Multifamily Development
Apartment and condo developers building for sale or rent.
Market snapshot
These figures describe Residential Development & Homebuilding (8.4.8), the segment that Multifamily Development sits within. They are not figures for Multifamily Development on its own.
- Market size
- ~$276.6B
- Growth
- ~13.2%CAGR (2017–22, nominal)
Merchant builders develop and sell, which is why they are counted here rather than with the contractors who build to order for an owner. The distinction is commercially real: these firms carry land inventory and absorb price risk, so they behave like developers on a homebuilder's cost base.
NAICS 236117. U.S. Census Bureau, 2022 Economic Census. Written by hand: the segment is 94% of its parent, which the automated build declines to publish, but the code applies to this node rather than to the broader development parent.
Business model & economics
Revenue model
Home sales and development/land profit
Key economics
- Recurring revenue
- Low
- EBITDA margin
- Cyclical with housing and land economics
- Capex intensity
- High
project- and sale-based
Characteristics
- National production builders plus regional developers.
- Constrained by mortgage rates and affordability.
- Build-to-rent a major new model.
M&A deal context
Who’s acquiring
- National & regional homebuilders
- Land developers & investors
- Build-to-rent platforms
What’s driving deals
- Housing shortage and household formation.
- Build-to-rent and land acquisition.
- Rate and affordability cycles.
Find Multifamily Development acquisition targets
Search Acquisera’s index for companies classified under Multifamily Development (8.4.8.3) and build a targeted deal pipeline.
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