Even when the pandemic fades away, the demand for functional spaces will remain strong for renters. Real estate experts from John Burns Real Estate Consulting say that multifamily builders have two opportunities for enticing renters to call an apartment home: Efficient home plans and community amenities. With flexible floor plans that consider recreation and remote work, apartment buildings can inspire potential renters to imagine themselves living there—for months. And community amenities may also help draw in renters, but the real winners won’t be the shared workout rooms and pools of pre-coronavirus life. Instead, ample outdoor spaces and delivery services will be hot commodities.
“Space” in home and community design has never been more important. People need space for health reasons, and people need space and privacy to work from home. Working from home will be a significant shift that stays with us for years.
With record low mortgage rates, the need for more space is one reason that new home sales have already finished their V recovery. To succeed during lease-up, the more than 400,000 apartment units currently in some stage of construction also need to capitalize on tenants’ need for space.
A few weeks ago we asked, “Does it take a pandemic to get millennials to buy?” This week we ask, “What does it take to get people to rent?” We highlight two opportunities for new apartment construction, both of which were already trending before COVID-19 hit: