Speakers, who ranged from brokers and investment advisors to REIT executives and lenders, pointed out that Southern California apartment markets remain among the tops in the nation in terms of supply versus demand because of the region's housing shortage. But they pointed out that rent growth has slowed, cap rates have declined, vacancy rates have edged up, and the modest economic recovery has occurred without much job growth, which is essential for a sustained recovery.

Several speakers referred to the "jobless recovery" and said job growth is essential in order to drive demand for apartments. "The key for the apartment sector is increasing jobs," said Mark Obrinsky, chief economist for the National Multi Housing Council.

A number of speakers said apartments will remain an appealing investment as long as the stock market is depressed and other investments are performing poorly, but they cautioned that investors could quickly pull money from apartments and place it elsewhere if the economy recovers, interest rates rise, and other investments look more profitable. Other speakers mentioned the possibility of war with Iraq, or other international political developments, as factors that could disrupt investment markets.