Sacramento is fresh off its stint as the national leader in rent growth, as strong demand and limited completions have pushed average rents beyond the national rate over the past couple of years. Despite continued growth, the metro is seen as an affordable option to the pricey San Francisco. A stable job market and good demographic trends have kept demand for rentals strong, likely pushing rental rates higher.
According to Yardi Matrix, more than 5,500 units were under construction in the metro as of October 2018, a good share of which are located in the downtown area. The list below highlights the five largest up-and-coming multifamily properties in the pipeline.
Cresleigh Homes started construction on HUB in November 2017 and upon its March 2019 completion, the gated community will add 230 units to the market. HUB will offer one-, two- and three-bedroom apartments ranging from 796 to 1,336 square feet and will feature a playground, clubhouse, car wash and dog wash stations, electric vehicle charging stations, 24-hour fitness center, game room, outdoor fireplace, salt water swimming pool and spa, as well as solar panels. Located at 525 Willard Drive in Folsom, Calif., the property is in the immediate vicinity of the Safeway shopping center, Folsom Premium Outlets, as well as major employment centers.
4. Sutter Green
Last April, Demmon Partners acquired a downtown Sacramento asset. The company is now developing the 248-unit Sutter Green in a joint venture with Anton Development, expanding its footprint in the capital city of California. Expected to be completed in May 2019, it will spread throughout 11 one- and two-story buildings and will include first-floor parking. The unit sizes will range between 548 and 1,039 square feet. The property sits on 11 acres at 2250 Natomas Park Drive in North Sacramento. Amenities will include clubhouse lounge with Wi-Fi booths, dog park and spa, package lockers, electric car charging stations and an Uber/Lyft/shuttle station.
3. The Press @ Midtown Quarter
The Press @ Midtown Quarter, a 277-unit building with a retail component, is Sacramento’s largest new multifamily development in decades. SKK Development started the construction in June 2018, while completion is slated for April 2020. The community is shaping up at the corner of 20th Street and Q Street in the Central Business District and will encompass 32 detached townhomes ranging in size between 1,700 and 1,900 square feet. Various retailers, eateries, entertainment options and civic amenities are all nearby.
2. Talavera Ridge
By October 2019, USA Properties Fund’s partially affordable, age-restricted Talavera Ridge will bring 293 units to the market. The community will comprise four buildings designed by GPMA Architects. Additionally, it will feature a game room, media center with a movie theatre, fitness center and a pool. Situated at 2796 Broadstone Parkway in Folsom, Calif., Talavera Ridge will provide tenants with immediate access to the Palladio at Broadstone lifestyle center, parks, other communities and sports complexes.
1. Fiddyment Ranch
USA Properties Fund’s largest community in the pipeline is in Roseville, Calif. Construction started in September 2017, with the 300-unit project being scheduled for delivery in December 2019. The two- and three-story development will be located on 12 acres at 1900 Blue Oaks Blvd. and is expected to feature multiple lifestyle amenities, including a clubhouse and a pool.