Although average occupancy in the Orlando metropolitan arearemains just above 90%, average rents are forecast to fall to aslow as $800 per month after sliding at least 3% over the past year,according to various brokerage research reports. Offers on newleases, such as one to two months free rent, are commonplace amongthe 185,000 apartments in local inventory.

"It's still a very competitive leasing environment," SheltonGranade, senior vice president with CB Richard Ellis in Orlando,tells GlobeSt.com. Concessions remain prevalent in most submarkets,though they declined through the latter half of 2009, he says.

Orlando is forecast to gain 8,000 new jobs through thisyear--and more than 161,000 over the next five years--after losing48,000 positions last year, according to CBRE and MPF Research.Rents are forecast to hold steady through the balance of 2010,followed by a 13% increase to $923 by 2014.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.