Home›Real Estate›Residential›Puget Sound multifamily pipeline shrinks as developers…

Puget Sound multifamily pipeline shrinks as developers shelve projects

A ConnectCRE report citing Kidder Mathews estimates 12,931 units are approved and 78,925 remain in review, after both segments contracted over the past year.

Reported · Written up by our desk · Residential

Puget Sound’s multifamily development pipeline is undergoing a reset, as developers increasingly shelve projects instead of extending timelines or holding entitlements while waiting for market conditions to improve, according to a ConnectCRE report that cites Kidder Mathews.

The outlet said the contraction has pulled down both the approved pipeline and the in-review pipeline over the past year, with the region now totaling 111,019 units across construction, approved and in-review stages.

ConnectCRE reported that an estimated 19,163 units are currently under construction, 12,931 are approved, and nearly 78,925 units remain in review.

The report attributes the pipeline pullback primarily to development economics, with elevated construction and capital costs making new projects harder to justify.

More like this

Sources