The Urban Land Institute defines workforce households as those households earning between 60% and 100% of Area Median Income (AMI). According to Fannie Mae, this income band accounts for about 30% of all renter households in the United States.

But half of all new construction targets those households earning more that 100% of AMI; the other half targets those earning less than 60% of AMI. Fact is, very few new units are being built to meet the needs of the workforce housing market segment – the backbone of any local economy.

Follow this link to the Fannie Mae report:

https://www.fanniemae.com/content/fact_sheet/wpworkhouse.pdf

CBRE Research recently published a report entitled The Case for Workforce Housing. The report enumerates the many reasons to invest in this underserved market segment. According to CBRE “…workforce housing has very strong supply/demand fundamentals that give the sector a solid foundation to provide continued good investment returns.” 

For more information, follow this link to the report:

https://www.cbre.com/research-and-reports/The-Case-for-Workforce-Housing