Q4 2020 SOUTHWEST FLORIDA MULTIFAMILY REPORT
MARKETINDICATORS
MARKET OVERVIEW
Under Construction
Collier County 1,549 Units
Lee County 4,973 Units
Sarasota County 2,059 Units
Total Sales Volume Q4 2019 v. Q4 2020 Lee County
Collier County +349 Units
+280 Units
Sarasota County -697 Units
County Unemployment Rate
Collier County 4.9%
Lee County 5.7%
Sarasota County 5.1%
MARKET STATISTICS Southwest Florida Unemployment Rate 5.3% August 2020 Total Renters (Collier & Lee County) 131,741 Units Under Construction 8,581
Southwest Florida multifamily sales market continues to improve as 2020 came to a close. Of the four-county market surveyed, Lee County saw the largest overall transaction volume for the year with 26 properties sold, totaling 1,910 units. The region saw the effects of the capital markets due to the pandemic with a 20% decrease in overall in sales volume to $770,546,688, down from prior year 2019. Development continues to move ahead as previously scheduled with 8,581 units currently under construction amongst Southwest Florida counties. Leading the development pipeline is Lee County with 4,973 units currently under construction. Recent deliveries to the market include The Crest at Bonita Springs (264 units) and Lago Apartments (320 units). Additional projects added to the pipeline include Midtown at Bonita, a mixed-use project located on Bonita Beach Rd east of I-75. This project is will include an allocation for 475 multifamily residential units. Collier County performed the best in the region over the past quarter with decrease in vacancy to 6.8%, down -1.6% from third quarter. Market rental rates subsequently increased 1.1% to $1,421 per month over the same period. This directly coincides with unemployment in the county decreasing to 4.9% down from the peak of 13.5% back in April 2020. Lee County demonstrated the opposite impact during the same period. Vacancy rates have increase to 11.5%, up from 8.4% over the previous quarter. Market rental rates increased slightly to $1,266, up $6 or 0.5%. Unemployment in the county stands at 5.7% down from peaking at 14.6%. The greatest increase to rental rate was seen in Sarasota County up 2% to $1,517 by the end of 2020.
Sources: County property records, U.S. Bureau of Labor Statistics, CoStar
LEE & ASSOCIATES | NAPLES-FORTMYERS 7400TRAILBLVD. SUITE101| NAPLES, FL 34108
THOMAS WEBB, CCIM,MSRE DIRECTOR OF MULTIFAMILY 239.230.2198 twebb@lee-associates.com
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