The multifamily market in New York City was one of the strongest in the country in the first three months of the year, with investment, development and absorption outstripping most other major markets.

Investment sales in the city's multifamily market totaled nearly $18B in the 12 months ending in March, according to a new CBRE report, more than double the volume from the prior year.

The city accounted for a large chunk of the $63B invested across the country in the quarter. While Sun Belt markets may have seen the bulk of multifamily investment in 2021, CBRE predicts a rebound in multifamily investment in the U.S.’ coastal markets this year.

“New York’s multifamily sector remains one of the hottest in the country with extremely strong demand fueled by job and wage growth,” CBRE New York Capital Markets Vice President of Institutional Properties Ryan Silber said in a statement.

The city's era of higher-than-average vacancy also has come to an end; New York City's multifamily sector absorbed 17,000 units, the most in the country and dwarfing other leaders in Houston, Dallas and Chicago. It accounted for 15% of the 105,000 units absorbed across the country, according to CBRE.

CBRE’s report indicated multifamily investment sales remain among the most popular investment sectors nationally in Q1 2022, accounting for 37% of all commercial real estate investment. Office made up 21% of sales, and industrial also made up 20%.

The city was the most active multifamily construction market in the country as well, with 5,300 units delivered in the first quarter, outpacing Houston, Dallas and Austin, the next highest cities on the list.

Bolstering all of the investment and construction is the fastest rent growth on record and apartment rents hitting all-time highs last month, according to appraisal firm Miller Samuel.