Multifamily housing investment hits new peak in U.S.
Investment in U.S. multifamily properties hit a historic high of $127 billion over the 12 months that ended June 30, according to research from CBRE.
The Los Angeles-based commercial real estate services and investment firm reported Wednesday that the figure was the highest-ever four-quarter total. The previous peak was $100 billion, achieved in the year that ended the second quarter of 2006.
Multifamily acquisitions represented 27 percent of the total of $110 billion invested in U.S. commercial real estate in the second quarter of 2015, CBRE said.
For the first half of 2015, CBRE said, the leading metropolitan area for multifamily property investment was Los Angeles/Southern California at $5.3 billion invested, followed by Dallas/Fort Worth ($3.0 billion) and Washington D.C. ($3.0 billion). Boston was 12th, with $1.6 billion invested.
Healthy multifamily investment has also been seen locally. As reported in the Worcester Business Journal’s Aug. 3 print edition, the median price of a three-family home in Massachusetts has soared 83 percent since 2009, with Worcester and Middlesex counties seeing jumps of 52 and 56 percent, respectively, according to The Warren Group, the Boston-based real estate data firm. During that span, the median price of a single-family home rose only 16 percent statewide, helping to cement the value of triple-deckers among investors.
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