I've noticed an uptick in For Rent signs in B'game, especially along El Camino. As I was wondering if we have hit a peak in rents just in time for an election that has the potential to mess up the rental market with Measure R for rotten, along comes this bit of news courtesy of the Wall Street Journal
Apartment rents declined in some of the country's priciest cities during the third quarter, a dramatic reversal that could signal the end of a six-year boom for the U.S. rental market....“San Francisco and New York are leading the way in the downturn,” said Ken Rosen,chairman of the Fisher Center of Real Estate and Urban Economics at the University of California at Berkeley. “People are going to be surprised that this is happening but they shouldn’t be. It’s been too far, too fast.”
Almost 6,700 additional apartments are expected to be built in San Jose and nearly 6,500 more in San Francisco by the end of 2018, according to Axiometrics. At the same time, job growth is losing steam in some major cities. San Francisco added 26,000 new jobs in August 2016, about half the 47,000 jobs it added in the year-earlier period, according to an analysis of Bureau of Labor Statistics data by Mr. Rosen.
And naturally there isn't one drop of progress on finding any new water sources or storage facilities in the works for those 13,200 apartments or any of the others being build in between SF and SJ. Good plan. In the meantime, if a tenant leaves of their own volition under Measure R do they still retain the right of return? Do they have to pay the prior rate if it's higher. I bet not.