DATE: 27 January 2005
2004 was an absolutely stellar year for apartment owners & operators. Rents were up, vacancy rates were stable to down and values soared in both Kootenai and Spokane counties.
On the sales side of the business, the activity was off the charts as well. Most notably, new apartment construction permits were up over 150% in Spokane County and 58% in Kootenai County.
Below is data collected & collated by me for your review & evaluation. I hope it is helpful to you in analyzing & executing your long-term apartment investment objectives.
RENTS
Kootenai Up 4% to an average of 63.6?/ft
Spokane Up 1% to an average of 65.5?/ft
VACANCY
Kootenai Down to an average rate of 6.2% from 6.5%
Spokane Down to an average rate of 6.1% from 6.2%
VALUES
There has been extreme upward pressure on values due to favorable interest rates and the relatively low inventory of apartment stock for sale. In addition, rising construction costs for new product has added to the price pressure on existing product. Finally, the lagging stock market has contributed to buyer interest in real estate in general.
SALES
Kootenai 71%
Spokane 62%
NEW CONSTRUCTION PERMITS
Kootenai 58%
Spokane 151%
APARTMENT STOCK (UNSOLD INVENTORY)
Kootenai 85%
Spokane 21%
Whatever your interest in the apartment sector happens to be; I hope the above was helpful to you. Please feel free to give me a call or drop me an email (if you have questions) I’d be happy to discuss any of the above data with you.
Until Next Time,
Glenn Sather
The Apartment Broker
Resources:
o Washington Center for Real Estate Research
o The Real Estate report/spring 2004
o Coeur d’Alene Association of Realtors?
o Spokane Association of Realtors?
o Cities of Spokane, Coeur d’Alene, Post Falls, Hayden, Rathdrum
o Spokane County
o Journal of Business 12/23/04
o Kootenai rent/vacancy data Q1 04 (VS) Q1 03
o Spokane rent/vacancy data Q3 04 (VS) Q3 03
