The Twin Cities multifamily market has tightened in the past year, with vacancies falling to about 7% metro-wide and asking rents ticking upward. While overall metro rent growth remains modest, certain pockets are surging ahead—posting double-digit increases that far outpace the rest of the region. These gains highlight where renter demand is strongest and supply is most constrained.
Our latest Apartment IQ analysis identifies the five submarkets with the largest year-over-year rent growth. Ranked countdown-style, this list shows who's leading the charge in rent increases—and why.
Long a steady performer in the west metro, St. Louis Park has gained new momentum. With rents rising just over 7% in the past year and occupancy levels in the mid-90s, the market reflects strong demand for its mix of walkable neighborhoods, access to Minneapolis, and growing amenity base. With few new units under construction, existing communities are capturing outsized rent gains.
Edina continues to hold its reputation as one of the metro’s most desirable suburbs, and renters are paying a premium to live there. The city’s multifamily communities saw an average 8.6% increase in rents year-over-year. Demand remains strong thanks to Edina’s schools, retail, and accessibility, while new supply has been limited. This combination keeps upward pressure on rents despite already higher-than-average pricing.
Averaging across its multiple ZIP codes, Eagan recorded nearly 10% rent growth over the past year. While one portion of the city (north Eagan, 55121) posted especially steep increases, the broader submarket still shows strong, consistent growth. With occupancy around 97% and almost no significant new supply underway, Eagan’s mix of major employers, family-friendly amenities, and suburban convenience continues to attract renters at higher price points.
Eden Prairie has quickly become one of the west metro’s hottest rental markets, with rents jumping 13.4% year-over-year. The city’s combination of strong schools, major corporate campuses, and access to both downtown Minneapolis and the southwest suburbs has driven leasing momentum. With little new supply to cool demand, existing properties are realizing significant rent gains—making Eden Prairie one of the metro’s standout growth stories.
Leading the Twin Cities in rent growth is Bryn Mawr (ZIP 55405), a Minneapolis neighborhood that also encompasses nearby Lowry Hill and Kenwood. Rents here surged nearly 15% in the past year, far outpacing the metro average. The neighborhood’s proximity to downtown & major lakes, coupled with its leafy residential feel and limited new multifamily supply, has fueled strong demand. With occupancy well above 95% and no major new deliveries in the pipeline, Bryn Mawr landlords have been able to raise rents aggressively.
The data tell a clear story: submarkets with limited new construction and consistently high demand are driving rent growth. Whether it’s suburban hubs like Eagan and Eden Prairie or urban enclaves like Bryn Mawr, the winners share the same dynamics—tight occupancy, strong renter demand, and little new inventory.
For owners and investors, these submarkets highlight the strongest near-term opportunities to capture rent growth and value appreciation. For property managers, they reinforce the importance of smart renewal strategies and tenant experience, as renters are already paying more to secure housing in these competitive areas.
Are you a multi-family owner or developer looking to capitalize on these shifts in the Twin Cities market? Corridor has its finger on the pulse of local trends and the experience to help you maximize results. Reach out today with our contact page and let’s start the conversation.
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Methodology:
Rankings are based on Apartment IQ “Last 12 Months — Rent Growth” by ZIP code (multifamily properties only). For each submarket we averaged the rent-growth values for all ZIP codes that comprise the submarket. Student housing was included; condos and single-family rentals were excluded. Numbers are rounded to one decimal place.
Twin Cities 2Q 2024 Report – MMG Real Estate Advisors
Twin Cities Multifamily Rent Rises as Vacancy Drops - Dan Netter, Finance & Commerce
