MetroIntelligence Economic Update by P. DUFFY
Jump for multifamily rental development in 2Q2022
The count of multifamily, for-rent housing starts surged during the second quarter of 2022. At 142,000 units started, this was the largest quarter for rental multifamily construction since the second quarter of 1986. The market share of rental units of multifamily construction starts bounced back to 96%. In contrast, the historical low share of 47% was set during the third quarter of 2005, during the condo building boom. An average share of 80% was registered during the 1980-2002 period. For the second quarter, there were just 7,000 multifamily condo construction starts.
Share of online sales rebounds to 14.5 percent in 2Q2022
U.S. retail e-commerce sales for the second quarter of 2022, adjusted for seasonal variation, but not for price changes, was $257.3 billion, an increase of 2.7 percent from the first quarter of 2022. Total retail sales for the second quarter of 2022 were estimated at $1,778.6 billion, an increase of 1.9 percent from the first quarter of 2022. The second quarter 2022 e-commerce estimate increased 6.8 percent from the second quarter of 2021 while total retail sales increased 7.2 percent in the same period. E-commerce sales in the second quarter of 2022 accounted for 14.5 percent of total sales.
Chicago Fed National Activity Index shows improvement in July
Led by improvements in production-related indicators, the Chicago Fed National Activity Index (CFNAI) rose to +0.27 in July from –0.25 in June. All four broad categories of indicators used to construct the index made positive contributions in July, and all four categories improved from June. The index’s three-month moving average, CFNAI-MA3, was unchanged at –0.09 in July.