Omaha, Nebraska, multifamily landlords have enjoyed stability for the past decade and a half. However, rents slipped to $1,288 per unit, marking the first quarterly drop since the first quarter of 2010, according to a fourth-quarter market report from CBRE.
Yet, the number marks a 4.3 percent increase from the levels seen a year ago, or $53 higher, although the annual growth rate has slowed.
"By age, properties built between 2000 and 2025 represent the highest rent with an average rent of $1,478 per unit," CBRE said.
"Average asking rent is $1,300 per unit in the downtown area versus $1,287 per unit in suburban area."
Another disappointing trend for multifamily in Omaha was vacancy, which spiked by 110 basis points to 8.3 percent from the previous three months. The amount is also 2.7 percent higher than a year ago.
On a more positive note, deliveries slowed to 657 units in the fourth quarter. Currently, 21 properties with 2,720 units are under construction in the market. The latter represents 3.1 of the current inventory. Most of the development currently exists in the Central and Downtown submarkets, with 27.7 percent and 17.5 percent of the total activity, respectively.
Greystone Capital made the largest multifamily purchase in Omaha during the fourth quarter, with its $27.5 million buy of 264-unit
Pheasant Ridge Apartments. CRES Management and Schafer Richardson Realty ranked second and third with their $20.16 million and $17.17 million purchases.
Also, according to the Census Bureau, Omaha's metropolitan area population continues to grow, recently exceeding one million. Projects including the $1 billion terminal modernization at Eppley Airfield and the $421 million streetcar development will help support future growth, according to CBRE.
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