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MARKET AT A GLANCE
OCCUPANCY AND RENT TRENDS
CHEYENNEMULTIFAMILY REPORT SECOND QUARTER 2020
ERISING COST OF HOMEOWNERSHIP CONTRIBUTES TO APARTMENT DEMAND
With the median single-family home price rising to approximately $282,500 by mid-2020, renting remained an attractive option for many Cheyenne residents. This trend, combined with a rebound in hiring during the last two months of the second quarter, led to positive absorption over the last three months. With the apartment inventory level remaining flat, occupancy elevated 10 basis points quarter over quarter to 97.2% by mid-year. Apartment operators should face a similar environment in the near term as no market-rate units were under construction at the close of the second quarter. With the latest improvement to occupancy, monthly effective rent advanced 0.9% since the first quarter to an average of $882 in the second quarter. Aiding renters meet payments was the launch of the Wyoming Emergency Housing Assistance Program (WEHAP) in June. The program provides residents facing financial hardship because the coronavirus pandemic with at least one month of emergency rent payment assistance up to $2,000. While emergency funding from the CARES Act ended in July, the WEHAP will provide subsequent months of payments to those prove the need for ongoing assistance.
$700
$750
$800
$850
$900
92%
94%
96%
98%
100%
3Q15 1Q16 3Q16 1Q17 3Q17 1Q18 3Q18 1Q19 3Q19 1Q20
OCCUPANCY AND RENT TRENDS
Occupancy Rate Effective Rent
OCCUPANCYRATE
EFFECTIVERENT
97.2%
$809
Down 80 bps since 2Q19
Up 2.9% since 2Q19
a Berkshire Hathaway and Jefferies Financial Group company
DELIVERIES AND DEMAND
ECONOMIC TRENDS
BERKADIA
CHEYENNEMULTIFAMILY REPORT
DELIVERIES 0Units YTD
0
10
20
30
40
50
1Q19 2Q19 3Q19 4Q19 1Q20 2Q20
DELIVERIES AND DEMAND
Deliveries
SECOND QUARTER 2020
2019
2019
2019
2019
2019
3.5%
47.5k
2.3k
99.5k
2.07%
2020
2020
2020
2020
2020
6.6%
46.3k
2.3k
99.6k
0.73%
UNEMPLOYMENT*
EMPLOYMENT*
EXISTING SFH SALES*
POPULATION*
10-YEAR TREASURY*
310 BPSCHANGE
-2.5%CHANGE
0.0%CHANGE
0.1%CHANGE
-130 BPSCHANGE
*June U.S. SHARE OF WALLET METRO SHARE OF WALLET
U.S.ANNUAL RENT
27.7%share of wallet
METROANNUAL RENT
16.3%share of wallet
© 2020 Berkadia Real Estate Advisors LLCBerkadia® is a registered trademark of Berkadia Proprietary Holding LLCDocument sources: RealPage; Berkadia Research; Federal Reserve Bank of St. Louis; Moody’s
CORPORATE HEADQUARTERS521 Fifth Avenue
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(646) 600-7800 | Fax: (646) 600-7838www.Berkadia.com
© 2020 Berkadia Proprietary Holding LLC Berkadia® is a trademark of Berkadia Proprietary Holding LLC.Axiometrics® is a trademark of Axiometrics Inc.Commercial mortgage loan origination and servicing businesses are conducted exclusively by Berkadia Commercial Mortgage LLC and Berkadia Commercial Mortgage Inc. This website is not intended to solicit commercial mortgage loan brokerage business in Nevada. Investment sales and real estate brokerage businesses are conducted exclusively by Berkadia Real Estate Advisors LLC and Berkadia Real Estate Advisors Inc. For state licensing details for the above entities, visit: www.berkadia.com/legal/licensing.aspx
a Berkshire Hathaway and Jefferies Financial Group company
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