Positive Outlook in 2013 for Andrew Jubelt and Apartments Sector
Andrew Jubelt has years
of broad based experience in the acquisition, financing and recapitalization of
under-water projects. As a principal at AVANT Capital Partners, Mr. Jubelt
focuses on financing stabilized and transitional commercial real estate
nationwide.
2013 is poised to be a
very busy time for commercial real estate - assuming we don’t go over the fiscal
cliff in the next 10 days. And good times may be ahead for apartment builders in
particular. “Assuming current trends hold, over the rest of this decade, we
will need at least 300,000 new apartments annually, and possibly as many as
400,000, to meet demand,” says Mark Obrinsky, vice president of research and
chief economist for the National Multi Housing Council.
Despite the current
financial uncertainty, strong demographics help apartments. The number of
people who are in the age group most likely to rent apartments—20 to 34 years
old—will grow by 2.4 million people over next five years. That’s the fastest
rate of growth for that age group since the early 1980s. The demand from Echo
Boomers entering the work force and renting apartments plus rising immigration
levels will continue to “significantly surpass new construction of rental units,”
according to analysis from Marcus & Millichap.
Developers have taken out
permits to build new multifamily housing at an annualized, seasonally adjusted
rate of more the 250,000 a year every month since summer 2012, according to
Census data. The rate was 296,000 in November—more than twice the rate of
construction just after the recession, when almost the only projects built were
financed with federal housing subsidies.
Housing economists expect
“continued, modest growth” in new-home construction through 2013, says David
Crowe, chief economist for the National Association of Home Builders.
Andrew Jubelt and the team
of experienced originators at Avant Capital Partners offers
conventional loans for stabilized investment and owner occupied real estate from
$500,000 to $10,000,000 in major markets nationwide. This program offers
competitive fixed rates, advantageous terms & simple closings.
For more information
contact Andrew Jubelt at ajubelt@avant-capital.com
or at (212) 231-9779.
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