Multifamily Construction in Miami: Trends and Insights for 2024

Miami-Dade County remains a key player in the U.S. multifamily construction market, with approximately 24,000 units under construction in the first quarter of 2024. This accounts for 19% of the county’s total inventory of multifamily units in buildings with 50 or more units, the highest share among 90 major markets across the country. As Miami’s real estate landscape continues to evolve, developers must navigate shifting market conditions while capitalizing on growth opportunities.

24,000 new units are under construction in Miami just in the first quarter of 2024.

Key Trends in Miami’s Multifamily Construction Market

1. Surge in Apartment Rental Units The predominant form of multifamily construction in Miami during 2024 is apartment rental units. This reflects strong demand for affordable housing as rising costs push residents to seek more accessible living options. Developers are focusing their efforts on rental projects to meet this increasing demand, making Miami a hotbed for multifamily development.

2. Decline in Condo Starts While apartment rentals are on the rise, condo starts dropped by 37% in the first quarter of 2024. This decline is largely due to oversupply in the luxury market and a shift in demand toward rental properties. Developers are exercising caution when approaching new condo developments as they wait for the market to stabilize.

3. Multifamily Acquisitions Down Alongside the slowdown in condo construction, multifamily acquisitions in Miami-Dade County fell during the first half of 2024. This indicates a cooling in investor activity, likely influenced by market uncertainty and the anticipated moderation of rent growth in the coming months.

4. Softening Luxury Market Miami’s luxury apartment market is beginning to soften, primarily due to oversupply in the Class A space. High-end units are experiencing slower rent growth as developers and investors adjust their strategies to avoid an imbalance between supply and demand in this segment.

5. Slower Rent Growth in the Luxury Segment The oversupply in luxury apartments is resulting in slower rent growth in Miami. Developers in the Class A space are facing pressure to offer incentives or reduce prices to attract renters, contributing to a more competitive environment in the high-end market.

Nationwide Multifamily Trends

Despite the shifts in Miami, 2024 is projected to be a record-breaking year for apartment construction across the U.S., with over 518,000 new units expected to be completed. However, experts predict that the pace of multifamily construction will start to slow in the coming years, as the market absorbs the new supply and developers adjust to changing economic conditions.

How Built By Prime Supports Miami’s Multifamily Growth

As the Miami multifamily construction market continues to grow, the need for skilled labor and efficient project execution is more crucial than ever. Built by Prime offers over 14 years of experience specializing in the installation of metal and interior doors, trim (baseboards, crown molding), kitchen cabinets, vanities, bath accessories, and more. We focus on ensuring smooth, timely installations with quality workmanship across every project.

Our team has successfully completed over 90 multifamily projects, installing more than 100,000 doors. With our expertise, we help developers and general contractors meet deadlines and deliver high-quality finishes for Miami’s evolving residential landscape.

Stay tuned for more updates on Miami’s multifamily construction trends and how Built by Prime can help bring your next project to life.