KCRag Forum

Newmark Q3 on Supply/Demand over last 12 months. According to report KC ranks 23rd for supply, top 3 in Midwest and about 13th for % change in occupancy...

https://www.nmrk.com/storage-nmrk/uploa ... -11-21.pdf

Colliers Q3 MultiFamily report for KC. They track the most units compared to other reports.

Two reports (above post as well) showing similar high demand in metro a good sign, higher than new supply should keep development interest going...



Central KC improved to over 94% occupancy, which is a good improvement from about 92% Q1 even though more units added. Pretty good demand considering the significant number of city core units added over last couple years.



Here's Q1 for comparison...


Full Q3 report...
https://www.colliers.com/download-rEsea ... ab1db6a442

Four submarkets are responsible for nearly half of all units underway. Lenexa led activity with 974 units, followed by Overland Park–South (934 units), Downtown Kansas City (812 units) and Kansas City–South (772 units) [Midtown to about Brookside].

Metro completions...


https://www.yardimatrix.com/publication ... t-Fall2021

Northmarq for KC metro. Vacancy increase implies new deliveries higher than demand...

https://www.northmarq.com/wp-content/up ... 3Q2021.pdf

Berkadia shows decent metro absorption (demand) over 5K units for 2021 inline with other reports and also forecasts lower demand and deliveries for 2022. Also states around 95%+ occupancy, about same as other reports. Doesn't break out metro divisions...

https://base.berkadia.com/wp-content/up ... s-City.pdf

Berkadia's updated KC multifamily construction/pipeline report from Q4...
https://base.berkadia.com/wp-content/up ... imized.pdf

Yardi Matrix December 2021 KC metro report...
https://www.yardimatrix.com/publication ... KansasCity

Cushman Q4 metro multifamily report...
https://cw-gbl-gws-prod.azureedge.net/- ... 2021q4.pdf

Odd that for RCP it shows higher absorption than deliveries yet vacancy rate didn't change over last Q. If absorption is correct, RCP had nearly same as all of JoCo for the year.

Q4


Q3 for comparison..

Newmark Q4 shows KC metro absorption higher than new supply, which should keep developers active. Shows quite a bit more metro absorption than other reports above. This also seems to suggest that KC is still in top 25 markets for MF new supply/construction. Colliers tracks the most units but that report probably won't be out for a while.





https://www.nmrk.com/storage-nmrk/uploa ... Report.pdf

KC metro kicks off 2022 with high multi-family permits. For January, most in the Midwest and top 20 in US. All metros can vary wildly per month but that is high for KC Januaries.



https://www.census.gov/construction/bps ... 202201.xls

Metro MultiFamily permits for Jan/Feb YTD...

https://www.census.gov/construction/bps ... 202202.xls

Colorado Springs must be booming. It's been a while since I have been there. I wonder if they are seeing a major downtown urban boom or if this is mostly more suburban or sprawl type development which I recall being more typical there.

https://www.yardimatrix.com/Publication ... -March2022

I’m curious about one thing. It says “Downtown KC led the pipeline going into 2022”- has that always been the case going back to the 90’s or so? Or when did it become normal for Downtown KC to lead the pipeline over JoCo towns, etc

Not a broad thread fit so will place it here. Interesting report that breaks down construction cost increases, mainly materials and labor. US construction spending considerably down this Jan compared to last Jan...

https://www.us.jll.com/content/dam/jll- ... 1-2022.pdf

For March, KC metro permits slowed down for the month but for YTD still in the top 20 for multifamily permits. Looks like Nashville is more focused on SFH than MF lately. I've mentioned in other threads that MSP appears to be slowing down with a lot of economic stats... not with housing permits.



https://www.census.gov/construction/bps ... 202203.xls

^Note that sprawling cities tend to have more single unit SFH permits than multifamily and first few months of this year KC unusually has more MF than SFH permits more inline with urban markets. May not hold but interesting start.

Berkadia Q1 'report card' says that metro occupancy at over 97% with demand higher than new supply (more absorption than delivered units for the Q). However they are forecasting more units than demand by end of the year. Pipeline report and metro breakdown report should be coming soon.

https://base.berkadia.com/wp-content/up ... s-City.pdf


Interesting that KC absorbed more units than Minneapolis area despite MSPs significant housing construction. MSP on my watch list, curious to see how they'll recover.
https://base.berkadia.com/wp-content/up ... .-Paul.pdf

KC exceeded Nashville as well with absorption in Q1...
https://base.berkadia.com/wp-content/up ... hville.pdf

STL had negative absorption for quarter...
https://base.berkadia.com/wp-content/up ... -Louis.pdf

Spot checking other markets, KC's Q1 absorption was higher than many larger markets... San Diego, Portland, Tampa, Charlotte and others. At least according to Berkadia.

KC’s absortion absolutely crushed their projections.

Cushman Q1 report for KC metro. Got this from someone on the inside, don't have a link yet.

Impressive that RCP corridor represents almost 70% of metro absorption (additional units leased out for the quarter). Shows metro absorption a little lower than Berkadia link above but still very good.

What is going on in S JoCo? Shows negative absorption despite high construction, and they have high office negative absorption as well. KS side also showing a steady drop in office jobs that started even before pandemic.

Colliers tracks the most units but they don't always release a report every quarter.