A residential market analysis for the Fair Oaks Mall site. This will be primarily focused on apartments, but given the size of our site, give some thought to other housing types (condominiums, townhomes, etc.). Feel free to think outside the box. The following reports are included in the Case Study Resources section. You are welcome to use other sources if you wish.

• ESRI Community ProfileDownload ESRI Community Profile
• ESRI Crime SummaryDownload ESRI Crime Summary
• ESRI Traffic Count ProfileDownload ESRI Traffic Count Profile
• Realpage Washington Metro Apartment Market Report Download Realpage Washington Metro Apartment Market Report

As usual, supply and demand are the most important considerations here.

Demand:

• Population and household trends: How has the population grown in the recent past? What are projections for the future?
• Demographic profiles: Do the demographics of your market indicate a concentration of population by age/time of life? Is your market preparing for an influx of empty nesters, single professionals or other cohorts? What does the income profile of the market tell you?
• Other things to consider include but aren't limited to:
  • Average household size
  • Median home value
  • Unemployment rate

Supply:

• What is the current inventory? Based on your demand analysis, will the current housing stock be able to provide enough space for the market's projected growth?
• What is the apartment development pipeline? What has recently been built? Is anything under construction?
• Where are other concentrations of multifamily housing in the area?

Market Fundamentals

• Use the case study resources to answer the following questions for the market.
  • Average rental rates and rent growth
  • Rent growth
  • Vacancy rates
  • Annual absorption in the market
• Choose three projects (from the market data or your own research) to practice a comparable analysis. These projects should be similar to what you imagine a new development at our site would look like. Comparable analysis is particularly important for apartments because it explains what the market is currently offering and where gaps may exist.
• This analysis should include the following information in matrix format:
  • Name and address of the property
  • Number of units and a breakdown of units by type (studio, one-bedroom/one-bath, etc)
  • Average rent and rent per square foot
  • Additional notes regarding strengths or weaknesses of the competitive property that could influence a renter or buyer's site selection decision (property in need of renovation, pool on-site, pets allowed, etc.)
  • Note: Although pieces of this information will be available on-line, more accurate and complete information might be available from a property manager. If you interview any of these individuals, please include a brief summary of your discussion as well as who you spoke to in your market analysis.

Basically, you are using quantitative and qualitative information to answer the question: Are there gaps in the market that could be filled by new development at our site?