CULTUREMAP -- Yet another study shows the price we could pay if Amazon picks Austin for its second headquarters. A new report from data and analytics provider CoStar Group forecasts the Capital City will see a 10-year rise in apartment rents if Austin lands Amazon’s so-called HQ2 project.
CoStar forecasts that without HQ2, the average apartment rent in the area will jump from $1,206 a month this year to $1,450 in 2028, or 20.2 percent. But if HQ2 does come here, rent would climb from $1,206 to $1,553 during the same period, or 28.8 percent, the CoStar report says. In other words, HQ2 alone could cause a $103-a-month surge in Austin rents from 2018 to 2028.
The estimates apply to apartments of all sizes.
Among the 16 U.S. metro areas that are finalists for HQ2, Austin would see the fourth highest increase in apartment rents from 2018 to 2028, according to CoStar. Raleigh, North Carolina, would experience the biggest spike in rental rates, the CoStar study says, followed by Nashville, Tennessee, and Columbus, Ohio.
Go to CultureMap Austin to read the full story.