By Gay Cororaton, MIAMI REALTORS Chief Economist
Key Takeaways
- 5,427 units in Fully Affordable buildings and 7,250 units in Partially Affordable buildings are under construction as of January 2026, with 11,619 units in Fully Affordable buildings completed and projected to be completed from 2024-2027.
- Occupancy in workforce rental housing is higher at 97% in the Miami Market Area compared to the overall occupancy rate of 95%, creating upward pressure on rents.
- In the Miami Market Area, asking rents in workforce rental housing rose 0.7% year-over-year in January 2026 to $1,507 in the Miami Market Area, while overall asking rents rose 0.2% to $2,616.
Download the January 2026 South Florida Residential Rental Report HERE.
Construction of affordable rental housing has increased since the passage of the Live Local Act in 2023
The impact of the Live Local Act passed in 2023 and amended in 2025 (SB 1730) is emerging in more construction of affordable units in South Florida.
In 2024, 3,625 units were completed in Fully Affordable buildings. The number of units under construction slowed to 2,567 units in 2025, likely because of rising interest rates, tighter lending conditions, and heightened economic uncertainty. However, with interest rates stabilizing in 2026 and with the amendment of the Live Local in 2025, more completions are projected in 2026, according to Yardi Matrix estimates.[1]
As of January 2026, 5,427 in Fully Affordable multifamily buildings are under construction, of which 3,515 units are slated to be completed in 2026, the highest number of units in Fully Affordable buildings to be completed since 2024 (3,625 units). Another 1,912 units in Fully Affordable buildings are projected to be completed in 2027.
Of the 5,4 27 units in Fully Affordable projects, 72% are in the Miami Market Area, in submarkets like Opa-Locka, Homestead, Goulds, Kendall, Overtown, and Florida City.
In addition, 7,520 multifamily units are under construction in Partially Affordable buildings, accounting for 20% of total units under construction.
McDowell Properties, Integra Investments, Consolidated Real Estate Investments, Atlantic Pacific Companies, and The Housing Trust are some of the biggest developers of Fully Affordable multifamily housing. Terra Group, Vestcor, 13th Floor Investments, White Oak Development, and Trammell Crow Residential are some of the biggest developers undertaking the construction of Partially Affordable multifamily projects.
The Live Local Act (LLA) passed in 2023 contained a variety of tax incentives (e.g., property tax exemptions), state-mandated land use entitlements (e.g., mixed-use, density, height, parking ratios), and strategic initiatives (e.g. funding for the State Apartment Incentive Loan, Hometown Heroes) to encourage the production of affordable housing. In 2025, the Live Local Act was amended that clarified how the terms “commercial”, “industrial” and “mixed-used” apply to the Live Local Act; expanded the LLA to Planned Use Developments and land owned by religious institutions; required only administrative approval without further action from quasi-judicial or reviewing bodies; reduced local government parking mandates for developments near transit hubs; and clarified how local governments can restrict height requirements. 2025 Updates to Florida’s Live Local Act | Insights | Holland & Knight
Rents rose in workforce rental housing while rents declined in the upper tier segment in Miami Market Area and Fort Lauderdale Market Area
Renewed developer interest in Affordable multifamily housing will help moderate the rent growth in the lower-tier segments.
In the Miami Market Area, asking rents rose in the lower-tier Workforce-Upper (+0.4%) and Workforce-Lower (+0.7%) rental housing, while asking rents fell on the upper tier Discretionary (-0.3%), Upper Mid-Range (-0.6%), and Low Mid-Range (-1.5%) rental housing. The demand for lower-tier and affordable rental housing is evident in the higher occupancy rate, hovering at over 96% to 97% compared to 95% for upper-tier rental housing.
According to the 2024 US Census Bureau American Community Survey, the median renter household income in Miami-Dade County in 2024 was $57,283, and at this level of income, an affordable rent (no more than 30% of income) is $1,400 or lower (Workforce-Lower range).
In the Fort Lauderdale Market Area, rents rose in the Low Mid-Range rental housing (+0.3%), Workforce-Upper (+13%), and Workforce-Lower (+9.7%) rental housing.
The median renter household income in Broward County as of 2024 is $61,4223, and at this level of income, an affordable rent (no more than 30% of income) is $1,500 or lower (Workforce-Lower range).
[1] Affordable properties have two conditions in common: Some form of government subsidy attached to property tax advantages, or favorable financing, and; households must meet certain income standards below the area median household income. The term Affordable, as it applies to apartment communities, imposes the restriction that households of low-income status (below the median metropolitan area household income) must occupy all, or a part, of a property. The household income determining a resident’s eligibility for meeting low-income definitions varies by household size, and from property-to-property. Property-to-property variances reflect guideline variances imposed from program-to-program, or within the same program based on timing of when affordable tax incentives were authorized.
