Multi-family apartment property sales for Philadelphia’s western suburbs have been strong this year, and 2019 could potentially be a record year, writes Natalie Kostelni for the Philadelphia Business Journal.
Included in those sales is Madison at Glen Mills, which has 244 apartments. It was part of a larger $370 million sale. Other multi-family apartment properties have sold in Conshohocken, West Norriton, Phoenixville, Exton and King of Prussia.
“We have already sold as much this year as we did in all of 2018,” said Mark Thomson of HFF. “Everything is trading. Big, little, old, new, [Classes] A, B and C.”
The suburban multifamily market has fared well in spite of the increase in new apartment construction. Delaware County rents jumped 1.4 percent, Delaware and Chester counties combined jumped by 3.2 percent and Montgomery County saw rents rise by 3.5 percent, according to Delta Associates’ second quarter report.
The vacancy rate has ticked up but remains healthy at 4.1 percent in June 2019, from 2.5 percent a year ago, according to Delta. Vacancies are 3.4 percent in Delaware and Chester counties.
The torrid pace of apartment sales is expected to continue for the remainder of the year.
Read more about suburban apartment sales here.