Urban Exodus Sparks Suburban Build-For-Rent Rush in Las Vegas
JP Morgan Asset Management and American Homes 4 Rent are teaming up to bring new rental homes near Las Vegas. After seeing the first signs of Millennials trending toward suburban living, the companies decided to build 34 new rentals in areas near the city. The rentals are considered a stepping stone away from apartment living, especially for the younger crowd who has been cooped up for months and is eager to escape. The project is due to be complete by October, and after that, the business partners are looking to expand this model in the West and Southeast.
In its first joint venture with JP Morgan Asset Management, one of the nation’s largest single-family landlords is building its own rental homes near Las Vegas, NV, banking on a new millennial push to the suburbs--a push now accelerating due to the coronavirus.
American Homes 4 Rent, a California-based, single-family rental REIT, recently closed on a deal to build 34 homes in Sovana and Spring Valley, the former on the outskirts of Las Vegas and the latter a close-in suburb. They will be larger homes, 12 three-bedroom units and 22 four-bedrooms.
The deal is clearly an effort to capitalize on a new desire among city-dwellers to find additional space in pristine, new homes outside the dense downtowns besieged by the deadly coronavirus outbreak.