Nashville, Tenn. (TN Tribune)–When your population soars more than 15 percent, as the Nashville metro area’s population did between 2012 and 2020, you need to put more roofs over people’s heads.
The ever-growing interest in Nashville makes it the 17th-most impressive real estate performer in the nation. To identify the most active real estate markets in the last decade, we looked at new construction in the single family, multifamily, self storage, office, retail and industrial sectors in the 50 largest metropolitan areas.
Here are some key takeaways regarding Nashville’s real estate scene from our report:
Highlights on Nashville:
- Building permits have been issued for roughly 119K single family homes in the last 10 years (the 9th highest figure nationally). During the same time period, Nashville also issued 73,639 multifamily permits, saw more than 15 million square feet of new office space added, it built almost 38 million square feet of new industrial space and over 7.3M square feet of retail space, and saw new self storage space increase by more than 4.8 million square feet.
- When asked what makes some places attract more development than others, Randall Sakamoto, president and director of research, Rosen Consulting Group, said while costs and local regulatory hurdles play a large role in what makes some places more attractive than others for development, “much of it boils down to demographics.” “Not only did the Sunbelt and Mountain states gain large numbers of residents, many are highly educated and skilled workers that lived previously in dense coastal markets,” Sakamoto said in a statement. “The high quality of life and relative housing affordability of many secondary and tertiary cities attracted new residents for much of the last decade. The pandemic accelerated this trend drastically during the last two years, and many of these relocations will be permanent even if remote work options change over time.”
You can find the full report together with expert commentary here: https://www.storagecafe.com/blog/the-most-active-real-estate-markets-in-the-last-decade/
- In an effort to keep up with phenomenal demand, residential construction is booming. Building permits have been issued for roughly 119K single family homes (the 9th highest figure in the nation and a 204% increase) and over 73K multifamily units (a 390% increase) in the last 10 years.
- Not only did the pandemic not slow the market, but 2020 and 2021 saw the highest numbers of permits issued for new single family homes in the entire decade – over 15,500 and over 16,000, respectively. In addition, more than 11,600 new apartments in 2020 and over 14,000 in 2021 got the go ahead in Nashville.
- The Music City saw over 15M square feet of office space being built over the past decade, and new industrial construction surpassed 37.8M square feet, with 2021 again being the best year of the decade – over 8.1M square feet built.
- Self storage construction, which tends to be driven by moving, has itself witnessed an increase in demand that in turn has translated into heightened construction activity. More than 4.8M square feet of new self storage space entered the Nashville market over the last decade.
Building permits have been issued for roughly 119K single family homes in the last 10 years (the 9th highest figure nationally). During the same time period, Nashville also issued 73,639 multifamily permits, saw more than 15 million square feet of new office space added, it built almost 38 million square feet of new industrial space and over 7.3M square feet of retail space, and saw new self storage space increase by more than 4.8 million square feet.
When asked what makes some places attract more development than others, Randall Sakamoto, president and director of research, Rosen Consulting Group, said while costs and local regulatory hurdles play a large role in what makes some places more attractive than others for development, “much of it boils down to demographics.” “Not only did the Sunbelt and Mountain states gain large numbers of residents, many are highly educated and skilled workers that lived previously in dense coastal markets,” Sakamoto said in a statement. “The high quality of life and relative housing affordability of many secondary and tertiary cities attracted new residents for much of the last decade. The pandemic accelerated this trend drastically during the last two years, and many of these relocations will be permanent even if remote work options change over time.”
You can find the full report together with expert commentary here: https://www.storagecafe.com/blog/the-most-active-real-estate-markets-in-the-last-decade/
