Apartment Construction Shows Moderate Growth

Survey Signals Positive Shift

ConnectCRE reports that the National Multifamily Housing Council’s March 2026 survey found moderate improvement in apartment construction activity. Thirty-one percent of respondents reported starting more projects than three months prior, while only 12% saw fewer starts and nearly half indicated no change.

Delays and Costs Stabilize

Construction delays are becoming less common, with 31% of industry professionals reporting fewer delays and only 2% reporting more. The majority saw delays remain steady. On costs, just 5% noted an uptick in labor expenses and only 10% saw material costs rise since December, suggesting a stable pricing environment for apartment construction.

Why It Matters

The survey’s results mark a shift from three years of declining apartment construction trends. Lower costs may be a byproduct of previously weak activity, and a pickup in development volume could still challenge supply chains and the labor market. At the same time, improving conditions are feeding into a broader sense of cautious optimism among multifamily investors, who are beginning to re-engage as fundamentals show signs of stabilizing. Still, the data point to an improving environment for apartment construction and more optimism among multifamily developers.