Las Vegas Multifamily Report – December 2024
Strong job growth keeps Sin City prospects positive.
In line with seasonal trends, rent growth softened in Las Vegas at the end of summer and remained on a downward trajectory for the third consecutive month in October. Average advertised asking rents decreased 0.4 percent on a T3 basis through October, to $1,472, while the national rate slid 0.1 percent, to $1,748. Las Vegas occupancy climbed 100 basis points year-over-year through October, to 93.7 percent, increasing nearly equally across quality segments.
Las Vegas continued to lead the U.S. in employment expansion, with the rate at 3.6 percent as of August, well ahead of the 1.4 percent U.S. figure. Meanwhile, unemployment stood at 5.9 percent in September, trailing the U.S. (4.1 percent) and the state (5.6 percent), according to data from the Bureau of Labor Statistics. Las Vegas added 41,100 jobs during the 12-month period ending in August, with construction (9,600) and government (9,500) leading gains. Construction is underway at the $206 million expansion of M Resort Spa Casino and is scheduled to be finalized by the summer of 2025. Also underway is the 19-acre mixed-use project NLV Gateway, which is estimated to create more than 1,000 jobs upon completion.
Development ramped up, with 3,030 of the 9,190 units under construction breaking ground this year through October. Deliveries during the period totaled 4,996 units. Investment activity also surged, totaling $1 billion through October, for a price per unit that increased 0.4 percent year-to-date, to $204,232.
