New condos and apartments cropping up amid the aging apartments near Ross and Bennett avenues draw a stark contrast between the old, Old East Dallas and the gentrifying one.
As old apartments in the neighborhood are demolished and replaced with brand-new housing, they’re not being replaced with anything affordable.
There are tens of thousands of new apartments in Dallas, and virtually all of them are “high-end,” according to market data from Yardi Matrix, recently published by rentcafe.com.
About 75 percent of new apartment construction in the United States was high-end in 2017, up from 50 percent in 2012, according to the data.
In Dallas, 98 percent of new apartments were high-end in 2017. The data for this year shows that 100 percent of new apartments in Dallas fall into the luxury category.
“Encumbered by high construction costs and encouraged by a surge in demand for rentals, developers have bet big on high-end apartments,” the apartment-search website says.
More than 45,000 apartment units are expected to come online in Dallas over the next two years, according to the Dallas Morning News.
And Yardi, the commercial real estate data firm, warned this summer that construction will outpace demand. Rents are still increasing in Dallas despite rapid construction.
Half of renters in the United States spend more than 30 percent of their income on rent. Dallas is one of just four metropolitan areas in the nation where those making the median income (just under $44,000 annually here) can afford the median rent.
