Residential rental rates in the Northwest Austin market continue to grow at a faster pace than the city as a whole, data shows.

From January to June, rental rates in the Austin area rose 1.9 percent; however Northwest Austin saw 2.7 percent increase in that time. ZIP code 78758, which includes The Domain, accounts for 41 percent of the area’s development growth, according to data from Apartment Data Services.

The Domain area is not the only area seeing consistent growth: Since 2011 the entire region has grown 5 percent regardless if properties are new or old, according to data from Capital Market Research.

Home to a total of 148 apartment communities, Northwest Austin has grown by 5,719 units in the past five years. The Northwest Austin ZIP code that experienced the second-highest development growth is 78727, which encompasses Parmer Lane.

Even with the surge in development in 78758, its occupancy rate is 94.9 percent, which is slightly higher than Austin’s 93.9 percent. The Northwest Austin region’s occupancy rate lies just below Austin’s at 92.8 percent. ADS sales executive Cindy Bewley said statistics show the region has great demand for renting.

Overall the area has become 28 cents more expensive per square foot since 2012 when the average rent was $1.07 per square foot. It now costs $1.35 per square foot.

Although Northwest Austin has seen a larger increase in multifamily rental growth, its statistics do not differ much from other markets, such as Round Rock or Georgetown, according to Bewley. However, development at The Domain continues to drive the area’s multifamily market growth, she said.

“There’s just so much explosive growth because it’s the alternative to downtown,” Bewley said. “It’s more affordable and offers more garden-style-type properties rather than high-rises. It’s just less expensive to build in The Domain area than downtown.”

Briana Chandler, a 78729 resident, has lived in the Northwest Austin area for the past four years. She said she was originally drawn north because of her work location but now enjoys the development of The Domain.

“We go to The Domain all the time now,” she said. “We still go downtown, but a lot of the time it’s nice to be like, ‘I don’t feel like going downtown [to] try to beat the crowds or pay for a rideshare’ and have somewhere close to go to.”

Since 2009, the 78726 ZIP code has offered the cheapest apartments in Northwest Austin. Although the area also continues to see a rise in costs—about a 5.4 percent annual growth trend—it costs 22 cents per square foot less than the average rate of the area.

Bewley attributes 78726’s affordability to the number of older properties in the area. Of the 12 apartment communities in the area, 10 were built before 2006.

“Residents also deal with a lot of traffic issues,” Bewley said. “Property managers in the area will say getting in and out of an apartment community is difficult.”