The number of new apartment units coming online in the United States is expected to decrease through 2027, according to the latest forecast from Yardi Matrix.

This isn’t surprising: The new-construction pipeline slowed dramatically this year and last, resulting in far fewer new apartment projects scheduled to open in the coming years.

According to the Yardi Matrix fourth quarter multifamily supply forecast, the United States is expected to see 508,089 new apartment units in 2025. That is down from the predicted 554,288 units expected to deliver throughout 2024.

And the number of new units is expected to only decline further, with Yardi Matrix predicting just 371,509 new apartment units delivered in 2026 and 326,911 in 2027.

This trend is only expected to begin reversing in 2028, when Yardi Matrix estimates that the United States will see 404,559 new multifamily units. And in 2029, Yardi Matrix predicts that 426,485 new apartment units will deliver throughout the country.

Among multifamily markets tracked by Yardi Matrix on or before January of 2020, the under-construction pipeline dipped 3.8% quarter-over-quarter to 1.16 million units. From September 2023 to June 2024, the under-construction pipeline was at or above 1.2 million units.

A total of 56,997 apartment units in the under-construction pipeline are in lease-up, according to Yardi Matrix. Lease-up units declined 9.7% on a quarter-over-quarter basis but increased 5.5% year-over-year.

Markets that are seeing a decrease in under-construction units include the North Dallas market, where 13,793 apartment units were under construction as of October of 2024 compared to 17,917 in the same month a year earlier, and the suburban Dallas market, where 8,962 units were under construction as of the October of this year compared to 12,288 in October of 2023.

In the Houston West submarket, 10,774 multifamily units were under construction in October compared to 14,741 in October of 2023. In Austin, 22,909 apartment units were under construction in October of this year, a big dip from the 40,895 in the same month a year earlier.

And in San Antonio, 6,109 units were under construction this October while 10,949 were under construction a year earlier.

Nashville is seeing a significant dip in new apartment construction, too. Yardi Matrix reported that 11,043 new units were under construction as of October of 2024, a drop of 29.7% from the 15,705 under construction during October of 2023.

Constellation Real Estate Partners acquired 23.31 acres of land at 11891 N. Houston Rosslyn Road in Houston, Texas, for the development of Constellation Rosslyn, a 284,960-square-foot Class-A industrial building.

Construction will begin in the fourth quarter 2024 with completion scheduled for the third quarter 2025.

Designed by Powers Brown Architecture, Constellation Rosslyn will feature a 36-foot clear height, 192 car parking spaces, 78 trailer spaces, full truck circulation, and visibility on North Houston Rosslyn Road. It also contains 1.7 acres of excess land for additional trailer parks or outside storage.

Constellation Rosslyn is in the heart of Houston’s Northwest submarket, a preferred location for large sized distribution, e-commerce, and logistics users serving the greater Houston MSA. The site has quick access to U.S. 249, Beltway 8, and I-45 and is well located to reach end consumers throughout Houston. Marketing and leasing efforts for Constellation Rosslyn will be exclusively handled by Faron Wiley and Ed Frantz of CBRE.

Stream Realty Partners has been awarded the leasing, property management and construction management of 4265 San Felipe. The 14-story, 208,696-square-foot office tower, acquired by DML Capital, is located in Houston’s sought-after Galleria submarket inside Loop 610.

Stream Senior Vice President Brad Fricks and Vice President Matt Asvestas will oversee the leasing on behalf of DML Capital.

4265 San Felipe boasts stunning 360-degree views of Houston. The attractive window line provides ample natural light and visibility to the CBD, Greenway, Med Center, and Galleria skylines. On-site, there are a variety of premier amenities, including The Oasis, a covered outdoor space equipped with a putting green, comfortable seating, a TV, and a state-of-the-art cooling system.

On the sixth floor, The Getaway offers tenants a relaxing lounge environment with complimentary WiFi, TV, drinks, and snacks. Level 10 of the building features a state-of-the-art training room and executive-style boardroom for tenants. The building’s convenient Galleria/Inner Loop location provides easy access to Houston’s top restaurants, shops, and lifestyle destinations. The property has onsite management and maintains 24/7 security.

Available spaces range from 1,500 SF to 17,423 square feet. The building has move-in-ready speculative spaces and monument signage available for certain users.

AI is bringing big changes to industries across the country. It’s little surprise, then, that AI is changing the way commercial real estate professionals work, too.

An example? JLL‘s new JLL Falcon, the commercial real estate company’s artificial intelligence platform designed to serve JLL commercial real estate professionals and their clients.

JLL Falcon is made up of a suite of AI-enabled software services that JLL professionals can use to compile research for their clients, pull key information quickly out of massive reports, quickly write emails, provide workplace planning advice to clients, improve the efficiency of buildings and generate 3D leasing visualizations.

And the best part? JLL Falcon’s services aren’t designed to replace company employees. They’re designed to make them more efficient.

“People here understand that this is a way to make employees more effective in their jobs. It’s not about taking away their jobs. We want to give them the tech they need to focus on what they are good at,” said Yao Morin, chief technology officer of JLL. “These services free people up to brainstorm with clients, to understand what their clients need. Nobody needs to sit for hours to scroll through a document to find one piece of information. AI can do that for you.”

Yao Morin, chief technology officer, JLL

One of the services offered through JLL Flacon is JLL GPT. This program allows brokers and other JLL professionals to quickly draft documents, summarize documents and brainstorm ideas. They can also turn to JLL GPT to quickly comb through the reams of data that JLL harvests and then use that data to help their clients make key real estate decisions.

The Falcon suite of services also includes an AI-enabled assistant. Morin says that this service can help JLL employees whose first language is not English quickly translate from their local languages to English, an important service considering how much of JLL’s business is conducted in the language.

Falcon includes tailor-made chatbots that employees can use to pull specific information quickly from documents that might stretch for 30 pages or more.

“We deal with a lot of contracts and leases,” Morin said. “Sometimes you want something extracted quickly from a document. We have a tool that does that.”

On Nov. 12, JLL introduced the latest tool in the Falcon suite, JLL Azara. This tool is designed to make it easier for business professionals to access and use corporate real estate and facilities management data.

JLL Azara uses natural language queries so that facilities managers and business analysts can research complicated topics such as portfolio optimization and occupancy planning.

In its pilot testing, JLL Azara quickly showed its promise. According to a press release from JLL, the application’s conversational interface played a key role in helping a company identify a no-fault work order volume anomaly at one of its locations. The company was able to take quick action to solve the problem before it became a more expensive one.

“With JLL Azara, we’re able to put valuable data, decades of client queries and deep industry knowledge directly into the hands of our customers,” said Sharad Rastogi, JLL’s chief executive officer of Work Dynamics Technology.

“JLL Falcon is about reducing the time it takes for business leaders and JLL professionals to make decisions,” Morin said. “Opportunities can come and go quickly. You don’t want to sit on data and wait for a long time. You don’t want to wait for an analyst to turn that data around. You could lose that opportunity if you do.”

Before tools such as JLL Falcon, real estate professionals often had to read through 300 pages of documents to get the information they were seeking, Morin said.

Falcon eliminates that busy work.

“Now, you can ask a question and it will bring you to the right place,” Morin said. “It will summarize the answer to your question and bring you to the right paragraph if you want to cross check the information.”

Morin said that JLL employees have bought into the suite of AI-powered tools. As of the writing of this story, more than 47,000 JLL workers have used JLL GPT alone, Morin said. More than 25,000 use it monthly.

And the future of AI? Morin says that commercial real estate companies have only begun to use this tool.

“We are in a unique position to adopt technology that can advance the efficiency of buildings and help our clients meet the sustainability goals that they have,” Morin said. “We are just starting with that. There is a lot more that we can do.”

Morin compares AI to the early days of the Internet and smartphones. There was a time when most people looked at those tools as a luxury. Today, people rely on them in their daily lives.

“I predict that AI will be something that commercial real estate professionals will not be able to live without,” Morin said. “Just look at smartphones. You’re more upset if you leave your home without your smartphone than you are if you leave without your wallet. This AI technology is similar: It will soon become a part of life. It’s already a part of my life.”

JLL Capital Markets closed the sale of Kyle 35 Logistics Park, a newly constructed 1,392,379-square-foot industrial park in Kyle, Texas, located in the rapidly growing corridor between Austin and San Antonio.

JLL represented the seller, Alliance Industrial Company. MDH Partners acquired the asset.

Completed in 2023, Kyle 35 Logistics Park consists of five state-of-the-art industrial Class A buildings ranging from 140,300 to 474,397 square feet. It features 36- to 40-foot clear heights, ESFR sprinkler systems, ample parking and other modern amenities sought after by industrial tenants. The property is 100% leased to Tesla, Inc., one of the world’s leading electric vehicle (EV) manufacturers and advanced technology companies.

Strategically positioned on Interstate 35, one of the most vital north-south thoroughfares in Texas, Kyle 35 Logistics Park offers exceptional connectivity between Mexico, San Antonio, Austin, Dallas-Fort Worth and beyond to the North Central region of the US. The property’s location provides tenants with access to a growing population of over 25 million people within a five-hour drive.

Additionally, Kyle, Texas has experienced tremendous growth, nearly doubling in size over the past decade. The city combines convenient proximity to Austin’s economic advantages with the benefits of a more affordable, yet rapidly densifying suburb.

The JLL Capital Markets team representing the seller was led by Trent Agnew, Witt Westbrook, Kyle Mueller, Charlie Strauss and Tom Weber. 

The NRP Group in partnership with the Housing Authority of the City of Austin announced the opening of Bridge at Estancia, a 318-unit affordable housing community in Austin, Texas.

The development provides quality, amenity-rich housing for residents earning up to 60 percent of the Area Median Income.

Located at 1100 Avenida Mercado Street, near the intersection of Interstate 35 and State Highway 45, Bridge at Estancia offers easy access to downtown Austin and is part of the Estancia Hill Country master plan, a 600-acre mixed-use development. The community sits adjacent to the planned Texas Children’s Hospital, as well as future commercial and retail spaces, and additional housing developments.

Designed by HEDK Architects, Bridge at Estancia features a mix of one- to four-bedroom units, catering to both individuals and growing families. Apartments include private patios or balconies, high ceilings, vinyl plank flooring, and fully equipped kitchens with quartz countertops and recessed lighting.

In partnership with the nonprofit Community Housing Resource Partners, Bridge at Estancia has a dedicated activity room to host resident services such as health screenings, after-school programming, financial literacy training, a first-time homebuyer program, English as a Second Languages courses and more. Best-in-class amenities include a swimming pool, fitness center, multiple playgrounds, and walking trails integrated into the wider Estancia Hill Country trail network.

The 15-acre site features two four-story buildings, two three-story walk-ups, and a two-level parking garage. Residents will enjoy outdoor spaces such as an open courtyard, barbecue grills, and an outdoor pool with a sundeck. Additionally, a large coworking space filled with natural light offers computers, desks, and comfortable reading nooks ideal for remote workers and students.

This fully affordable housing community was made possible by a $20 million housing tax credit investment from Hudson Housing Capital, along with construction and permanent financing provided by Bellwether Enterprises and Deutsche Bank.