RENTS RISING MORE MODERATELY, NEW CONSTRUCTION BRINGING HIGH-END LUXURY
Rents in the Sacramento market, which have grown faster than all other U.S. metros for two years, are rising more moderately in Q3. With occupancy still above equilibrium, we anticipate continued rent growth. The developments nearing completion will push rents further, but leasing activity shows that young professionals are willing to pay a premium to live in the urban core. The live/work/play mentality has been ignited in the Downtown/Midtown area, and developers are moving quickly to capitalize on the buzz.