Amazon’s newest hub in Nashville could impact apartment rent prices in and around the downtown area.
Realtor James Crawford of Brokers Cooperative said although it’s a landlord’s market, there’s still enough supply in town for renters.
“I don’t anticipate it driving prices up for rent very high,” said Crawford. We’ve got enough rental inventory currently in town and there’s more being built, that I don’t think it’s going to drive those numbers up very much.”
Crawford said he’s been monitoring the market since the recession.
He said he predicts the current apartment inventory, plus the availability of condos downtown, will be enough the handle the influx of workers from Amazon.
“I think the Amazon people would be a great fit for that kind of thing and we’re going to have some inventory we can plug them into almost immediately,” said Crawford. “Especially for the higher price point that the Amazon people in they will be looking at.”
Zillow senior economist Aaron Terrazas said being among the 20 HQ2 finalist cities, Nashville could potentially have seen the biggest bump to rents as a result of the 50,000 new jobs that Amazon initially proposed.
“But with the smaller footprint for the Operations Center of Excellence, the impact should be much more manageable,” said Terrazas.”Nashville has seen rents rise very quickly in recent years, in part because the region remains an attractive hub for many booming industries and is affordable relative to other parts of the country. Because it is so affordable, many new Amazonians are likely to opt to buy homes rather than rent. Amazon’s workforce is diverse in terms of age and housing needs, so demand is likely to spread across the full spectrum of home types ranging from urban apartments to single family homes in the suburbs.”