IE Business Daily Business news for the Inland Empire.
Developers of multifamily housing remained optimistic during the end of last year.
The multifamily production index was 54 during the fourth quarter of 2014, capping off three straight years of quarterly reports of 50 or above, according to data released Thursday by the National Association of Home Builders.
The index measures three major components of the multifamily housing market: construction of low-rent units, “for-sale” units – condominiums – and rental units that correspond to market rates.
Developers are asked to rank their opinion on conditions of the apartment and condominium market on a scale of zero to 100. Fifty or above means a majority of those questioned believe the market is improving, below 50 means the respondents believe the market is declining.
“Demand for multifamily housing remains strong and we continue to build new units to meet this need,” said W. Dean Henry, chairman of the association’s Multifamily Leadership Board, in a statement. “Because of strong job growth, we expect to be able to keep building for the foreseeable future.”
