Despite a disruptive pandemic, investor demand for multifamily real estate was strong in 2020, according to a newly released Yardi Matrix Bulletin. Around 252,000 apartment units were absorbed in 2020, which is about 1.7 percent of total market stock and down 12 percent from the 286,300 apartments absorbed in 2019.
"Considering the economic and social calamity that befell the United States, in many respects due to COVID-19, the fact that demand held up as well as it did is a relief for the apartment industry," said Matrix analysts.
Net absorption was strongest in 25 of the 30 largest metros, which accounted for 158,300 units absorbed. Dallas, Atlanta and Denver saw the highest absorption rates.
Negative absorption was centralized in key gateway markets hit hard by COVID-19, which
