
Average Rent Increases Modestly
As the University of California, Davis, continues a building program that has added thousands of student beds to campus in recent years, the apartment vacancy rate in the city of Davis continues to ease.
About 4% of market-rate apartments in Davis — including those leased by the unit and by the bed — were vacant in fall 2024, according to a survey report released today (Feb. 4). Rents increased by a combined average of 1.6%.
The results are from the fall 2024 version of UC Davis’ apartment vacancy- and rental-rate survey, conducted since at least 1975. The Office of Student Housing and Dining Services commissions the survey to provide the campus and surrounding communities with information to support planning.
The blended vacancy rate for the two unit types is one percentage point higher than last fall’s 3.0% percent and (except for fall 2020 when UC Davis planned for mostly remote instruction due to the COVID-19 pandemic) the highest since the blended vacancy rate was first reported in 2017.
The survey results follow seven years in which UC Davis has made a net gain of more than 6,260 new apartment and residence hall beds on campus. The city of Davis has also contributed to this positive impact with the approval of numerous new apartment projects.
“It is great to see the vacancy rate at a level that is considered healthy for a market and the stabilization of rent escalation,” said Michael Sheehan, associate vice chancellor for housing, dining and divisional operations in Student Affairs. “This is a direct result of the planning, hard work and partnership with the city.”
The campus is scheduled to break ground this spring on a new residence hall for occupancy in fall 2027. The Segundo Infill Project, approved by the UC Board of Regents last summer, is designed to accommodate about 500 students in double- and triple-occupancy configurations. The campus has also begun planning a new apartment project within the West Village neighborhood. The size and timeline are still being developed.
Campus housing and enrollment
In fall 2024, UC Davis housed 15,024 students and their family members on campus.
Since 2017, UC Davis has opened more than 6,260 new apartment and residence hall beds through construction of Orchard Park, the Tercero 4 complex, Yosemite Hall, The Green at West Village and Shasta Hall; and by doubling up beds in larger rooms at the Sol apartments in West Village.
The campus has met its 2023 target of having 15,000 student beds on campus under the terms of a 2018 memorandum of understanding with the city of Davis and Yolo County.
In 2016-17, about 29% of students lived on campus. It is estimated that 41% of Davis-based students are living on campus this academic year, and the campus is conducting preliminary planning for sufficient housing to accommodate 48% of students.
In fall 2024, UC Davis enrolled a total of 41,239 students, an increase of 0.9% from the previous fall’s 40,848. Some of these students participate in programs at facilities outside of Davis, such as the Sacramento campus and beyond.
UC Davis measures its Davis-based enrollment as an average over the three regular academic quarters for implementing its 2018 Long Range Development Plan, or LRDP, which has a projected capacity of 39,000 students for the Davis campus. The early estimate for the LRDP’s three-quarter enrollment average for the current academic year is about 36,500. Since 2019-20, the LRDP three-quarter average enrollment has remained below 37,000.
Rental rates
The combined average rental rate increased 1.6% from fall 2023 to $2,762.
The average monthly rent for unit-leased apartments of all sizes — from studios to four or more bedrooms — was up 2.2% to $2,425.
Two-bedroom apartments — representing 46% of those rented by unit — were shared by an average of three people and rented for $2,374, up 3.4% from fall 2023.
The average rate for a bed lease decreased 0.7% to $1,168.
Some complexes levy mandatory charges for utilities and parking.
Almost 30% of survey respondents reported decreasing rents in 2024, compared to 10% in 2023. Forty-three apartment complexes — more than twice as many as last year — reported offering incentives and move-in specials to help fill vacancies and attract new residents. The average value of these incentives was $2,320, or 48% over last year’s average and well above those of earlier years too.
Vacancies by unit type
The 6,763 apartments leased by the unit accounted for about 65% of the market-rate rental units in the survey. A total of 283 apartments, or 4.2%, were vacant and available for lease, compared with 152, or 2.3%, vacant among 6,668 apartments in fall 2023.
The number of apartments leased by the bed rather than the unit as a whole increased by 41%, from 2,611 in fall 2023 to 3,674 in fall 2024, augmented their number of beds by nearly a third and accounted for about 35% of the market-rate apartments in the survey. A total of 406, or 3.8%, of their 10,579 beds were vacant. In fall 2023, 5.9% of 7,988 beds in this type of unit were vacant.
About the survey
A total of 116 apartment complexes and property management companies representing 11,144 rental units, or 3.2% more units than the previous year, responded to the survey. Based on the American Community Survey’s estimates of multifamily housing units in the city of Davis and on campus, the units captured in the survey account for approximately 84.5% of the Davis area multifamily housing stock.
The report’s calculations excluded units rented at below-market rates, so only those 10,437 market-rate units were included.
The UC system is poaching students from the CSU and community college systems.
Sonoma State’s enrollment is down by 38%, necessitating drastic budget cuts (and elimination of more than 20 academic degree programs, the elimination of intercollegiate athletic teams, etc.).
https://www.forbes.com/sites/michaeltnietzel/2025/01/23/facing-huge-deficit-sonoma-state-university-makes-massive-cuts-ends-athletics/
The birth rate (nationwide) is well-below replacement levels. At some point, artificial intelligence will also impact the entire education system.
What, instead of building more housing in the area and trying to draw in students Sonoma State is downsizing? What are they thinking?
When the UC system is the “last man standing” (so to speak), the “elite” aspect of the UC system will be further-eroded.
But yeah, as degree programs are eliminated at other universities, those intent on getting a degree will have no choice.
It does seem likely that those who (in the past) would have pursued a degree at a “local” college/university will be increasingly-funneled into the UC system.
“The elite aspect of the UC system will be further eroded.”
You obviously have no idea about the value of the UC Davis brand.
UC Davis has a “brand”?
But seriously, the entire UC system has essentially watered-down its admission requirements, in a supposed effort to increase “equity” (since they can no longer use affirmative action-type initiatives). And now, there’s a lawsuit regarding that.
https://apnews.com/article/university-of-california-discrimination-lawsuit-ed1856b8228322a5a941f09ebbd00972#:~:text=SANTA%20ANA%2C%20Calif.,Asian%20American%20and%20white%20applicants.
I think Ron O very well stated what he feels: letting in certain kinds of people (wink, wink) erodes the elite status of the system from the time when not so many of the wrong kinds of people (wink, wink) were there. One can tell who the wrong kinds of people are by looking at them from their special elite vantage point.
For those who say that adding supply won’t solve the housing shortage or claim that supply and demand doesn’t apply to the Davis market this article tells a different story
Yes, the UC Davis brand is that of a world class public university. As for watering down you really have no idea about the talent that the students bring or the quality of the researchers and academics working there.
As one example I recently met a guy whose lab designs and conducts clinical trials for the treatment of serious neurological disorders. That is one guy among a campus full of incredible people
University of Michigan had a fall enrollment of 52,000 students, they are among the top public universities in the world
Again, the requirements were watered down (regarding test scores, etc.). Some 20 years or so ago, George Carlin said that “pretty soon, all you’ll need to get into college is a pencil”.
And since decidedly-fewer students are attending community colleges and state universities (and their programs are being reduced), it seems likely that this “lower-tier” of students is increasingly attending the “last man standing” (the UC system).
But I don’t think that George Carlin foresaw student loan debt reaching the levels it has. With the exception of a few programs (which are really only attainable for a relatively-small percentage of gifted students), young people are increasingly questioning the value of a college degree – for good reason.
Ron O
You need to get involved with students. Many in the group I work with are several years ahead of where me and my peers were 50 years ago.
You’re right that the value of a college education is being questioned. It has long been oversold. However, our K-12 system has diminished offerings in understanding how our government works and daily living tasks. We also need to increase emphasis on career tech education (CTE) that makes students job ready at graduation, and to eliminate the stigma for those who choose that route.
So what’s happening to the state universities is not a competition with the UCs but rather students not attending college at all. The overall college population is shrinking and the loss is of students for whom attendance was marginal. The UCs are still pulling from the same pool of students. And that’s why UCD attendance will continue to be strong.
Again, they’ve changed the requirements to get into the UC system, and are simultaneously eliminating programs at places like Sonoma State. It is likely that more students who would have attended a state university are now attending a UC, instead. I know of two young people who are from Sonoma county – both of them chose to attend college elsewhere.
One of those people is using their UCD degree as a figurative door stop, as far as I can tell.
The other part that’s “new” compared to years past is the staggering amount of student loan debt.
It comes down to the major one selects, regarding whether or not there’s employment opportunities (e.g., other than operating a political blog).
Here’s the link to the UCD news release which I didn’t see here: https://www.ucdavis.edu/news/survey-davis-apartment-vacancy-rate-continues-improve
An important point is that I have yet to come across a major research public university that houses more than 40% of its students on campus. Most do less. UCD is going beyond what any of its peers have done with a goal of 48%.
UC watered down entrance requirements 20 years ago? If you compare the A-G requirements of today with the A-F requirements from 50 plus years ago when I was in high school they are much more rigorous today. When I was in high school to get into UC you needed three years of math, one of science and one year of foreign language.
In other words any student qualifying today with the minimum course requirements is better prepared than any boomer was back in my and Ron O’s day.
In 2020, due to COVID, UC and hundreds of other colleges and universities stopped using ACT/SAT scores in admissions.
The GPA minimum was not changed.
Average GPA of students admitted to competitive campuses including Davis is higher than the minimum requirement, averaging 4.0 – 4.3 GPA.
Extracurricular activities and personal essays are also still considered, as they always have been.
UC is a very competitive university system to get into.
In the field of agriculture, UCD is the top-rated school in the US and one of the top-rated schools worldwide. In certain categories of ag, such as viticulture, it is the premier institute in the world. The school of vet med is one of the top-rated as well.
UC Davis has an outstanding reputation worldwide.
It’s easier to transfer into a UC these days, due to the Admissions Transfer Guarantee.
Regarding specific programs, yes – that’s one way to boost your chances of subsequent employment (not necessarily locally). One has to look at the salary that’s offered (and the ease of getting a job where one desires), vs. the cost of attaining the degree.
In contrast, you can probably get an engineering degree at just about any state university that offers them, and do better than many with a UC degree in the “wrong” field.
ummm…. “I met a guy…” “George Carlin”. “I know of two young people…” do not strike me as good news sources or adequate sample sizes… LOL. Any UCDavis (there is a brand) science student would know that.
Strange, how you didn’t seem to notice McCann’s comment (prior to mine) regarding the “students he knows” as if that’s some kind of sample.
Regarding George Carlin, he was speaking of the “dumbing down” of requirements in the public school system. (The “precursor/preparer” for college.)
https://www.youtube.com/watch?v=sNXHSMmaq_s&t=1s
As far as UC Davis’ brand, is it still represented by that ridiculous, aggressive-looking horse mascot at this point?
https://ucdavisaggies.com/sports/2023/1/4/branding.aspx#:~:text=Gunrock,Digital%20Gunrocks%20for%20design%20use.
Or is it better-represented by encouraging the consumption of wine?
https://vengg.ucdavis.edu/facilities/robert-mondavi-institute