Multifamily Monday: Exposition Park

Since Q1 of 2021, the submarket has had an increase in both median price per unit and median price per square foot, along with a decrease in median capitalization rates. Along with an increase in occupancy rates, Exposition Park saw year-over-year growth in market rents for most unit types. While moves by the Federal Reserve could affect multifamily values in the coming year, Exposition Park remains an excellent choice for multifamily investment dollars.

Median Price Per SF: Trailing four quarters averaged $326 vs $315 for the same period in 2020.

Median Price Per Unit: Trailing four quarters averaged $270,288 vs $244,265 for the same period in 2020.

Median Reported Capitalization Rate: Trailing four quarters averaged 4.13% vs 4.40% for the same period in 2020.

Interest Rates: The Federal Reserve recently raised the funds rate by 0.25% and indicated an additional 6 rate raises to come in 2022 in order to aggressively fight inflation. We expect this to result in increasing apartment loan interest rates going forward.