CIP Construction is committed to developing new multifamily properties in thriving submarkets that demonstrate long-term population growth and job creation.
The Austin metro area has experienced rapid and sustained growth during the past 20 years. According to the U.S. Bureau of Labor Statistics (BLS), the metro area population increased by nearly 50,000 (2.7%) in 2012. Job creation has outpaced population increases, which resulted in unemployment dipping below 5%. According to the Austin Business Journal, "Austin took the top spot for the third year in a row on Forbes list of 'America's 20 Fastest Growing Cities.'" Driving this growth is the fact that Austin is the home of Texas state government, the University of Texas enrolling 51,000 students, and numerous startups and technology heavy-weights. In 2013, the apartment vacancy rate in Austin fell to 3.9%. Meanwhile, Austin has experienced rent gains of over 3% per annum in each of the past two years. Continued job growth should result in sustained low vacancy rates and increased rents in the apartment sector.
In Nashville, demand is outpacing supply with positive net absorption forecasted, vacancy within the range of 5.0% to 5.5%. It is expected that strong occupancy rates will continue for the next several years along with higher rates of rent growth. Nashville continues to receive recognition for its success in attracting new jobs and providing a favorable climate for business. Long-term estimates project employment growth in Nashville of 125,000 during the next five years. Forbes recently ranked Nashville third in the country on its list of the nation's "next boom towns."
Population growth in the Raleigh-Durham region was projected at 47,190, according to Moody's in 2012, with job growth at nearly 20,000 over the same time period. The area has enjoyed sustained population and employment growth over the past two decades in large part due to its proximity to premier universities and its emergence as a nationally recognized technology hub. With its numerous research and technical facilities, Raleigh-Durham remains a draw for an educated workforce. In 2013, job growth in Raleigh-Durham is estimated at 20,000 to 25,000 with an additional 25,000- 30,000 new jobs projected to be added in 2014. With sustained low vacancy rates and dynamic job growth forecasted, it is expected that rents will continue to rise.