DALLAS, TX--(Marketwired - December 19, 2014) - Numbers in the Los Angeles-area apartment market inched forward in November 2014, with three of the region's four metros recording small gains in annual effective rent growth, according to Axiometrics, the leader in apartment market research and analysis.
"Apartment markets in the Los Angeles area as a whole have gained significant strength in the past six months," said Stephanie McCleskey, Axiometrics Vice President of Research. "Although job growth isn't among the highest, especially in Los Angeles proper, new supply is not being delivered as quickly as in other regions."
Rent growth in the Los Angeles-Long Beach-Glendale Metropolitan Division was 5.6% in November, a 55-basis-point (bps) increase from October's 5.0%. The November 2014 rate is 258 bps higher than the 3.1% recorded in November 2013.
Average monthly rent in Los Angeles was $1,997, up $121 from one year earlier.
Annual effective rent growth also increased slightly in the Oxnard-Thousand Oaks-Ventura Metropolitan Statistical Area and the Santa Ana-Anaheim-Irvine (Orange County) Metropolitan Division. Rent growth in Oxnard was up 22 bps to 7.4% in November, while Orange County rent growth was 4.5%, a 41-bps gain from October. Oxnard's rate is a 611-bps increase over November 2013.
"Oxnard landlords are in the best position to push rents than those in other parts of the LA area," McCleskey said. "Job growth is the best in the area and hardly any new units are being built."
Orange County rent averaged $1,847 in November, an increase of $97 from November 2013, while the average Oxnard-area rent of $1,751 was $119 higher than one year earlier.
Meanwhile, rent growth in the Inland Empire -- the Riverside-San Bernardino-Ontario MSA -- was 5.5%, an 8-bps decrease from October but a 227-bps rise from November 2013. The average rent of $1,291, while $2 lower than October, was still $58 higher than in November 2013.
Los Angeles' occupancy remained at 95.1% for a consecutive month, while it dropped 55 bps in the Inland Empire to 95.5%. Orange County occupancy dipped 29 bps to 96.2%, while Oxnard bucked the seasonal occupancy trend by increasing 24 bps to 96.4%.
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Axiometrics improves property and portfolio performance for apartment investments. Confident investment decisions begin with reliable, timely information. No one has more accurate, detailed, and up-to-date research on the apartment and student housing markets. Learn more at www.axiometrics.com or by calling 214-953-2242.
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