Cities across the US are undergoing a transformation, with apartment buildings sprouting up at a rate unseen in decades. The most significant testament to this trend is Washington DC’s 20002 zip code, which has recorded 7,378 new rentals in just the past five years.
A recent dive into this trend, spanning the 50 largest cities and informed by data from Yardi Matrix, reveals that since 2018, 1.2 million new rental units have emerged across the US. This growth doesn’t only mean a wider variety of choices for renters but also indicates a shift towards more contemporary living spaces with modern amenities.
Furthermore, the availability of these units in central city locations suggests that apartment availability is set to improve.
Key cities and zip codes unpacked
Washington DC stands out in this apartment construction swell. The city’s two zip codes, 20002 and 20003, secure the top two spots, highlighting the capital’s renewed post-pandemic appeal. Interestingly, while Miami’s 33132 zip code saw an impressive fourfold increase in new apartments, the Dallas-Fort Worth metro area, with its vast expanse, features eight zip codes among the top 50 in terms of new units.
A detailed look at the top-performing zip codes:
- 20002, Washington DC: Nestled around the H Street Corridor, this zip code has witnessed the development of 7,378 new apartments over half a decade. The mix of its historical essence, modern conveniences and proximity to the nation’s power hubs positions it as a sought-after destination for urban enthusiasts.
- 20003, Washington DC: Another jewel in the capital’s crown, this region has more than doubled its rentals, introducing 7,225 new apartments from 2018 to 2022. Given its median household income, the area predominantly attracts the high-end rental market.
- 11101, Queens, New York: Blending luxury with affordability, this zip code has successfully added 7,081 rentals in the recent five-year span. Its strategic location, offering easy access to Manhattan and East River vistas, has contributed to its popularity.
- 37203, Nashville, Tennesse: Located at the heart of Nashville’s cultural and musical scene, this zip code has nearly doubled its rental options, with a total of 6,806 new units in the past five years.
- 75034, Frisco, Texas: As the corporate home to giants such as T-Mobile, Oracle and Amazon, and with 5,872 new apartments introduced between 2018 and 2022, this region appeals to a wide range of renters, from young professionals to families.
Other notable mentions include Miami’s 33132 and Maitland’s 32751, which have seen their apartment share soar over the past five years.
Wider implications and future outlook
City centres' revitalisation initiatives have played a pivotal role in this construction renaissance. As regions like Washington DC's 20002 and 20003 zip codes lead the way, the broader implication suggests urban living is evolving, becoming more accessible, and aligning with contemporary lifestyles.
[Read more; In Washington DC, zip codes still determine futures]
