ORLANDO, FL - Rental apartment owners will be granting more concessions in the foreseeable future but conditions have positioned the Orlando region for a sharp turnaround once conditions improve, says one leading multi-family broker.Cole Whitaker, (top right photo) who heads the Florida office of Hendricks & Partners, one of the nation’s leading service providers to the multi-family housing market, said the Orlando region was one of the top markets listed to rebound at the National Multi Housing Council’s annual meeting recently in Palm Springs, Calif.
“Orlando will be on the front end of the recovering markets in the U.S. once the recovery begins. The big question for everyone is when that will be,” Whitaker said.
The lack of new construction will help existing property owners in the long run, Whitaker said, and property sale transactions will continue as investors comb the region for choice properties.
But declining rent rolls, increasing CAP rates, tough new underwriting standards by both FREDDIE MAC and FANNIE MAE and the high cost of equity will make brokers’ jobs much more difficult.
“Unfortunately we will see some sellers and buyers continue to experience a gap between sales expectations and the cost of funds for apartment transactions,” Whitaker said.
“We foresee increased concessions to renters for the foreseeable future as competition for good tenants increases,” Whitaker said.For more information, please contact:
Cole Whitaker, Partner, Hendricks & Partners, 407-256-9594
Larry Vershel, Larry Vershel Communications 407-644-4142
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