Volume15,3rdQuarrter,2016
Lie
edInstiituteRe
eporton
nAparttmentM
MarketT
Trendss
featurin
ngdatafrom
mtheCenterrforBusineessandEcon
nomicResea
arch
Apartm
mentMa
arketTrrendsin
n3rdQu
uarter2
2016
Las Vega
as Metro Apa
artment Vacancy Rates
$900(20
016Q3)
15.68% Drop Average Vacancy Rate (%)
6.0
8.0
10.0
$876(2007Q4)
4.53% (22006 Q1)
$741(2013Q1)
$
200
06 2007 2008 2009 2010 2011 2012 2013 2014 2015 20
016
D
Date
(Quarter 1, 2006 - Quarter 3, 2016)
2
Source: CBER Apartm
ment Survey
10.96% (2009 Q33)
7.66 % (20
016 Q3)
4.0
Average Rent
720 740 760 780 800 820 840 860 880
Las Ve
egas Metro Apartment
A
Rental Rates
12.0
TheLas Vegasaparrtmentmark
ketsawan increasein theaverageaskingren
ntandasligghtincrease
e
his quarterr, accordingg to data frrom our ap
partment su
urvey, collected by the
e
the vacaancy rate th
Center for
f Businesss and Economic Reseaarch(CBER). This wass the seventth consecuttive quarter
whereth
heaverage askingrenttincreased. Thisquarttersawa2.3percentiincreasein theaverage
e
asking rent
r
and the average asking
a
rentt is now $9
900. Askin
ng rents aree up 5.9 peercent since
e
2015Q3(($850). Th
he Las Vegaas average asking
a
rentt is now 2.7
7 percent h
higher than it’s peak in
n
2007($8
876). The average
a
ask
king rent iss also 21.4 percent higgher than it’s low in 2
2013($741)).
Afterthrreeconsecu
utivequarteerswithad
decreasein thevacancyyrate,thevvacancyratteincreased
d
slightly this
t
quarterr. The 2016Q3vacanccyrate is 7..7 percent. Thisrepreesentsa 0.3
3 percentage
e
pointinccreaseonaquartertoq
quarterbasisandadeccreaseof0.2
2percentaggepointson
nayearover
year baasis.. The vacancy rate is no
ow 3.2 peercentage p
points low
wer than itt’s peak in
n
2009Q3((10.96%),b
but3.2perceentagepoin
ntshigherth
hanit’slowin2006Q1(4.5%).
Figure1
2
Figure2
2006
6 2007 2008 2
2009 2010 2011
1 2012 2013 2014
2
2015 2016
6
Da
ate (Quarter 1, 200
06 - Quarter 3, 2016)
So
ource: CBER Apartment Survey
Page2
ApartmentMarketTrends
Figure1:ApartmentRentalRatesinLasVegas*
89143
89085
89087
89084
89086
89165
89131
89166
Rent Q3 2016
No Data
89149
89081
89031
89130
89129
89032
89138
650 - 749
89030
89108
89134
1 - 649
89115
750 - 849
89156
89128
850 - 999
89106
89144
89145
89110
89101
89107
89104
89117
89146
1000 - 1150
89142
89102
Greater than 1150
89109
89169
89135
89147
89161
89118
89148
89121
89103
89122
89119
89120
89011
89014
89113
89004
89139
89015
89074
89123
89012
89178
89002
89183
89141
89052
89179
89005
89044
*FigurebasedonCBERApartmentSurvey
41zipcodessawanincreaseinaverageaskingrentswhileelevenzipcodessawadecreaseinaverage
askingrentsthisquarter.Thewesternregioncontinuestoseethelargestchangesinaskingrentsona
quartertoquarterbasis.The89145zipcodeinthewesternregionsawoneofthelargestincreasesin
askingrentsthisquarter(7.8percent).Directlywestofthe89145zipcode,the89144zipcodesawthe
largestdecreaseinaskingrentsthisquarter(4.9percent).Nootherzipcodesawadecreaseinaverage
askingrentsgreaterthan2percentthisquarter.Allzipcodesinthesouthernregionsawincreasesin
averageaskingrentsthisquarter.The89183zipcodesawthelargestincreaseinaskingrentsofanyzip
code in the Las Vegas metropolitan area (11.7 percent). The center and southerwestern regions saw
minimal changes in asking rents this quarter. The eastern region saw some of the largest increases in
asking rents this quarter. Asking rents increased 6.8 percent in the 89122 zip code and increased 9.4
percentinthe89081zipcode.The89052and89002zipcodesaretheonlyzipcodesintheLasVegas
metropolitanareawhereaskingrentsaredownonayearoveryearbasis.
ApartmentMarketTrends
Page3
Figure2:ApartmentVacancyRatesinLasVegas*
89143
89085
89087
89084
89086
89165
89131
89166
Vacancy Q3 2016
89149
No Data
89081
89031
89130
7.01 - 7.50
89032
89138
89030
89108
89134
0 - 7.00
89115
89129
7.51 - 8.00
89156
89128
8.01 - 8.50
89106
89144
89145
89110
89101
89107
89104
89117
89146
8.51 - 9.00
9.01 - 20.00
89142
89102
89109
89169
89135
89147
89161
89118
89148
89121
89103
89122
89119
89120
89011
89014
89113
89004
89139
89015
89074
89123
89012
89178
89002
89183
89141
89052
89179
89005
89044
*FigurebasedonCBERApartmentSurvey
17zipcodessawadecreaseinthevacancyratewhile35zipcodessawanincreaseinthevacancyrate
thisquarter.Thecenterregionsawthemostsignificantdecreasesinthevacancyratethisquarter.The
vacancyratedecreased4.3percentagepointsinthe89109zipcode–thelargestdecreaseofanyzipcode
this quarter. Also in the center region, the 89101 zip code saw a 1 percentage point decrease in the
vacancyrate.However,the89146zipcodesawa1.4percentagepointincreaseinthevacancyrate.The
westernregionsawsomeofthelargestincreasesinthevacancyratethisquarter.The89128,89117,and
89145allsawincreasesinthevacancyrateofmorethan1percentagepoint.The89178zipcode,which
is in the southwestern region, saw the largest increase in the vacancy rate this quarter(4.1 percentage
points).Allotherzipcodesinthesouthwesternregionsawminimalchangesinthevacancyratethis
quarter.Thesouthandeasternregionsalsosawminimalchangesinthevacancyratethisquarter.The
center region saw the most significant decreases in the vacancy rate on a year over year basis. The
89104, 89118, 89106, and 89101 zip codes all saw decreases in the vacancy rate of more than 1
percentagepointonayearoveryearbasis.The89141and89183zipcodes,whichareinthesouthern
region,alsosawsimilardecreases.
Page4
ApartmentMarketTrends
1000
800
AverageRent
400
600
Average Rent
1200
Figure4
All apartment types saw increases in asking
rents from the previous quarter. Furnished
Las Vegas Metro Rents by Apartment Type
studio apartments saw the most robust
growth with a quarterly increase of 5.7
percent($37).Unfurnishedstudioaparments
onlysawaverageaskingrentsincreaseby1.3
percent($8).Bothunfurnishedtwobedroom
one bath and two bedroom two bath saw
increases of about 2.7 percent ($23). Three
bedroom apartments also saw quarterly
increases in the average asking rent of 2.0
percent ($22). Furnished one bedrooms saw
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
increases in asking rents of 1.1 percent($9)
Date (Quarter 1, 2006 - Quarter 3, 2016)
while unfurnished one bedrooms saw
All Type
Studio
increasesinaskingrentsof2.0percent($16).
One Bed
Two Bed, One Bath
Furnished two bedroom two bathroom
Two Bed, Two Bath
Three Bed
apartmentssawthesmallestincreasewithan
Source: CBER Apartment Survey
increase of less than 1.0 percent($8).
Furnished two bedroom two bathroom
Figure5
apartmentsmakeupaverysmallshareofthe
1,200
totalapartmentsintheLasVegasmetroarea.
AverageRentByApartmentType
$1,113
(2016Q3)
Only three apartment complexes surveyed
$996
offered furnishing for two bedroom two 1,000
$966
bathroomapartments.
$900
$869
$806
$791
$778
Furnished Studios also saw the largest year 800
$681
over year increase in average asking rent of
$605
any apartment type with an increase of 19.2 600
percent ($109). However, unfurnished
studios saw the largest year over year
decrease in average asking rents with a 400
decreaseof4.8percent($31).Furnishedtwo
bedroomtwobathroomapartmentswerethe 200
onlyotherapartmenttypetoseeayearover
year decrease in asking rents as they saw a
0
decrease of 4.4 percent ($40). All other
Studio
Studio
OneBed OneBed 2Bed1
2Bed1
2Bed2
2Bed2 ThreeBed AllTypes
Furnished
Furnished
Bath
Bath
Bath
Bath
apartmenttypessawyearoveryearincreases
Furnished Furnished
inaskingrentofatleast4percent. Source:CBERApartmentSurvey
ApartmentMarketTrends
Page5
Figure5
Figure6
Rent Per Square Foot of MLS Leased Homes
$0.86
(2016 Q3) .85
10000
Las Vegas MLS Leased Homes
7,883 (2015 Q3) .7
$0.74
(2015 Q3) 0
.65
2000
7,582 (2016 Q3)
$0.78
(2016 Q3) .75
Median Rent
.8
Rental Frequency
4000 6000 8000
$0.82
(2015 Q3) 2008
2010
2011
2013
Date (2009Q1 - 2016Q3)
All Homes
2015
2016
2009
Single-Family Homes
2011
2012
Date (2009Q1 - 2016Q3)
Multifamily Homes
Source: Greater Las Vegas Association of Realtors MLS
2014
2016
Single-Family Homes
Source: Greater Las Vegas Association of Realtors MLS
Apartmentcomplexes,toacertainextent,competewithindividuallyownedunits,whichmostlyconsist
ofsinglefamilyhomes,townhomes,andcondominiums.MLSrentalleasesproxythiscompetition.
Therewere7,582rentalleasesin2016Q3–1,264morethan2016Q2(6,318)and301lessthan2015Q3
(7,883).MedianpricepersquarefootingonMLSrentalleasesincreasedbylessthan1percentthis
quarter.Thiswasthefourthconsecutivequarterwherepricepersquarefootingincreasedforboth
multifamilyandsingle‐familyhomes.However,thegrowthratehasbeendecliningeachquarter.Single‐
Familyhomesrentedfor$0.78asquarefootandmultifamilyhomesrentedfor$0.82asquarefootin
2016Q2.Thesebothrepresenta$0.04yearoveryearincreaseinmedianrentpersquarefoot.
‐PeterCounts,DataAnalyst
Page6
ApartmentMarketTrends
Table1:ApartmentRentalandVacancyRatesbyZipCodeArea
ZIPCODE
89002
89005
89011
89012
89014
89015
89030
89031
89032
89052
89074
89081
89084
89086
89101
89102
89103
89104
89106
89107
89108
89109
89110
89113
89115
89117
89118
89119
89120
89121
89122
89123
89128
89129
89130
89131
89135
89138
89139
89141
89142
89144
89145
89146
89147
89148
89149
89156
89166
89169
89178
89183
METROLV
Studio
F
U
.
.
.
.
.
.
.
.
.
726
.
.
.
.
.
.
.
695
.
.
.
.
.
.
.
.
.
.
630 523
.
595
.
625
.
524
740 519
.
643
.
623
575 553
.
.
.
.
643 553
.
.
.
613
748 554
.
708
.
592
696 525
.
751
.
.
.
831
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
500
.
.
.
.
.
888
.
.
.
.
693 526
.
.
.
.
681 605
1Bed
F
U
.
766
.
653
.
907
.
944
.
852
.
665
.
630
.
.
.
792
.
961
.
988
.
836
.
890
.
798
696
590
600
666
.
742
.
610
825
663
.
700
.
750
.
675
.
682
.
1011
734
639
.
913
.
830
841
729
.
762
800
682
756
774
.
893
.
833
.
847
.
803
.
885
.
1109
.
1357
.
980
.
1131
.
706
.
1072
.
994
.
773
.
879
.
983
.
947
.
691
.
942
802
618
.
978
.
994
778 791
UNITRATES
2Bed/1
Bath
F
U
.
818
.
725
.
.
.
1000
.
927
.
743
.
637
.
.
.
.
.
924
.
.
.
1218
.
1020
.
968
.
691
.
740
.
798
.
704
.
633
.
763
.
732
.
568
.
720
.
.
.
666
.
1008
.
850
.
731
.
811
.
755
996
987
.
1159
.
.
.
1190
.
.
.
.
.
1200
.
1323
.
1100
.
1057
.
768
.
.
.
990
.
691
.
1008
.
1141
.
1053
.
.
.
991
.
701
.
1000
.
1095
996 806
AVERAGERATES
2Bed/2
Bath
F
U
.
962
750
794
.
1076
.
1170
.
1020
.
847
.
766
.
963
.
948
.
1204
.
0
.
1086
.
1143
.
95
850
712
.
811
.
888
.
760
.
790
.
778
.
889
.
916
.
807
.
1243
.
761
.
1059
.
997
.
926
.
896
.
813
.
928
.
1069
.
988
975 1038
.
906
.
1075
.
1416
.
1560
.
1200
.
1436
.
811
.
1277
.
1144
.
937
.
1063
.
1111
.
1275
.
820
.
1123
.
765
.
1165
.
1148
869 966
F
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
3Bed
U
1139
761
1168
1402
1228
979
832
1115
1046
1378
1353
1278
1239
1137
782
879
966
827
875
.
750
900
1407
896
.
1212
1149
1093
1071
883
1101
1287
1125
1233
1090
1305
1485
1600
1311
1503
929
1436
1290
1066
1200
1223
1568
1032
1303
907
.
1303
1113
Rent
914
833
1041
1123
1001
800
724
1042
921
1113
1130
1063
1056
951
635
733
826
680
753
771
847
765
781
1188
754
1040
926
820
877
772
880
1048
986
1013
939
1088
1298
1460
1138
1343
801
1295
1138
886
1053
1082
1133
800
1073
720
1057
1135
900
Vacancy
7.9%
7.1%
7.8%
7.6%
7.4%
9.8%
8.2%
7.9%
7.6%
7.6%
7.0%
9.0%
7.7%
7.8%
7.2%
7.2%
7.6%
7.5%
6.4%
7.3%
7.4%
8.3%
8.3%
8.0%
9.0%
8.2%
7.8%
7.5%
7.4%
7.7%
7.5%
7.6%
8.4%
7.5%
6.5%
7.0%
6.8%
7.9%
7.8%
6.2%
7.1%
6.6%
9.6%
8.9%
6.8%
7.8%
7.9%
6.9%
7.5%
8.1%
9.8%
6.8%
7.7%
UNITS
TotalUnits
785
400
786
2477
6130
1970
2206
1004
2488
3590
2791
1855
1008
1107
4820
6942
8291
3783
1915
1971
6951
734
3037
1633
5686
7690
1836
11015
1921
7113
4329
4054
1798
1640
1156
272
849
280
1692
595
1744
507
686
2984
3576
2725
629
728
1482
5894
539
1842
143936
VacantUnits
62
28
61
187
454
193
181
80
190
272
196
167
78
86
348
500
627
284
123
145
517
61
251
131
509
627
143
825
142
549
323
306
152
123
76
19
58
22
132
37
124
34
66
264
245
213
50
50
111
477
53
125
11025
"."Numberofobservationsinsufficientforstatisticalpurposes."F"standsforFurnishedand"U"standsforUnfurnished.Cummulativesumofvacantunits
mightnotequalthereportedMetroLVvacantunitsbecauseofroundingissues.Source:CBERApartmentSurvey
Ap
partmentM
MarketTren
nds
bouttheInsstitute
Ab
P
Page7
The Lied Insstitute for Real Estate
e Studies was
w
esttablishedin
n1989byth
heLeeBusiinessSchoo
olat
thee Universitty of Nevada, Las Veegas to fosster
exccellence in real estate
e education and researrch.
Through paartnerships with business
b
and
a
com
mmunity leeaders, the Lied Instittute strivess to
improve real estate business and efffective pub
blic‐
pollicypracticesinSouth
hernNevadaa.Theinstittute
pro
oducesrelevantandtimelyrealestateresearrch,
sup
pports edu
ucational programs
p
in real esttate
eco
onomics and
a
finan
nce for students
s
and
a
pro
ofessionals, and provides commu
unity outreeach
and
dcontinuingeducation
n.
A
Apartm
mentMarketTrrends
TheLiedIn
nstituteforR
RealEstateSStudies
L
LeeBusinesssSchool
Co
ontactInformation
Edward Cooulson
Directo
or
(702)895‐‐1660
E
[email protected]
Betty Cam
mpbell
P
ProgramCoo
ordinator
(702)895‐‐4492
[email protected]
Peter Counts
DataAnaalyst
(702)895‐‐3223
Peeter.Counts@
@unlv.edu
kway,Box4
456025
4505S.MaarylandPark
Vegas,NV8
89154‐6025
5
LasV
nlv.edu/busiiness/lied‐in
nstitute
www.un