The apartment industry's share of the national economy may be larger than you think.
A 2013 study by the National Multifamily Housing Council (NMHC) and the National Apartment Association (NAA) quantified the economic impact the multifamily industry has had on individual markets and the nation as a whole, by calculating the dollars spent and jobs supported from apartment construction, operations, and resident spending.
Continuing their research, the NMHC and NAA have released more recent findings that further demonstrate this economic effect. The apartment industry as a whole contributed $1.3 trillion to the U.S. economy and supported 12.3 million jobs in 2013. Multifamily construction alone supplied $93 billion and required 700,000 workers. Not to be forgotten are the operations staff and 37 million apartment residents, who provided $191 billion and $1 trillion respectively.
But the updated figures aren't all that's new from the NMHC and NAA study.
A notable feature on the study's website, Apartments. We Live Here, that may prove useful for developers is the Apartment Community Estimator (A.C.E.), which calculates the economic impact that potential new and existing apartment communities would have on a specific state or metro area. The A.C.E. provides customizable estimated reports for 40 metros and all 50 states.
To see an estimate of the economic contribution that multifamily construction would have on a region, the user inputs the number of apartment homes and the location, selecting a metro area, state, or the nation as a whole. The calculator then delivers a breakdown of the effect, including resident spending power, jobs supported, construction costs, and the total financial impact on the state economy.
While only an estimate of the economic results that could be seen from the industry’s presence, A.C.E. provides a valuable outlook of the potential power of future multifamily housing. And it could prove to be a valuable tool when trying to win over municipalities and combat NIMBY-ism.