt Shoemaker of CBRE presented latest trends in the local apartment industry at the Greater Dayton Apartment Association’s January meeting.

Year in review: Dayton-area apartment industry remains strong

A national and local apartment industry update was given at the Greater Dayton Apartment Association’s January general meeting by Kurt Shoemaker, senior vice president of CBRE’s Columbus Cincinnati multifamily team.

According to Shoemaker, the U.S. multifamily housing industry ended this year strong with 15 million apartment units active nationwide. The vacancy rates also saw a drop from 4 percent to 3.6 percent, while national rental rates grew by 0.3 percent.

He narrowed in on Dayton’s apartment industry, noting multifamily sales transactions jumped to $240 million in 2019, a $98 million increase compared to 2018’s data.

Dayton’s pipeline is looking strong as well for new apartment projects, with 122 permits filed from January to November 2019.

Looking toward the future, Shoemaker said Dayton is expected to grow its number of multifamily projects. By the end of this year, the region will have a total of 607 multifamily developments. That number is expected to jump to 713 developments by 2022.

Projects to keep an eye on

Shoemaker noted the projects he’ll be keeping an eye on this year, ranging from loft-style apartment developments and other multifamily developments.

Gateway Lofts in Centerville has begun leasing for its 360-unit development, with its first occupancy being finalized in November. The community features a number of amenities, including a clubhouse with WiFi, a resort-style swimming pool, fitness center, free tanning salon, and an outdoor grilling area.

Another Centerville development currently in the planning stages is Cornerstone Apartments. The development, led by J.A. Murphy Group, will be located at Cornerstone North Boulevard and Park Place and will house 238 units featuring one- and two-bedroom styles. The apartments are described to be condo style and will feature Italian renaissance architecture. An official construction date has not been revealed.

Other apartment projects expected to come online in the future includes the Fire Blocks District’s two apartment complex redevelopment projects; “The Art Lofts at the Dayton Arcade,” a 110-unit apartment complex development; and the Mendelsons redevelopment project, which could include new apartments.

List trends

The Dayton region’s top apartment communities, according to Dayton Business Journal research, have also seen some changes.

Of the top 25 apartment communities on this year’s list, 80 percent are close to hitting their full occupancy rate. Not only are occupancy rates on the rise, but rental ranges have also seen a boost.

Almost 70 percent of apartment communities grew their rental ranges. Facing the largest increase is Lofts at Willow Creek in Beavercreek, jumping from several hundred dollars.

The increase in Loft at Willow Creek’s rental range could be due to its recent renovations. The apartment community now features newly upgraded lofts with hardwood flooring, granite countertops, two-tone cabinetry and new paint throughout.

Additional apartment community renovations could be in store, with five of this year’s communities under new ownership.

A newcomer to this year’s list is Allure Apartments in Centerville. The 312-unit apartment community began leasing in November and currently stands at 50 percent occupied. The occupancy rate is expected to rise, once construction is officially completed.

The community, located near Interstate 675 and Cross Pointe Shopping Center, offers luxurious one- and two-bedroom apartments with spacious dens, half baths and in-unit washers and dryers.