Niche Markets: Covering the Bases

The private firms that operate about 95 percent of the housing on the nation’s military installations face a paradox. Under the Department of Defense’s two-decade-old privatization initiative, those operators are investing in upgrades and offering attractive amenity packages tailored to the military families that comprise the vast majority of residents on base. Moreover, on-base housing tends to offer rents that are competitive and often discounted significantly over off-base counterparts.

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