These Cities Are Adding Luxury Apartments Faster Than Anywhere Else

As people are staying renters longer, they are looking for an apartment that can be their long-term home. Some are renting for practical reasons, like fewer maintenance responsibilities or lower upfront costs, but others appreciate the lifestyle and amenities that come with it. This often translates into a hunt for luxury apartments.

Most cities have luxury apartments, but some metros are pulling ahead as most of their under-construction pipeline consists of these higher-end communities. For renters, this concentration of new luxury supply can mean more choices, more competitive pricing, and access to amenities and finishes that might otherwise be harder to find. Knowing which cities are leading this trend can help renters target their search and find the luxury apartment that works for them.

City	Average Rent	Average Luxury Rent	Share of Total Apartments That are Under-Construction Luxury Units
Jersey City, NJ	$3,295/month	$4,536/month	12.6%
Frisco, TX	$1,475/month	$1,597/month	10.1%
Fort Lauderdale, FL	$2,284/month	$2,636/month	6.2%
Wilmington, NC	$1,418/month	$1,815/month	6.2%
Durham, NC	$1,408/month	$1,648/month	6.2%
Denton, TX	$1,183/month	$1,420/month	6.0%
Miami, FL	$2,240/month	$3,031/month	6.0%
Mesa, AZ	$1,284/month	$1,650/month	5.0%
San Jose, CA	$2,865/month	$3,759/month	4.6%
Newark, NJ	$1,635/month	$2,522/month	4.4%

Methodology

Apartments.com defines luxury using the CoStar Building Rating System, with 4- and 5-star buildings being considered “luxury.” To find the cities with the most luxury apartment communities underway, we calculated the number of 4- and 5-star units currently under construction as a percentage of each city's total existing units (not just those under construction), then ranked cities by that percentage.

The analysis was limited to cities with a minimum number of units to exclude smaller markets that could skew the results. For reference, the average for the share of total apartments that are under-construction luxury units for all qualified cities was 1.8 percent.

Why There Is Demand for Luxury Apartments

Generally, new construction leans towards the luxury and higher-end apartment tiers. The reason is a combination of factors:

• Renter demand: many renters want upscale amenities and apartments, and are willing to pay for them.
• Developer choices: building higher-end often makes more sense given the current cost of land, materials, and labor.
• Existing competition: there’s already a large supply of mid-range buildings, so new luxury construction doesn’t have to compete with that segment.

Jersey City's Waterfront Is Turning into a Luxury Tower Corridor

• Average rent in Jersey City: $3,295/month
• Average luxury rent in Jersey City: $4,536/month
• Share of total apartments that are under-construction luxury units: 12.6 percent

Why Jersey City is adding luxury apartments so fast

In recent years, Jersey’s City Waterfront has become a major hub for corporate relocations. With so many companies and headquarters moving here, renters are following, and where renters go, so does development.

Where to find luxury apartments in Jersey City

While there are luxury options across Jersey City, the greatest concentration is in The Waterfront. Because this is where the majority of offices reside, luxury apartment communities are building here to provide an easy commute and access to the city’s dining and entertainment scene. It all comes with easy access to New York as well, thanks to the city’s PATH stations.

Even though Jersey City’s average luxury rent of $4,536/month is 29 percent lower than New York’s luxury rent of $6,367/month, it is still an expensive city. The Waterfront is one of the most expensive neighborhoods. So many are looking to neighborhoods a little farther out that still offer access to the PATH train or Hudson-Bergen Light Rail, like Journal Square and SoHo West.

Frisco’s Corporate Boom Is Fueling a Luxury Boom

• Average rent in Frisco: $1,475/month
• Average luxury rent in Frisco: $1,597/month
• Share of total apartments that are under-construction luxury units: 10.1 percent

Why Frisco is adding luxury apartments so fast

Frisco, TX started to see a population boom as a bedroom community for the Dallas-Fort Worth metro area, but it has grown into a destination of its own. Several major employers set up shop in the area, and the city invested in its commercial ventures, like mixed-use developments and the Stonebriar Centre, the regional mall. For these reasons, renters have continued to head to the city for a more suburban lifestyle, leading to the rapid growth of the luxury apartment segment.

Where to find luxury apartments in Frisco

Frisco’s development is largely shaped by available land. Many under-construction luxury communities are found in the northern and southern parts of the city, rather than in the middle of town, which has already been developed. Highway access also shapes construction as the DART doesn’t have a line in Frisco, so many renters want to live near the Dallas North Tollway or other major roads.

Fort Lauderdale Offers a Lower-Cost Miami Lifestyle

• Average rent in Fort Lauderdale: $2,284/month
• Average luxury rent in Fort Lauderdale: $2,636/month
• Share of total apartments that are under-construction luxury units: 6.2 percent

Why Fort Lauderdale is adding luxury apartments so fast

Fort Lauderdale, FL is a lower-cost, less-dense alternative to Miami for the wave of renters migrating to South Florida. These renters are chasing the beachside luxury lifestyle and favorable affordability that comes with the area.

While tourism, marine-related industries, and manufacturing remain three of Fort Lauderdale’s main pillars, the city’s economy has diversified with professional services and financial companies occupying many of the high-rise offices downtown.

Where to find luxury apartments in Fort Lauderdale

The coast of Fort Lauderdale is already packed with hotels, resorts, and condos, leaving no room for development, which is why luxury construction is primarily clustered in Downtown Fort Lauderdale and neighboring Flagler Heights. These neighborhoods balance being close to employers and the nightlife and entertainment scene downtown, with beach access a short drive away.

Wilmington Proves Coast Luxury Doesn’t Have to Be Expensive

• Average rent in Wilmington: $1,418/month
• Average luxury rent in Wilmington: $1,815/month
• Share of total apartments that are under-construction luxury units: 6.2 percent

Why Wilmington is adding luxury apartments so fast

Wilmington, NC has no shortage of opportunities, and combined with the beautiful setting, has attracted renters to the area. The economy has seen growth across industries, including its key segments of tourism, logistics, healthcare, and education. As a port, it has become a gathering spot for facilities, infrastructure, warehouses, and fulfillment centers. The office-using sector has seen steady growth as well, with education and healthcare leading the way.

Wilmington’s average luxury rent of $1,815/month is higher than the national average of $1,663/month. However, when compared to Miami’s average of $3,031 per month, renters enjoy a coastal lifestyle and beach town feel at a much lower price point.

Where to find luxury apartments in Wilmington

Luxury apartments in Wilmington are not the high-rises commonplace in big cities, but rather sprawling mid-rise communities. They’re spread throughout the city and have all the same features as high-rises, from modern amenities to high-end finishes, often with more space.

Durham's Research Triangle Keeps Fueling Growth

• Average rent in Durham: $1,408/month
• Average luxury rent in Durham: $1,648/month
• Share of total apartments that are under-construction luxury units: 6.2 percent

Why Durham is adding luxury apartments so fast

Durham, NC has continued to benefit from its position as one of the key anchors of the Research Triangle. The region is home to North Carolina State University, Duke University, and the University of North Carolina at Chapel Hill, as well as its namesake, Research Triangle Park, the largest research park in the U.S. and home to many major companies across tech, manufacturing, research, life sciences, and more. Supported by these opportunities, renters look to luxury apartments for quick access to employers, but they also want plenty of space for life outside of work.

Where to find luxury apartments in Durham

Though the city is known for Research Triangle Park, City Center Durham has become a business powerhouse of its own, and it’s not far from Duke University. Renters often move here looking for the live/work/play lifestyle, and the amount of luxury apartments being built shows that developers are recognizing that interest.

Northgate is a popular alternative for those looking for a more suburban lifestyle as it trades packed city blocks for tree-lined streets. Just north of City Center Durham, it’s not too far from entertainment, dining, and shopping, while commutes are simple since I-85 bisects the neighborhood.

Denton’s Slower Pace With Big Luxury

• Average rent in Denton: $1,183/month
• Average luxury rent in Denton: $1,420/month
• Share of total apartments that are under-construction luxury units: 6 percent

Why Denton is adding luxury apartments so fast

Denton, TX may not have the large business presence that Frisco has, but people aren’t moving there for that reason. They’re moving to Denton for its slower lifestyle and affordability, where they can enjoy luxury for a lower price.

The city stands out for its rail access. The DCTA A-train connects to DART’s Green Line, leading all the way into the heart of Dallas. Denton also contains the University of North Texas and Texas Woman’s University, adding an educational presence to the city.

Where to find luxury apartments in Denton

Luxury apartment communities are being built in every cardinal and intercardinal direction in Denton. The city has plenty of available land, and developers are taking advantage of that. They’re betting on continued growth and getting in at a lower cost now while land is affordable, and renters are benefiting from that.

Miami Is Where Beach Meets Big-City Luxury

• Average rent in Miami: $2,240/month
• Average luxury rent in Miami: $3,031/month
• Share of total apartments that are under-construction luxury units: 6 percent

Why Miami is adding luxury apartments so fast

When you think of Miami, FL you think of beachfront glamour, nightlife that never slows, and a luxury lifestyle like no other. That image continues to fuel demand from renters moving to the city, in addition to Florida’s affordability. Many are drawn by the vibe, but the city’s well-rounded, well-connected economy spanning tourism, hospitality, trade, logistics, and finance make a luxury lifestyle possible.

Where to find luxury apartments in Miami

Renters come to Miami to find a specific vibe, whether that’s the never-ending nightlife or the laid-back beachfront. Many end up living across Biscayne Bay in Downtown Miami’s neighborhoods, both to avoid the high prices and limited availability in Miami Beach and for the distinct lifestyle Downtown offers.

Miami has luxury apartment communities rising across downtown. Some of the neighborhoods where you’ll find these new developments are:

• City Center Miami
• Brickell
• Riverside
• Park West
• Media & Entertainment District
• Edgewater
• Midtown Miami
• Wynwood

Mesa's Luxury Growth Is Riding the Wave of Arizona's Tech Buildout

• Average rent in Mesa: $1,284/month
• Average luxury rent in Mesa: $1,650/month
• Share of total apartments that are under-construction luxury units: 5 percent

Why Mesa is adding luxury apartments so fast

The sudden interest in Mesa, AZ is largely tied to Arizona becoming a hotspot for tech. From development to manufacturing, many well-known tech companies have opened offices and factories in the state, particularly around Phoenix and by extension, Mesa.

Where to find luxury apartments in Mesa

As a suburb of Phoenix, Mesa gives renters the same luxury found in the bigger metro for a lower price and with more space. The renters riding this tech wave are looking for modern apartment communities that come with all the latest amenities and are close to the employment corridors. Downtown and Central Mesa are two of the top areas for new luxury apartment communities, with Riverview rounding out the list.

San Jose: Where AI Powers Luxury

• Average rent in San Jose: $2,865/month
• Average luxury rent in San Jose: $3,759/month
• Share of total apartments that are under-construction luxury units: 4.6 percent

Why San Jose is adding luxury apartments so fast

San Jose, CA has long been the center of Silicon Valley, and AI has fueled a new wave of growth. The boom has brought some of the highest-paying jobs and opportunities back to the area, with renters quickly following suit. While some companies have returned to full in-office schedules, many others remain hybrid or fully remote. This has driven demand for luxury apartments with extra space and modern amenities as renters need to work comfortably from home while still having room to unwind.

Where to find luxury apartments in San Jose

California's development policies are restrictive, so San Jose's construction pipeline is smaller than many comparable metros. But it has the economy and demand to support the construction of luxury apartments, which is why the majority of construction is for that segment.

The demand for luxury apartments is so high that renters face stiff competition for available apartments. The spots with the most development are Downtown San Jose, North San Jose, and next door in Santa Clara.

Luxury in Newark Is Building on Its Own Job Market and NYC Access

• Average rent in Newark: $1,635/month
• Average luxury rent in Newark: $2,522/month
• Share of total apartments that are under-construction luxury units: 4.4 percent

Why Newark is adding luxury apartments so fast

Newark, NJ has a similar story to Jersey City: renters who are being priced out of NYC and even the Hudson River waterfront are heading to cities like Newark. It’s not a bedroom community. As New Jersey’s largest employment center, many people commute to Newark. While the city was once known for its industrial sector, it has become more office-oriented with its economy mainly focused on insurance, finance, and tech.

Where to find luxury apartments in Newark

Whether renters are heading to Newark for the city’s own prospects or for its proximity to New York, it’s likely they’ll end up in Downtown Newark. That’s where everything is located, from Penn Station and company headquarters to entertainment venues and streets lined with shops and restaurants. As this is what renters are looking for, luxury communities are being built there to meet that demand.

Find Your Own Luxury Apartment on Apartments.com

Ready to start your search in one of these cities? Apartments.com makes finding a luxury rental easier than sorting listings from highest to lowest price. Using research from the CoStar Building Rating System, we identify rentals with real luxury characteristics, so you can find a place that matches the lifestyle you're after, not just your budget's ceiling.

To get started, search your city on Apartments.com, scroll to the "Find Specialty Housing" section that’s below all the listings, and select the luxury apartments filter to browse homes hand-picked for their upscale features.