Dan Oberste, CEO of BSR Real Estate Investment Trust (TSX: HOM.U) (TSX: HOM.UN), sat down for a video interview during Nareit’s REITweek: 2025 Investor Conference in New York City June 2-5.
Oberste discussed shifting market dynamics in the Southern U.S. multifamily housing sector. Supply challenges peaked in late 2024 but have sharply declined, creating tailwinds for class A apartment markets, particularly in Houston, Dallas, and Austin. Despite previous headwinds, occupancy remains strong, and recent rent increases signal strengthening fundamentals. A notable transaction with AvalonBay Communities, Inc. (NYSE: AVB) demonstrates BSR’s strategic agility in managing capital structure and enhancing returns, he said.
He also highlighted a growing trend: a 300% rise in millionaire renters from 2019 to 2023, especially among baby boomers seeking amenity-rich, maintenance-free living—an opportunity BSR is well-positioned to serve.
Looking ahead, the key opportunity for BSR lies in securing low-cost capital and investing it in newly built class A properties within high-growth Sun Belt suburbs. The company sees this as a rare 20–30 year cyclical buying opportunity, potentially transformative if capital is secured quickly.