Workforce housing promises to be a driving force in 2019 for high-net-worth individuals (HNWI) pursuing investments in the multifamily sector.
In a new report, commercial real estate company CBRE says workforce housing represents “an appealing investment strategy” in 2019 thanks to a favorable supply-and-demand balance. As such, that high demand promises to generate gains in rental rates next year for workforce housing units, CBRE researchers forecast.
The current climate for workforce housing, otherwise known as affordable housing, opens the door for HNWIs who want to pump money into the multifamily sector, but might be unsure about precisely where to put that money.
The multifamily sector continues to pique the interest of HNWIs, with NREI research showing it’s increasingly their go-to property type. In a 2018 NREI survey of HNWIs, 76.27 percent of respondents cited multifamily as their preferred property type, up from 69.13 percent in 2017 and 67.19 percent in 2016.
Suraj Shrestha is an associate at Harborside Partners. He has been taking the lead role on research projects; to develop and implement online marketing strategies for search engine optimization and social media marketing. He is one of the core parts for helping to grow business revenue and the company’s online presence.