Build-to-rent boom in Florida: The apartment alternative?

TAMPA, Fla. — As housing costs continue to squeeze Florida families, a growing trend is offering renters an alternative to apartment living without the financial burden of homeownership: build-to-rent single-family communities.

These developments, where entire neighborhoods of single-family homes are constructed specifically for rental rather than sale, are expanding across Tampa Bay as traditional homeownership becomes increasingly out of reach for many residents.

"I think we fill a gap between the large apartment complexes and single-family ownership," Steve Oakes said.

Oakes is the Tampa development manager for NexMetro, a Phoenix-based company that has built 168 rental homes in their Tampa Bay community. The company's first local project in Pasco County's Odessa area leased up in just eight months.

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For resident Collin Denoyer who lives at their newest community, Avilla Suncoast in Sun City Center, the rental provides a nice escape from apartment life while he pursues a career in law enforcement.

"I'm still trying to find a department to work at full time, so I just thought that this would be a good intermediate option for now," Denoyer said.

His one-bedroom rental costs $1,824 per month.

Housing economist Brad Hunter, who tracks market trends for builders and developers, says build-to-rent communities address a critical need as barriers to homeownership mount.

"The cost of ownership has just skyrocketed and it's gone out of sight," Hunter said. "There's a lot of people that could afford to buy that just choose to rent. They call them renters by choice. But then there's a lot of people that are renters by need, because they just can't afford to buy a home anymore."

Three key factors are driving the trend: high mortgage interest rates, down payment requirements and rising homeowners' insurance costs.

"Along came this opportunity to live a single-family lifestyle while renting and often pay $1,000 a month less than it would cost to own a home," Hunter said.

Brett Arenas represents another category of renter - those choosing the lifestyle by preference rather than necessity. He recently moved into a Metro Development Group community in Wimauma with his 6-year-old son, drawn by amenities including a lagoon.

"We've already been to Lagoon a few times, and we've only lived here for two nights, and he's already made friends there," Arenas said.

"We're kind of looking for a forever home. So this gives me the chance to live in a house and not really have to do anything while I'm looking for somewhere I would want to live," Arenas said.

Lisa Gibbings, vice president of marketing and communications for Metro Development Group, says their 240-unit townhome community is nearly built out and expects units to lease quickly.

"We're definitely seeing a shift," Gibbings said of the rural Wimauma area's transformation.

Housing experts say build-to-rent communities represent one solution to Florida's housing crisis. Still, they come with potential downsides, including urban sprawl, loss of wild spaces, and renters missing out on building equity. Depending on amenities, some communities may also carry higher luxury costs.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.

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