PHOENIX—Tyler Anderson, vice chairman,institutional properties, multifamily for CBRE,has lots of good news to share at the 2014 RealShare Phoenix Metro this December 15. With the Phoenixsector booming, he's eager to spread the news, where he'll besitting in on a RealShare Multifamily and Market Momentum panel.GlobeSt.com caught up with Anderson to get histhoughts on the multifamily sector.

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“Investor capital is strong,” says Anderson. “And absorption fornew product is strong. We'll deliver 4,600 units this year and6,500 next year. Historically we deliver about 6,500, so we'll beback up to par.”

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Anderson says occupancy remains in the mid-90s and is strongthroughout whole value.

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“When the market was soft, you didn't get paid forvalue-add—that's not so today. It's a good time for apartmentowners, a good time for rental traffic. Home ownership went downfrom the high 60s to 60%,” says Anderson. “More and moremillennials choose to rent and the 65-plus crowd is looking todownsize. They all want that mobility.”

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Anderson relates it's been a solid year in terms of operationalperformance and that rents are up 4.5%. He sees rents pushinganother 4%-5% in 2015.

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“Investor interest is strong in Phoenix because there are higherreturns than in coastal market—100-150 basis points higher,” saysAnderson. “And Phoenix is a large enough city, it's not like you'regoing to a small market.”

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Anderson states the surprise in 2015 will likely be the strengthof absorption of high-end product. “It's still not easy to borrowand qualify for a home,” he says. “That hasn't changed. And that'screating a demand. A 5%-6% swing in home ownership makes a bigimpact on rentals. It's all positive.”

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