Chicago Apartment Market: High Demand for Student Housing
by Brandon Frankel | Oct 26, 2016 | CoStar Group
Following a national trend, Chicago doesn’t have enough housing. Household growth in Chicago greatly outpaced new housing starts from 2011-13, and while the apartment development surge helps to cut into this disparity, household growth still exceeds new housing starts thus far in 2016. In fact, if not for a slowdown in household growth, new housing starts would equate to merely half of household growth from 2014-16.
We’ve pointed out before that, due to factors such as Millennials moving to the suburbs, many downtown areas of major metros may be in serious risk of oversupply. While Chicago hasn’t hit that point yet, the possibility looms: nearly 6,000 units are under construction downtown, close to double the units of Chicago’s next most construction-heavy submarket, North Lakefront.