But Phoenix, which saw 133 transactions last year, is a different story. With the city showing the second-largest private sector job growth (behind New York) in October and improved fundamentals, Ingle says the future is getting brighter.
“A period of relative economic stability helped investors start to make long-term investment decisions around the middle of 2010, fueling a stronger appetite for acquisitions,” Ingle says. “Apartment investors seem to recognize that Phoenix has either hit bottom or is close to it; the free fall is over. Operationally, better properties are reporting significant improvements in occupancy accompanied by some rent growth.”
