Commercial real estate sales in the $5 million to $25 million range gained momentum in the first half of 2025, with multifamily assets emerging as one of the strongest performers, according to Green Street. While office deals recorded the largest growth in transactions, multifamily ranked as the second most active sector, signaling continued investor demand despite lingering headwinds in the broader property market.
Multifamily sales totaled $11.94 billion in the first six months of the year, a 9% increase compared with the same period in 2024, Green Street reported. The first quarter recorded $5.68 billion in activity, followed by $6.26 billion in the second quarter — a 10% gain from the prior quarter and up 9% from a year earlier. The firm noted that momentum in the sector appears to be strengthening.
Traditional apartments accounted for the largest share, reaching $10.37 billion. However, the fastest-growing component was senior living, which saw a 16% year-over-year increase, rising to $1.19 billion. Student housing also posted steady gains, with a 6% increase to $372.4 million.
By market, New York led the nation with $1.12 billion in multifamily transactions during the first half, though that figure was down 12.2% from $1.27 billion a year earlier. Los Angeles ranked second at $687.4 million, an increase from $622.8 million in the same period of 2024. Chicago rose sharply to $382.1 million from $227.0 million, while San Francisco recorded one of the strongest turnarounds, climbing from $162.9 million to $381.4 million. Other markets saw more modest shifts: Boston slipped to $256.6 million, while Seattle rose to $244.6 million and Philadelphia improved to $211.6 million. Northern New Jersey and Minneapolis each reached $208.5 million, up substantially from $126.1 million and $197.0 million, respectively. Miami held nearly flat at $196.3 million.
Among secondary markets, the bottom tier of metros by total sales included Oakland-East Bay ($190.0 million), Atlanta ($186.7 million), Portland ($182.8 million), San Diego ($176.4 million), Dallas–Fort Worth ($172.6 million), Washington, D.C. ($172.6 million), Phoenix ($156.3 million), Milwaukee ($145.8 million), Orange County ($141.1 million), and Denver ($126.3 million).
When measured by percentage growth, Milwaukee led the nation with a 269.9% jump, followed by San Francisco (134.2%), Chicago (68.3%), Northern New Jersey (65.3%), and Portland (49.6%). Washington, D.C., San Diego, Phoenix, Seattle, and Philadelphia rounded out the top 10 growth markets.
Conversely, Dallas–Fort Worth and Denver recorded the steepest declines, with sales falling 44.2% and 43.3% year-over-year, respectively. Orange County (-22.9%), New York (-12.2%), and Boston (-1.5%) also lost ground. Miami held virtually unchanged, with a 0.2% increase.
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