"We're seeing reduced turnover at all our properties, and acommensurate increase in occupancy as a result of more peopleentering the rental pool versus the homeowner pool," says BrandInlow, chief investment officer of McCann Realty, which owns fourrental properties in the Atlanta metro area. "Generally Atlanta,like Dallas and Houston, leads the country in job growth andhousehold formation, which are the drivers for the apartmentindustry."

McCann Realty, in a partnership with Silver Capital LLC,recently acquired Villas at South Point Apartments, a 284-unit,garden-style community located in the McDonough submarket of metroAtlanta. Silver-McCann Apartment Group II LP plans to make one moreacquisition before closing the fund, bringing its totalacquisitions to $150 million in less than two years.

Elliott Hollander, director with the national multi-housinggroup of Marcus & Millichap, says that despite a recognizableslowdown in apartment transactions, the market in Atlanta isactually just stabilizing after a boom in 2006 and 2007. "One ofthe major reasons for both a shift in transaction velocity as wellas pricing has been the capital markets," Hollander tellsGlobeSt.com.