Over the last 12 months, the market has steadily improved occupancy by 2.8% across the board. So far, the market has been able to absorb the new inventory and keep rents steady with a slight .2% increase. Although projected rent growth from 2024 to the end of 2025 is expected to increase by 2.8%, we continue to see a glaring issue with 313 units (This is 5% of the total apartment inventory in Bend) from the Jackstraw project coming online, as the market is only able to absorb 101 units by the end of the year, according to Costar. It may take well into the next year to absorb the Jackstraw units. We will be closely monitoring the project to gauge how receptive potential tenants are and how the lease process goes. They have begun the leasing process, and units are scheduled to become available on October 10th. This massive influx of new inventory is expected to increase the vacancy rate by about 2% across the market, as shown in the graph below from Costar. Although it appears that there will be no new construction apartment deliveries in 2026, this should allow the jackstraw units to be absorbed by the market. It will be interesting to see what trickle-down effects on apartments in the area will be.
In general, 2025 so far has been flat year when it comes to rent growth as seen in the above graph. This has caused many apartment communities around to offer incentives like a free month’s rent to move-in. Though we will continue have rent growth come back in line to the average of 2-3% coming in 2026. With population growth continuing to be healthy across the metro this will continue to help absorb an excess supply.
How to combat this
Leasing success doesn’t just happen — it requires a property manager with urgency, strategy, and follow-through. At RidgeLine, we know that time on market is money lost, which is why we approach leasing with an aggressive mindset. Units are priced precisely to match market conditions so they rent quickly, while professional photos and compelling descriptions are pushed across every major platform to capture attention. Every inquiry is answered almost immediately, every lead is nurtured, and only the most qualified prospects make it through the funnel. When it comes to showings, we’re not just opening doors — we’re actively selling the lifestyle and closing the lease.In today’s environment — with slightly higher vacancies and downward pressure on rents — efficiency on the expense side is just as critical as speed on the leasing side. That’s why we conduct line-by-line budget reviews every month, ensuring costs stay under control and improvements are made where needed. At RidgeLine, we don’t just oversee properties — we safeguard your bottom line without comprising quality for you and the residents.