Denny St. Romain believes the equity space will be fluid this year as some investors fall back while new ones step in.

“I think the opportunistic joint venture equity—they put so much money out in the last two or three years in multifamily development that they’re harvesting and want to see how that goes before they put anymore out,” he says. “But, as for most things in real estate, as some people get out, new people will be in.”

St. Romain, managing director for capital markets at Chicago-based Jones Lang Lasalle, sees a shift occurring as opportunities cool off in primary markets, and secondary markets become the shining stars of 2014.

St. Romain is particularly interested in the Southeast and feels many markets in that area have a lot of depth and room for success.

“Florida, Atlanta and the Carolinas (will perform well) despite some concerns in general about supply,” he says. “I think it’ll continue to astound people with growth rates, jobs and population.”

Eric Silverman, of Eastham Capital, is keeping his eye on Texas. He’s also feeling good about interior markets.

“We like Indianapolis,” he says. “We like Cincinnatti. I wish we owned more in Nashville. I think these are the markets that have some opportunity. The prices never have been overly bid up in these markets—there’s still value to be had.”

Silverman, managing director of the Needham, Mass.-based company, is preparing for a busy year. He feels equity will be more available in 2014.

“There has been such an interest in investors to get back into real estate investing and multifamily is the leader of the pack,” he says.

As for pricing, he doesn’t predict any increases but a more solid base with a lot of supply to drive volume.

“I think there will be a better balance of supply and demand,” he says.

Both Silverman and St. Romain agree that cap rates won’t rise.

“We continue to see a healthy abundance of capital trying to get into multifamily and new capital coming into that space, so barring a super shock to interest rates, I think cap rates will be what they were [in 2013].”

Lindsay Machak is an Associate Editor for Multifamily Executive. Connect with her on Twitter @LMachak.