San Jose, California, is experiencing a significant surge in new apartment construction, with 2024 set to see the highest number of apartments delivered since 2018. Approximately 3,650 new market-rate apartment units are scheduled for completion this year, marking a substantial increase from the under 900 units completed in 2023.
Areas such as Tasman East in Santa Clara are seeing significant development, with around 1,500 units nearing completion. The Related Cos. in Tasman East is one of the standout projects. Other key areas for new apartment development include downtown Sunnyvale and downtown San Jose, as well as various infill development locations spread across Silicon Valley’s established residential neighborhoods.
High house prices and mortgage rates continue to drive demand for apartments, making new rental buildings popular among the region’s well-paid workers. Looking beyond 2024, the pace of new deliveries in the region is expected to fall once the current crop of new developments is completed.
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Source: CoStar
