Sept. 05–As the oil boom continues in West Texas rents have continued to skyrocket, and nowhere is that being felt more than in Midland and Odessa.
The two cities, which primarily serve the oil and gas industry in the Permian Basin, had the largest year-over-year changes in the nation, according to RENTCafe, an apartment search website. Midland’s rent in August increased 31.9 percent over the previous year, while rent in Odessa increased 30 percent.
Average rent in Midland for August was $1,595 a month, while Odessa was $1,365 a month. The closest large city was Austin, with an average rent of $1,349.
Rents in the capital have increased 2.9 percent from a year ago. Houston’s average rent was $1,088, up 3 percent from the previous year, while Dallas was $1,176 a month, also a 3 percent increase.
Energy companies in West Texas have faced a worker shortage in the remote region, which is constrained by a lack of housing. Thousands of workers have poured into the region to operate drilling rigs, build pipelines and transport materials around the vast region.
Rows of prefabricated housing called mancamps have popped up across the region and some oil companies will pay to house their workers in the communal living spaces.
The rent increases outpaced the 11.3 percent increase seen in Reno, Nevada, and the 10.1 percent increase in Peoria, Arizona. RENTCafe examined rent data across the 252 largest U.S. cities in its report.
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