When we decided to launch Project Beacon in downtown Akron as our first Class B+ acquisition under GHC’s updated multifamily thesis, we weren’t just buying a renovated, 236-unit asset with strong occupancy.

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We were answering a bigger question:

If Ohio is still “affordable,” but household incomes are rising, what does affordability actually mean now, and how should that reshape our strategy?

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This piece is our attempt to unpack that.

1. Rising incomes are changing the definition of “affordable” in Ohio

For years, the Ohio story has been simple: lower cost of living, steady jobs, and housing that feels reasonable compared to the coasts.

But the data is shifting:

• Real median household income in Ohio rose from about $71,980 in 2022 to $80,520 in 2024; an increase of nearly 12% in just two years. 
• Statewide, the median share of income spent on rent has climbed back up to about 28% after a decade of decline, moving closer to the federal 30% “cost-burdened” threshold. 

By federal standards, “affordable housing” generally means a household spends no more than 30% of gross income on housing and utilities.

So what happens when incomes move up faster for some households than others?

Ohio’s own rental housing assessment points out that:

• Income growth at the 80th percentile has outpaced rent growth since 2006.
• Income at the 20th percentile has lagged, meaning lower-income renters are still losing ground even in a “cheaper” state.

In plain language:

• For middle-income households, Ohio is becoming more attractive.
• For lower-income renters, the affordability squeeze hasn’t gone away, it’s just wearing a different mask.

That’s the backdrop for Project Beacon and our shift into Class B+.

2. The floor is moving first: income growth from the bottom up

Bhavin often describes what’s happening this way:

The bottom of the market is coming up quickly. Assistance programs and wage growth are pushing up the floor, and the definition of “affordable” is moving with it.

You can see it on the ground in Summit County:

• In Akron, median household income is about $48,544, up more than 4% year-over-year.
• Median gross rent in the city is roughly $930 per month, or just under 23% of that median income, below the 30% burden line, but trending upward. 

Zoom out to the metro area and surrounding ZIP codes and the distribution widens:

• In a higher-income Akron ZIP like 44333, median household income tops $119,000, far above both the Akron metro and Ohio overall. 

That spread is important:

• The “floor” is higher than it used to be. Residents who once qualified only for deeply discounted or subsidized housing now show stronger incomes on paper.
• The middle is thickening. More households are in that $60,000-$100,000 income band, especially around growing job centers.
• The top has options. Higher-income households can choose between homeownership, new Class A product, or high-end rentals.

For operators, that means the old mental model (Class A is expensive, Class C is affordable, and Class B is the quiet middle) is no longer accurate enough.

3. Why Class B and B+ are becoming the new center of gravity

Industry research consistently describes Class B multifamily as the “middle-ground” asset: typically older than Class A, in solid locations, with good but not luxury amenities, attracting middle-income tenants who value comfort and value over flash. 

Recent commentary on Class B puts it this way:

• Serves middle-income renters; teachers, nurses, municipal workers, technicians, early-career professionals.
• Balances risk and reward for investors: steadier demand, lower vacancy volatility than Class A, and room for operational and rent growth. 

Pair that with Ohio’s income trends:

• Real household incomes are climbing statewide. 
• State analysis shows higher-income renters have more room to absorb rent growth than lower-income renters, but median rent burden is still rising. 

This creates a specific opportunity:

Class B and B+ properties priced for middle-income renters can still feel “attainable” while capturing future rent growth as incomes rise.

That’s exactly where Project Beacon fits.

4. Beacon as our first move into tomorrow’s middle market

Project Beacon is our first Class B+ deal under this updated thesis:

• ~236 units in downtown Akron, in a walkable, job-connected location.
• Renovated in 2022 with over $10M in capital improvements, so the bones and finishes skew B+.
• Stabilized occupancy in the mid-90s, validating renter demand at today’s price point.

Beacon sits at the intersection of three trends:

1. Rising incomes in the region
   Akron’s median household income is growing, while the region benefits from a wave of investment across Northeast and Central Ohio, from advanced manufacturing to logistics and healthcare. 
2. A growing middle-income renter base
   The residents we underwrite for Beacon are not at the bottom of the income distribution, but they aren’t luxury renters either. They are the people who keep Ohio’s economy running and they increasingly prefer flexibility, amenities, and location over homeownership at any cost.
3. A product that feels like Class A without Class A pricing
   Renovated units, better common areas, and a downtown address allow us to serve a renter who can afford more than workforce housing but still values a rent-to-income ratio that leaves room for savings and daily life.

In other words, Beacon is our first explicit bet on this simple idea:

As Ohio’s incomes move up, the ddle of the rental market is where long-term stability and upside converge.

5. How rising incomes are reshaping GHC’s multifamily model

Over the past year, the data across Ohio has made one thing increasingly clear: the rental market we built our original thesis around is not the one we’re operating in today. Household incomes are rising, affordability benchmarks are shifting, and the strongest, most stable demand is moving into the middle of the market.

For GHC, this isn’t a minor adjustment, it’s the beginning of a strategic shift that will define our multifamily approach for the next decade.

We’re evolving the model in four key ways:

5.1 Reframing affordability from a renter’s perspective

Instead of treating “affordable” as a static rent number, we’re anchoring our underwriting and strategy to questions like:

• What household income bands are growing in this submarket?
• At those incomes, what does 30-35% of gross income look like in monthly rent?
• Where can we price Beacon-style product so that it feels like a responsible decision for a middle-income family or professional?

That keeps us aligned with the HUD benchmark on housing affordability while recognizing that the income base in many Ohio markets looks very different than it did a decade ago. 

5.2 Targeting submarkets where incomes are real, not just headlines

We’re more selective about the micro-geography:

• Looking for zip codes and corridors where household incomes and job growth are rising together, not just average citywide stats. 
• Stress-testing assets against potential shifts in employment centers (data centers, EV plants, advanced manufacturing, healthcare, logistics) so that future residents have real earning power.

5.3 Shifting our product mix toward B and B+

Project Beacon is the first visible example of a broader adjustment:

• More focus on Class B/B+ in markets like Akron and other Ohio metros where incomes are rising but new Class A supply hasn’t fully recalibrated.
• Selective capital upgrades that make a B asset feel like B+ without saddling renters with true Class A rents.
• Operational discipline to keep rent increases tethered to real income growth in the trade area, not national averages.

5.4 Designing for long-term renter loyalty

Rising incomes don’t automatically turn renters into homeowners, especially in a world of higher mortgage rates and lifestyle flexibility.

We’re increasingly asking:

• How do we keep a resident through multiple income bands, from early career to growing family, within the same ecosystem of properties?
• How do we weave in services, technology, and community that make it rational for them to stay renting by choice rather than default?

That shows up in everything from amenity programming to how we think about future acquisitions around Beacon-like assets.

6. What this means for investors

For GHC’s multifamily investors, rising household incomes in Ohio change the risk/return conversation in a few important ways:

1. Income-supported rent growth
   When real median household income grows nearly 12% in three years, there is room for rents to adjust over time, especially in the middle of the market, without crossing into unsustainable burden for the target renter.
   
   
2. Resilience in the middle
   Class B/B+ assets like Beacon sit between two volatile edges:
   
   • The workforce segment, where lower-income renters remain cost-burdened and more sensitive to shocks. 
   • The top of the market, where Class A supply and concessions can whipsaw performance.
3. Alignment with Ohio’s next economic chapter
   Ohio is benefiting from large-scale investment in manufacturing, EV, defense, and logistics. Those sectors tend to create exactly the kind of middle-income jobs that support a durable Class B renter base.

Our view is simple:

If you believe Ohio will continue to grow as a hub for middle-income, skilled jobs, then thoughtfully underwritten Class B and B+ multifamily, with real income behind the rent, is where you want meaningful exposure.

Project Beacon is the first of those moves. It won’t be the last.

7. Quick FAQs

Is Ohio still an “affordable” rental market?
Relative to national averages, yes, Ohio’s median rent and rent-to-income ratios remain lower than many coastal markets. But statewide, renters now spend about 28% of their income on rent, and that number is rising, so affordability is tighter than headlines suggest. 

Why not focus exclusively on workforce housing if incomes at the bottom are rising?
We still believe in workforce housing, but the data shows lower-income renters remain more cost-burdened and vulnerable. At the same time, middle-income renters now have more earning power and relatively fewer “right-sized” options between aging Class C stock and expensive new Class A. Class B/B+ helps fill that gap. 

What makes Beacon a Class B+ asset instead of Class A?
Beacon benefits from recent renovations, strong location, and solid amenities, but it’s not a brand-new, luxury product with top-of-market finishes and rents. It’s positioned intentionally as “attainable” for middle-income renters, not as a luxury lifestyle product. 

How does this strategy protect investors in a downturn?
Middle-income renters are less likely to trade up to Class A in uncertain times and less likely to fall out of the rental market entirely. That stability, combined with disciplined leverage and operations, is central to our multifamily thesis going forward. 

Sources

• Federal Reserve Bank of St. Louis (FRED) – Real Median Household Income in Ohio (MEHOINUSOHA672N). 
• Ohio Housing Finance Agency – Rental Housing (FY24) – Housing Needs Assessment. 
• HUD / National League of Cities – Definitions of housing affordability and 30% cost-burden benchmark. 
• Data USA & Census Reporter – Akron, OH income and poverty data; ZIP-code-level income profiles (e.g., 44333).
• Colony Hills Capital, TAAS Investments, REEP Equity – Analyses of Class B multifamily as a middle-market asset class with balanced risk and demand from middle-income renters. 
• Harvard Joint Center for Housing Studies / coverage of renter cost burdens via Investopedia.