Drop Reported in Apartment Building Sales

Sales of apartment buildings in San Diego County tumbled 14% in the first six months of this year from the same period a year earlier, and permits for new construction also fell, a survey by commercial broker John Burnham & Co. disclosed

Burnham said 634 projects were sold in the first half of 1986, compared to 740 in last year’s first half. Permits to build 5,759 new apartment units were taken out in the first six months of 1986, compared with 6,126 units in last year’s first half. Resales and new construction are being hurt by fears that tax reform will make rental property less attractive as investments, the survey said.

Strong gains were posted in the condominium sector. Permits to build 4,831 condos were issued in this year’s first half, nearly twice the number issued in the first six months of last year, the survey said.