FORT LAUDERDALE, Fla., Jan. 27, 2006 - Real Estate Investment Brokerage Company, the nation's largest real estate investment brokerage firm, recently released its National Apartment Research Report for 2006, which indicates the Fort Lauderdale apartment market will benefit from strong tenant demand and reduced supply due to the increasing number of condominium conversions.

Also included in the report is the firm's annual National Apartment Index (NAI), a snapshot analysis that ranks 42 apartment markets based on a series of 12-month forward-looking supply and demand indicators. Fort Lauderdale improves six places this year to No. 2.

"Substantial inventory reduction resulting from condo conversions and a strengthening economy will allow Fort Lauderdale to maintain its position as the tightest apartment market in Florida," comments Gene A. Berman, managing director of and regional manager of the Fort Lauderdale office. "Investment activity has been extremely strong in the market with a growing number of condo conversion transactions driving up sales prices."

Following are some of the most significant aspects of the Fort Lauderdale Apartment Research Report:

• In 2006, asking rents are forecast to increase 3.2 percent to $1,038 per month.
  
  Effective rents will grow by 6.4 percent to an average of $1,017 per month due to declining concessions.
   

• The vacancy rate in Fort Lauderdale was 3.7 percent at year-end 2005 and is forecast to fall to 3.4 percent this year.
  
  Strong demand will support vacancy rates ranging from 3.0 percent to 3.5 percent in Miramar, Sunrise and Coral Springs, the metro's three largest submarkets.
   

• Fort Lauderdale is expected to expand by 32,000 positions in 2006, a 4.2 percent gain.
  
  Job growth will be led by gains in the construction, and professional and business services sectors.
   

• Fort Lauderdale builders are expected to deliver 1,000 apartment units this year, up slightly from 900 units in 2005.
  
  Despite the increase, new supply will represent less than 1 percent of the market's stock.
   

• Investors may want to consider properties in the city of Hollywood, where tenant demand is growing.
  
  Existing supply is being depleted by condo conversions, and no new construction of rentals is scheduled, which bolsters apartment property operations.
  
  

Orange County (Calif.) claimed the top spot in the 2006 NAI, surpassing last year's leader, Riverside-San Bernardino (California's Inland Empire). The region's median home price of more than $700,000 makes Orange County one of the least affordable housing markets in the country, which will keep renter demand at high levels. Fort Lauderdale occupies the No. 2 position due to robust job growth and low vacancy. Las Vegas moved up one spot to No. 3, supported by strong condo conversion activity and declining vacancy. San Diego fell two places to No. 4, and New York City-Manhattan climbed four positions to complete the top five. Typically the bottom MSAs in the NAI are markets with above-average vacancy or weak labor markets.