Search
 
Research

Rent Collectability Risk High, New Lease Rates Decelerate As Apartment REITs Grapple With Coronavirus Fallout

Five of the seven apartment REITs reported Q1 April earnings this week, highlighting the impact COVID-19 has had - and will continue to have - on the real estate market.

REIT-sign Photo by Shutterstock

Rent collections and new lease pricing decelerated in April and will likely continue to do so, according to a new research report on four of the seven apartment REIT’s early year earnings reports.

Rent collection has ranged from about 93%-98% in the first quarter of 2020, with delinquencies increasing in April, while new lease rates decelerated in April compared to Q1, according to a report by Mizuho Securities. Both issues are top of mind for the seven apartment REITS, which are bracing themselves for continued delinquency and new-lease risk into May, June and beyond as the U.S. economy faces historic unemployment.

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

Once you are an ALM digital member, you’ll receive:

  • 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

*May exclude premium content
Already have an account?

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.

Samantha Stokes

Samantha Stokes

Samantha Stokes, based in New York, is a staff reporter at American Lawyer covering the business of law. You can reach her at [email protected] or on Twitter: @stokessamanthaj.

More from this author

Recommended Stories

GlobeSt. Multifamily Fall 2024Event

Join the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.