How Will All the Apartment Overbuilding End?
The similarities to the years leading up to the “Apartment Recession” of 1972 are eerie. If history repeats itself, the end won’t be pretty.
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Class-A loses its shine
For decades, real estate investors could rely on a simple rule of thumb. Class A apartments (the newest and most expensive with the highest rents) performed the best in good times and went down the least in bad. Next came Class B (older properties with moderate rents). And Class C (older properties in challenging neighborhoods with even lower rents) brought up the rear. So investo