NEW YORK, NY – Trepp, LLC, a leading provider of information, analytics, and technology to the structured finance, commercial real estate, and banking markets, has released its research report titled What Factors Have Driven Multifamily NOI Growth?
To determine the effect of shifting market factors on the multifamily market’s performance, Trepp ran an analysis on the net operating income (NOI) levels of outstanding multifamily loans and segmented our results by property subtype, geographic region, occupancy, and agency and non-agency performance.
As the affordability of single-family homes continues to decline and preferences for renting over homeownership surges, the multifamily sector remains to be a segment of commercial real estate that has showcased the strongest growth in recent years, said Trepp Research Associate, Catherine Liu. Particular submarkets have been benefiting from current geographic and demographic changes, as well as emerging trends in population migration.
Multifamily has maintained the strongest momentum of growth in the years following the financial crisis; more than any other property sector. Based on monthly remittance data, the average annual occupancy on outstanding multifamily loans trended up modestly in 2018 when compared to 2017, while the overall occupancy for all property types posted a year-over-year dip.
In terms of reported NOI: multifamily operating income grew by 2.66% in 2018 (roughly in line with 2017 s annual increase of 2.70%), the highest among the five major property types behind only industrial s 3.2% growth rate. By comparison, the percentage for all property sectors was 1.62% last year, up slightly from 1.48% in 2017. This bodes well for multifamily operators that saw an increase in occupancy and operating income in 2019 which should translate to higher market valuations of those assets.
For a closer look at the sector s performance by geographic region, Trepp examined its database of consecutive year-end financials on 23,479 private-mark multifamily loans across the nine census divisions delineated by the US Census Bureau. Overall, Western and Southern US regions continue to exhibit the highest growth due to current migration patterns, one of the major drivers of housing demand.
For additional details, such as a geographic breakdown and analysis of factors impacting the growth in multifamily net operating income, download the Multifamily NOI Report at Trepp.com

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LAS VEGAS, NV – Compass Acquisition Partners (Compass), a private real estate investment company, announced that it has bought the 488-unit Sandpiper Apartments in Las Vegas from Apple Management for $66 million in an off-market transaction. Sandpiper, located at 4650 W Oakey, is one of the largest multifamily properties in Las Vegas, with 61 two-tale buildings spread across the perfectly landscaped 20.1-acre site.
Sandpiper Apartments offers a substantial and irreplaceable asset in the heart of Las Vegas. The is property is convenient to employment centers, major area thoroughfares and surrounded by a mix of shopping, dining and entertainment options. These are all attributes that align with our investment criteria, said Compass Acquisition Partners CEO, Lynn Owen.
Built in 1988, Sandpiper offers multiple areas for gathering and recreation with three resort-style pools, tennis courts, club house and fitness center. The one- and two-bedroom units offer spacious floor plans with an average unit size of 950 square feet.
Compass plans to invest approximately $7.5 million in an extensive program of capital improvements. Currently, units are in the process of being renovated. Compass is expanding the scope of the updates to include modernized kitchens with stainless steel appliances, refreshed cabinets and stone counters and wood-style plank flooring throughout.
Common area and exterior renovations will include updating the club house and fitness center, refreshing the pool areas, building painting and new signage. The property will be enhanced with additional amenities and public spaces such as dog parks, a multi-sports court, and an outdoor community space with barbeques, outdoor kitchen and seating. Further, some landscaped areas will be modified with zero-scape features that will be attractive and environmentally responsible additions.
Las Vegas is thriving with multiple new commercial developments and new businesses moving to the area propelling job growth. There is strong demand for multifamily housing as developers have avoided the overbuilding of past cycles, another factor that contributed to our interest in the market, added Owen.
Compass currently has a portfolio of approximately $2 billion of multifamily and retail assets located in select markets along the West Coast, Colorado and Wyoming. A fully-integrated real estate investment firm, it is actively seeking acquisition opportunities as it pursues a carefully crafted and implemented program to expand its portfolio with a particular interest in well-located multifamily properties in mature markets.

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WALNUT CREEK, CA – Anton DevCo, a leading California multifamily developer, has begun construction of Anton NoMa, a 135-unit mixed-use development located at 1910 N. Main Street, Walnut Creek. A groundbreaking event was held, with catered lunch provided by George Almeida, who successfully operated the Fuddruckers restaurant on the project site for more than 20 years. Attendees included the Mayor of Walnut Creek, Cindy Silva, who shared a few words during the ceremony, Walnut Creek City Manager Dan Buckshi, City staff and other Anton partners for the project.
Anton NoMa is a new mixed-use development in the desirable neighborhood of Walnut Creek, a small commute east of San Francisco and two blocks from the Walnut Creek BART station. The new development will consist of 135 apartment units with approximately 9,000 square feet of retail. Eleven of the units will be rent-restricted for low-income housing. “Building new housing in California is our top priority. The City of Walnut Creek has been a fantastic partner to make this happen,” says Trisha Malone, the Chief Investment Officer at Anton DevCo.
NoMa residents will have unprecedented access to dining, entertainment, and employment opportunities. Anton NoMa will consist of two levels of subterranean parking and a ground floor of retail with a mix of studio, one-bedroom, and two-bedroom units above. The common-area spaces feature a community room with a kitchen and fitness center, as well as a courtyard with pool, spa, BBQ and firepit. Residents will be able to relax and delight in the coveted East Bay climate on the outdoor rooftop lounge with views of Mount Diablo. The architecture will incorporate an organic material palate that captures the elegance of Walnut Creek and continues Anton’s strong commitment to sustainable building by pursuing LEED or Green Point certification.
Anton DevCo is a developer, owner, builder and operator of multifamily communities, maximizing the energy of urban properties. They renew neighborhoods and transform the landscape with distinct multifamily communities, frequently incorporating affordable housing opportunities. Anton DevCo believes that sustainability is not just a buzzword or fad, but integral to the planet’s health and the company’s growth. With over 25 years of experience in multifamily housing, Anton DevCo has developed 60 communities and over 9,000 units in the state. Anton DevCo currently owns and manages two dozen apartment communities, with five additional projects in development in the San Francisco Bay Area.

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