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Apartment Delays Disrupt US Construction Boom

Apartment delays have topped 500,000 units since 2018 as labor shortages and costs slow US multifamily construction.
Apartment delays have topped 500,000 units since 2018 as labor shortages and costs slow US multifamily construction.
  • More than 500,000 apartment units have been delayed across the US since 2018, with Los Angeles seeing over 70,000 disruptions.
  • Labor shortages are now a leading cause of delays, joining long-standing issues like tariffs, high material costs, and rising insurance premiums.
  • States like California, Texas, and Florida are more vulnerable due to their heavy reliance on immigrant construction workers.
  • The slowdown is tightening apartment supply and may drive rents higher in already expensive markets.
Key Takeaways

Construction Delays Worsen in Key US Cities

RealPage reports that since 2018, over half a million apartment delays have occurred, with units missing planned delivery dates. Los Angeles alone accounts for 70,000 delayed units—more than half of what was expected. New York, Seattle, and Phoenix have also seen delays in the tens of thousands, adding pressure to housing supply in growing metro areas.

Roughly 500,000 units have been delayed since 2018

Labor Shortages Are a Rising Concern

While tariffs and material costs have long slowed construction, developers now cite labor disruptions as a growing issue. The apartment sector depends heavily on immigrant workers. In California, 41% of the construction workforce is foreign-born. In Texas, Florida, and New York, the share ranges between 37% and 38%.

These labor shortages vary by region. Areas with fewer local workers may face deeper delays if immigration-related policies stay tight.

Labor disruptions also impact housing supply

Why It Matters

Widespread apartment delays mean fewer units are built on time, causing housing supply to fall behind demand. This imbalance could lead to higher rents and fewer affordable options, especially in fast-growing urban areas.

Looking Ahead

Without new efforts to boost the workforce or reduce building costs, delays could grow. Industry leaders may need to push for immigration reform, workforce training, or other solutions to get projects back on track.

For now, developers and renters alike should expect slower completions—and tighter housing markets.

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