While rumors of a looming recession dot the mainstream media landscape and pervade conversations at bars and water coolers, Dallas-Fort Worth (DFW) and Austin are humming along with the kind of healthy job growth that reduces that talk to little more than a whisper.
Growth in office-using sectors like tech, finance, engineering and business services in both the state’s capital and largest metropolis continues to fuel demand for space, push rents to new levels and drive price appreciation …
With the major markets of Texas adding thousands of new apartments every year, multifamily management firms are increasingly relying on technology to accelerate leasing activity, grow renewal rates and handle requests from tenants — all in the name of keeping their properties competitive and their investor clients happy.
As beneficiaries of strong job and population growth throughout this cycle, Dallas-Fort Worth (DFW), Houston and Austin have all watched their multifamily supply levels …
Between 2014 and 2016, the Houston multifamily market struggled with an issue of oversupply as a result of accelerated apartment construction. When Hurricane Harvey hit in 2017, Houston residents displaced by the storm produced a surge in apartment demand that helped fill thousands of empty units over the ensuing 12 months.
Fast forward to 2019, and two key factors are keeping a strong apartment pipeline flowing and forcing developers to play catch-up: new residents and more jobs. Over the …
Elevated consumer spending tied to a strong job market in the greater Houston area is driving retail investment and tenant demand in suburban and urban submarkets alike. As a result, it’s one of the nation’s top MSAs for retail development, with more than 3 million-plus square feet under construction market-wide.
From an investment perspective, single-tenant and ground-leased assets remain favorable with investors. E-commerce-resistant tenants like fitness, restaurants, automotive service …
As we enter the fourth quarter, Houston’s office market remains sluggish due primarily to uncertainty in the energy industry.
With the price of West Texas Intermediate crude fluctuating between $45 and $60 per barrel, the market has seen minimal oil company expansions. With the pricing outlook remaining on a bleak to flat trajectory, little growth in office occupancy is expected in the next 18 to 24 months.
The cycle favors tenants, now and for the foreseeable future. Should energy …
All the recent talk in the Houston industrial market has focused on the amount of distribution space that is under construction or proposed for development. As a result, many industrial real estate professionals are worried about certain submarkets becoming overbuilt.
This is a reasonable thought, given that Houston has more distribution space under construction than ever before — roughly 18 million square feet is under construction citywide, compared to the previous high in 2015 of 15 …
Office buildings that have been newly constructed or recently rehabilitated are fielding the greatest demand from large companies, which are banking on the idea that lifestyle-enriching amenities and a vibrant surrounding neighborhood create advantages in attracting and retaining talent.
According to the Bureau of Labor Statistics, during the 12-month period ending in July, the four major office markets of Texas added more than 200,000 new jobs combined. The state’s unemployment rate was …
The unprecedented job and population growth that Dallas-Fort Worth (DFW) has experienced during this cycle has brought a plethora of new buyers to the Class B multifamily space, and the simple economics of high demand and low supply are re-shaping the landscape of the investment market.
According to CoStar Group, the average price per unit in the Class B space has increased by 4.3 percent year-to-date, and deal volume on sales of Class B assets is down from 2017. These trends attest to the …
In both Austin and San Antonio, consistent job creation and in-migration contributed to solid household formation and rental demand over the 12-month period ending in June. Many of these new households comprise younger professionals that favor the renter lifestyle.
Following stretches of rampant construction, solid apartment demand from this demographic was met with fewer project deliveries in both markets over the past year. The decline in supply additions, coupled with strong absorption, …
The phenomenal growth taking place in Austin and San Antonio has shown little sign of slowing over the past several years. These two mid-size Texas cities are developing quickly and continue to undergo rapid change. Both are ranked in the top 10 fastest-growing metro areas in the country and both have unemployment levels at near-record lows.
Tenant Profiles
The industries driving the economy in these two central Texas cities are quite different. Each has strong tourism sectors, but that is …
