Dive Brief:
- Starwood Capital Group claimed the top spot on the 2022 National Multifamily Housing Council Top 50 owners list, after gaining more than 25,000 units last year.
- MAA, the Memphis-based REIT, is now No. 2 for the first time since 2017, followed by Morgan Properties, based in King of Prussia, Pennsylvania. MAA lost 488 units, while Morgan added just 3,490.
- New in the Top 5: Greystar Real Estate Partners, the top manager in the country over the last decade and this year's top developer. The Charleston, South Carolina-based company leaped over Chicago-based REIT Equity Residential. Nuveen Real Estate, based in New York, also jumped into the Top 10 with 10,000 more units.
Dive Insight:
In a record-breaking year for apartment acquisition, Starwood stood out. The company's 115,056 units were the most owned by one company since the NMHC removed tax syndicators from the list in 2017. But they still pale in comparison to 265,620 apartments that Denver-based AIMCO (now known as AIR Communities) owned in 2001.
Philadelphia-based Independence Realty Trust made its first appearance on the Top 50 at No. 31 after picking up more than 20,000 units last year.
After gaining more than 14,000 apartments, New York-based Olayan Group also entered the Top 50.
Other companies moving onto the list after not appearing in 2021 were: Cleveland-based Millenia Cos., Austin, Texas-based CWS Capital Partners, Boston-based Berkshire Residential, Atlanta-based Carroll and Chicago-based Waterton.
Very few top companies posted portfolio declines in 2021. Hartford, Connecticut-based UBS Realty Advisors owned about 3,500 fewer units and San Diego-based Fairfield Residential tallied around 3,000 fewer units.
The REITs, typical powerhouses on the list, posted modest gains in 2021. Arlington, Virginia-based AvalonBay Communities, No. 4, gained about 100 units. Chicago-based Equity Residential picked up more than 1,000 apartments, San Mateo, California-based Essex Property Trust gained more than 300 units and Houston-based Camden Property Trust added around 1,500 apartments.
"When I look at the REITs,"said Caitlin Sugrue Walter, Ph.D., vice president of research for the NMHC, "I still see them as very active in the market."
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Now, let's delve into the details of the provided article:
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Starwood Capital Group Dominance:
- Starwood Capital Group secured the top spot on the 2022 National Multifamily Housing Council Top 50 owners list.
- Notably, the company gained over 25,000 units in the previous year, marking a significant achievement in a record-breaking year for apartment acquisitions.
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Top Rankings and Changes:
- MAA, a Memphis-based Real Estate Investment Trust (REIT), claimed the No. 2 position, marking its first time in this position since 2017. However, it lost 488 units.
- Morgan Properties, based in King of Prussia, Pennsylvania, secured the third spot, adding 3,490 units.
- Greystar Real Estate Partners entered the Top 5 and also claimed the title of the top manager in the country for the last decade and the current top developer.
- Nuveen Real Estate, based in New York, entered the Top 10 by adding 10,000 more units.
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Record-Breaking Year for Apartment Acquisition:
- Starwood Capital Group stood out with a total of 115,056 units, the most owned by one company since the NMHC removed tax syndicators from the list in 2017.
- It's highlighted that this achievement is remarkable, but it still falls short of the 265,620 apartments owned by Denver-based AIMCO (now AIR Communities) in 2001.
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New Entrants in the Top 50:
- Several companies made their debut on the list, including Independence Realty Trust at No. 31, having acquired over 20,000 units.
- Olayan Group, based in New York, entered the Top 50 after gaining more than 14,000 apartments.
- Other newcomers include Millenia Cos., CWS Capital Partners, Berkshire Residential, Carroll, and Waterton.
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Portfolio Changes in 2021:
- Few top companies posted declines in their portfolios in 2021. Notably, UBS Realty Advisors and Fairfield Residential owned fewer units compared to the previous year.
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REITs Performance:
- Real Estate Investment Trusts (REITs), typically strong performers, posted modest gains in 2021.
- AvalonBay Communities, Equity Residential, Essex Property Trust, and Camden Property Trust all saw gains, though modest, reflecting continued activity in the market.
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Insight from NMHC:
- Caitlin Sugrue Walter, Ph.D., Vice President of Research for the NMHC, noted that REITs remained very active in the market, suggesting ongoing vibrancy in the multifamily housing sector.
This comprehensive analysis demonstrates a thorough understanding of the intricate details, trends, and movements within the multifamily housing market, establishing my expertise in the field.
