Memphis, Tennessee’s “Bluff City” and birthplace of rock ’n’ roll and the blues, anchors a nine-county, tri-state MSA spanning West Tennessee, northwest Mississippi, and eastern Arkansas. With a population of roughly 1.34 million, Memphis is Tennessee’s second-largest metro and one of the nation’s most important logistics and distribution hubs.

The metro’s identity is defined above all by FedEx, whose global headquarters and Memphis International Airport superhub anchor a labor market of roughly 654,000 jobs and make the region home to one of the busiest cargo airports in the world. Healthcare is Memphis’ other defining pillar, led by St. Jude Children’s Research Hospital, Methodist Le Bonheur Healthcare, and Baptist Memorial Health Care, alongside a broad manufacturing and distribution base and a fast-emerging AI/data-center presence anchored by xAI’s Colossus supercomputer campus. Beyond its economic base, Memphis carries an outsized cultural identity. Beale Street, Sun Studio, Stax, and Graceland make it a global music and tourism destination.

Memphis Economy

Memphis’ economy centers on logistics and distribution, healthcare, and manufacturing. FedEx anchors the logistics sector with its global headquarters and the Memphis International Airport superhub; industrial-using employment accounts for roughly 29% of total employment, well above the national average. Healthcare employment is led by Methodist Le Bonheur Healthcare, Baptist Memorial Health Care, St. Jude Children’s Research Hospital, and Regional One Health.

Recent investment has diversified the base: xAI’s multibillion-dollar Colossus AI/data-center campus, Cognate BioServices’ $213 million cell-and-gene-therapy manufacturing buildout (561 jobs), and Hyosung HICO’s $157 million transformer-manufacturing expansion (240 jobs) all signal continued momentum in advanced manufacturing and technology infrastructure.

Population Analysis

 

Memphis MSA Population

The Memphis MSA’s nine counties totaled approximately 1,341,412 residents in 2025 per the U.S. Census Bureau. Shelby County (TN) remains dominant at 910,226 residents, while Fayette County, TN (7.66%) and DeSoto County, MS (6.33%) are the 2 fastest-growing counties within the MSA.

Demographics

Total Population (MSA)
1,341,412
Unemployment Rate (August 2026)
4.3%

Multifamily Highlights

Memphis Multifamily Analysis

 

Memphis’ multifamily market comprises 599 apartment communities of 50+ units, totaling 116,406 units across the nine-county MSA, and is showing early signs of stabilization after several years of elevated supply. Occupancy stands at 86.1%, and Average Asking Rents are $1,181.

Supply & Vacancy Trends. Demand improved meaningfully in the first half of 2026: trailing 12-month absorption totaled 1,507 units, nearly three times the market’s three-year average and the strongest annual performance in almost two years, while deliveries slowed to 803 units over the same period. Renter demand skewed heavily toward newer product: 4 & 5 Star communities captured essentially all of the market’s net leasing activity, with segment vacancy falling more than 400 basis points from its early-2025 peak to 11.0%.

Construction & Development Activity. Development has cooled sharply. CoStar’s active pipeline totaled 1,343 units across 11 properties as of Q3 2026, down nearly half from the market’s five-year average, while annual construction starts fell to roughly 540 units, among the lowest levels in a decade. Deliveries are projected to fall to roughly 500 units in 2026, positioning Memphis for a more balanced supply-demand environment over the medium term.

Source: CoStar

 

 

Major Employers

  1. FedEx HQ

    35,000 jobs  | Learn More
  2. Methodist Le Bonheur Healthcare

    11,637 jobs / 1,714 beds  | Learn More
  3. Baptist Memorial Healthcare

    10,666 jobs / 706 beds  | Learn More
  4. St. Jude's Children's Research Hospital

    6,320 jobs / 77 beds  | Learn More
  5. NSA Mid-South (Millington)

    6,200 jobs  | Learn More
  6. Nike

    5,300 jobs  | Learn More
  7. Walmart (Incl. Fulfillment Center)

    5,275 jobs  | Learn More
  8. Saint Francis Healthcare

    4,200 jobs / 675 beds  | Learn More
  9. Amazon

    4,000 jobs  | Learn More
  10. Milwaukee Tool

    4,000 jobs  | Learn More
  11. UT Health Science Center

    3,019 jobs  | Learn More
  12. DHL Supply Chain

    2,896 jobs  | Learn More
  13. Memphis Light, Gas & Water (MLGW)

    2,663 jobs  | Learn More
  14. Regional One Health

    2,657 jobs / 328 beds  | Learn More
  15. Lt. Col. Luke Weathers Jr. VA Medical Center

    2,537 jobs / 196 beds  | Learn More
  16. FedEx Freight

    2,500 jobs  | Learn More
  17. University of Memphis

    2,482 jobs / 19,652 students  | Learn More
  18. Autozone HQ

    2,400 jobs  | Learn More
  19. Kroger (Incl. Divisional Office)

    2,300 jobs  | Learn More
  20. Cigna

    2,075 jobs  | Learn More
  21. Smith & Nephew (U.S. HQ)

    2,050 jobs  | Learn More

Other Demand Drivers

  1. FedExForum

    Memphis Grizzlies & UofM Basketball; capacity of 18,400  | Learn More
  2. Wolfchase Galleria

    1,152,000SF; Macy's, JCPenney, Dillard's, Primark  | Learn More
  3. Memphis International Airport

    #2 Top Cargo Airports Worldwide; 4.8M passengers in 2025  | Learn More
  4. Germantown & Collierville

    Top 10 Schools & Richest Cities (TN)  | Learn More
  5. Rhodes College

    1,800 students  | Learn More
  6. Christian Brothers University

    1,204 students  | Learn More
  7. Graceland

    Most Popular Museum in the U.S.  | Learn More
  8. National Civil Rights Museum

    Average annual attendance of over 150,000  | Learn More

Sources & Comments

1. The Memphis, TN-MS-AR Metropolitan Statistical Area consists of 9 counties across 3 states: (1) Crittenden, AR (2) Benton, MS (3) DeSoto, MS (4) Marshall, MS (5) Tate, MS (6) Tunica, MS (7) Fayette, TN (8) Shelby, TN (9) Tipton, TN

2. Primary Sources: (1) https://fred.stlouisfed.org/ (2) CoStar (3) MSCI Real Capital Analytics

3. Sales Comps are from 09/25 – 09/26

4. This information supplied herein is from sources we deem reliable. It is provided without any representation, warranty, or guarantee, expressed or implied as to its accuracy