SAN ANTONIO-Occupancy rebounded in San Antonio multifamily properties in the second quarter after two previous quarters of declines. The city’s overall occupancy rate reached 92.72%, up 1.12% from the first quarter and up 0.45% from a year ago, according to a report from Austin Investor Interests. The firm, based in Austin, tracks apartment trends in San Antonio and Austin. Similarly, a Grubb & Ellis market reportfiled yesterday on GlobeSt.com, placed office vacancy in the city at 19.3%.
All classes of multifamily properties shared in the rise in occupancy levels, according to the report. Class A properties had the biggest increase, 3.39%, to get to 89.26%; class B occupancy rose 1% to 94.23%; and class C levels inched up 0.24% to 92.55%. Class A and B properties had a year-to-year increase, but class C levels dropped from a year ago.The report characterized rents as staying relatively stable in all classes. Class A rents had a penny per sf increase to an average of 94 cents per sf. Class B and C had no quarter-to-quarter change.
About 54% of San Antonio’s apartment complexes offered concessions. In class A properties, 82% had concession banners out while 59% of class B and 42% of class C properties offered move-in incentives.
During the second quarter, 170 units were delivered to the market and 1,339 units were absorbed. So far in 2002, 1,925 units have been absorbed with 878 units coming to the market.
A dozen multifamily properties, with a total of 2,772 units, were under construction in the second quarter. Two already have tenants. Six other properties broke ground for a total of 1,052 units.