Strong demand in Texas also continues to draw developers to the large sites available around San Antonio. Relative to the size of the local population, San Antonio is now in second place on the list of metropolitan areas with the highest number of garden-style apartments under construction, according to CoStar.

San Antonio has been a top market for garden-style apartment construction throughout this development cycle, according to RealPage.

In the St. Louis CBD, returns on class-A value-add properties average between 8.50 and 9.00 percent. Returns on class-B properties are between 8.75 and 9.25 percent, and for class-C properties between 10.25 and 11.00 percent. Cap rates on stabilized office buildings in St. Louis’ CBD currently average between 8.25 and 8.75 percent.

In Baltimore, it’s possible to achieve return on cost between 8.00 and 9.25 percent right now for class-A value-add properties in the city’s CBD. When it comes to class-B office buildings, that figure may go up to 9.50 percent, and with class-C buildings, to 9.75 percent. Cap rates on stabilized office properties in Baltimore’s CBD average 6.75 to 7.25 percent.