Adaptive reuse projects surged to historic levels in 2024. Nearly 25,000 apartments were completed from converted structures across the U.S., a 50% jump over 2023 and double the total in 2022, a RentCafe.com report shows.
The storage industry has expanded by a remarkable 547 million square feet since 2015, bringing the national total to more than 2 billion square feet. StorageCafe’s analysis of 130 of the nation’s largest cities shows a tight correlation between apartment and self-storage construction.
The U.S. apartment construction market continues its robust expansion in 2025, with over 500,000 new units expected to open nationwide by year’s end. While delivery volumes have cooled down slightly from 2024's record pace, construction activity remains significantly above historical averages, reflecting sustained rental demand and favorable development conditions across key markets.
Economic opportunities, housing affordability, and lifestyle preferences are shaping relocation decisions across the country. Southern states, particularly Texas and Florida, continue to attract the most movers, with younger generations like Gen Z and millennials leading the way in state-to-state moves.
In 2024, the U.S. is set to achieve a new milestone in apartment construction: For the first time in history, the number of apartments completed in one year is anticipated to surpass the 500,000-unit mark. Developers are on track to complete over 518,000 rental units, which marks a significant 9% increase compared to 2023 and a 30% rise from 2022.
In 2023, the trend of transforming buildings into apartments saw a significant revival, nearing the peak levels of 2019 and 2020, as developers responded swiftly to the increased demand for housing after a two-year slowdown. The momentum for adaptive reuse is expected to continue, with an estimated 151,000 rental apartments currently being converted, including 58,000 from former office spaces.
