Texas Market Reports Archives - REBusinessOnline https://rebusinessonline.com/category/market-reports/texas-market-reports/ Commercial Real Estate from Coast to Coast Tue, 19 May 2026 15:25:23 +0000 en-US hourly 1 https://wordpress.org/?v=6.9.4 https://rebusinessonline.com/wp-content/uploads/2020/09/cropped-REBusiness-logo-512px-32x32.png Texas Market Reports Archives - REBusinessOnline https://rebusinessonline.com/category/market-reports/texas-market-reports/ 32 32 The Dawn of Y’all Street: What the Texas Stock Exchange Means for Big D https://rebusinessonline.com/the-dawn-of-yall-street-what-the-texas-stock-exchange-means-for-big-d/ Tue, 19 May 2026 12:08:00 +0000 https://rebusinessonline.com/?p=456740 By Garrett Karam, chief investment officer, EMBREY The Texas Stock Exchange (TXSE) represents the most serious attempt in 55 years to challenge the NYSE-Nasdaq duopoly and signals something that has not happened in generations: New York City’s monopoly on exchange infrastructure now has a credible challenger. As the TXSE prepares to launch in phases through 2026, EMBREY, a San Antonio-based investment and development firm, shares insights on how the exchange could further reinforce Dallas-Fort Worth’s (DFW) emergence as one of the country’s most important financial and economic centers. We also consider the direct implications for long-term economic growth and multifamily demand correlated to the launch of TXSE. Announced in 2024 and approved by the SEC in 2025, the TXSE has already raised more than $270 million from institutions including BlackRock, Citadel Securities, J.P. Morgan, Goldman Sachs, Bank of America and Charles Schwab. The exchange’s pitch to public companies centers around lower listing costs, fewer prescriptive requirements and a governance framework designed for operators. Combined with the state’s broader efforts to position itself as an increasingly attractive destination for business and corporate investment, the TXSE reinforces a larger shift already underway across North Texas. The exchange arrives at a time in…

The post The Dawn of Y’all Street: What the Texas Stock Exchange Means for Big D appeared first on REBusinessOnline.

]]>
Building Bifurcation: A New Framework for Evaluating Industrial Real Estate in Texas https://rebusinessonline.com/building-bifurcation-a-new-framework-for-evaluating-industrial-real-estate-in-texas/ Tue, 05 May 2026 11:49:00 +0000 https://rebusinessonline.com/?p=455032 By Taylor Williams Defined by Gemini as “the division of a system, structure or entity into two distinct branches or parts,” the term “bifurcation” is coming up more frequently in the context of industrial development in Texas — a sort of umbrella term for the process of establishing new subcategories of the property type.  The past seven or so years have constituted one of the most massive industrial building booms in modern history. Like matches and gasoline, Americans’ newfound obsession with e-commerce paired with unimaginably low interest rates for much of that time, sparking an all-out industrial development and leasing mania. Capital flowed into the sector with insatiable appetite, eventually forcing yield-chasers to devise new means of unlocking value within the space lest they cannibalize each other.  Of course, even before e-commerce irrevocably changed the way Americans shop and allowed industrial real estate to ascend as an institutionalized asset class, functional differences were recognized between manufacturing and distribution facilities, or between pure-play industrial and flex buildings. Investors understood the relative differences in how these subcategories of industrial product were built, operated and valued. And in terms of development, at the most basic level, the size of a building has always…

The post Building Bifurcation: A New Framework for Evaluating Industrial Real Estate in Texas appeared first on REBusinessOnline.

]]>
How Service Retail Is Stabilizing Houston’s Shopping Centers https://rebusinessonline.com/how-service-retail-is-stabilizing-houstons-shopping-centers/ Tue, 28 Apr 2026 11:55:00 +0000 https://rebusinessonline.com/?p=454606 By Jason Baker, principal at Baker Katz If you’re only following the national headlines, retail real estate can seem like it’s still defined by store closures and disruption. That’s still part of the story, but on the ground in Houston, the picture is more balanced. Fundamentals remain strong and occupancy remains high across the market. Even as new projects reach completion and new space comes on line, demand continues to keep pace. When space becomes available, it doesn’t sit for long — often with multiple deals competing for a single vacancy. What’s changing is what types of retailers are taking the space. That shift is just as important as the strength of the market. Service-oriented retail, in particular, is emerging as a stabilizing force in Houston. From Goods to Services According to recent data compiled by CoStar Group and analyzed by The Wall Street Journal, for the first time, service-oriented tenants now occupy more retail space nationally than traditional goods-based retailers. In Houston, that trend is clear in leasing activity. A significant share of the leasing activity today is driven by service categories such as health and wellness, medical, med spas, fitness, beauty and pet care. These are the tenants…

The post How Service Retail Is Stabilizing Houston’s Shopping Centers appeared first on REBusinessOnline.

]]>
Texas’ Supply Problem in Medical Office — And Why It Matters More Than Some May Think https://rebusinessonline.com/texas-supply-problem-in-medical-office-and-why-it-matters-more-than-some-may-think/ Tue, 21 Apr 2026 12:06:00 +0000 https://rebusinessonline.com/?p=454392 By Connor Watson, senior vice president, Partners Real Estate For years, the investment narrative around medical office as an asset class has been simple: stable demand, recession-resistant tenants and steady growth driven by the shift to outpatient care. That narrative is still true, but it’s incomplete. What’s shaping the next phase of healthcare real estate isn’t just demand. It’s a growing imbalance on the supply side. And in markets like Texas, that imbalance is becoming even more pronounced. Demand Isn’t the Story Anymore As a trend in healthcare real estate, outpatient migration is well understood at this point. Procedures continue to take place outside of traditional hospitals and within lower-cost settings like medical office buildings and ambulatory surgery centers. In Texas, that demand is amplified due to the following reasons: These economic and demographic trends have resulted in consistent tenant demand, high occupancy across most major markets and strong rates of retention from healthcare providers. But demand alone doesn’t create outsized opportunities; constraints do. The Real Shift: Supply Is Slowing Down New medical office development has quietly pulled back over the past several years. Not because demand isn’t there, but because the economics have changed. That shift is especially visible…

The post Texas’ Supply Problem in Medical Office — And Why It Matters More Than Some May Think appeared first on REBusinessOnline.

]]>
Financial Transparency Becomes More Central to Office Leasing in Texas Markets https://rebusinessonline.com/financial-transparency-becomes-more-central-to-office-leasing-in-texas-markets/ Tue, 14 Apr 2026 11:28:00 +0000 https://rebusinessonline.com/?p=453655 By Taylor Williams The American office market remains awash in change as both tenants and landlords continue to grapple with now-familiar quandaries, from devising ideal hybrid work schedules to rightsizing inventory to putting forth the best mix of amenities, all while negotiating down to the last nickel of rent and last day of term.  There are no right or wrong answers to these dilemmas outside of what works best for a particular company or building. Aside from flight to quality, there are very few common denominators across the spectrum of office usage from the tenant perspective. And aside from certain “must have” amenities and features, from the landlord perspective, there is no one-size-fits-all formula for wooing tenants back into buildings. For Texas cities with growing populations and well-located, obsolete office buildings, there are rarely obvious, cost-effective options for revitalizing or converting those structures. And above all else, there’s not a lot of clarity on the future of office utilization as a whole.   So in the meantime, all that tenants and landlords — and their brokers — can do is try to make the smartest deal possible based on the information they have today. “In today’s market, every deal has…

The post Financial Transparency Becomes More Central to Office Leasing in Texas Markets appeared first on REBusinessOnline.

]]>
InterFace Panel: Oversupply in Austin Industrial Market Is Real, But Complicated https://rebusinessonline.com/interface-panel-oversupply-in-austin-industrial-market-is-real-but-complicated/ Tue, 31 Mar 2026 11:48:00 +0000 https://rebusinessonline.com/?p=453453 AUSTIN, TEXAS — By any objective, outside-looking-in metric, the Austin industrial market is currently overbuilt, but brokers who are on the inside looking out say that the narrative is more nuanced than the numbers suggest.  According to CBRE’s fourth-quarter 2025 market report, the marketwide vacancy rate was 20.4 percent at the end of last year, which represented a 10.9 percent increase from the third quarter of 2025. Approximately 3.4 million square feet of new space was delivered in the fourth quarter as part of 9.5 million square feet of new construction that came on line year-to-date, per CBRE, while fourth-quarter net absorption was less than 500,000 square feet. Qualitatively, the report concluded that the year-end vacancy rate was “an all-time high,” while 2025 was “one of the busiest years for development in market history.” The Austin industrial market has traditionally differed from those of its sprawling Texas counterparts — Dallas-Fort Worth (DFW) and Houston — which have seen numerous massive projects built and absorbed over the past decade. Industrial deals and projects in the state capital have historically trended smaller, though that has changed somewhat in recent years as two tech giants — Tesla and Samsung — have planted massive…

The post InterFace Panel: Oversupply in Austin Industrial Market Is Real, But Complicated appeared first on REBusinessOnline.

]]>
InterFace Panel: Future-Oriented, Suburban Strategies Needed to Crack Austin Retail Market https://rebusinessonline.com/interface-panel-future-oriented-suburban-strategies-needed-to-crack-austin-retail-market/ Tue, 17 Mar 2026 11:55:00 +0000 https://rebusinessonline.com/?p=452408 By Taylor Williams AUSTIN, TEXAS — A successful real estate strategy for both developers and operators looking to penetrate Austin’s airtight retail market must involve both a long-term growth plan and a site selection process that primarily targets suburban areas. Austin’s sizzling pace of population growth has slowed in the past year or two, but the state capital remains highly undersupplied in terms of housing. Land and other development costs have become frightfully expensive within the urban core, and like other Texas markets, Austin is emerging from a multifamily building boom within its urban core and first-ring suburbs. In addition, vacant, quality retail space within those areas of Austin is a rare commodity. Earlier this year, the Austin-American Statesman, citing data from Weitzman, reported that Austin had a marketwide retail vacancy rate of just 3 percent at the end of 2025. And according to a first-quarter 2025 report from Partners Real Estate, Austin’s retail occupancy rate has not dipped below 95 percent at any point in the past decade. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. As such,…

The post InterFace Panel: Future-Oriented, Suburban Strategies Needed to Crack Austin Retail Market appeared first on REBusinessOnline.

]]>
Survey: Texas Fundamentals Bolster Optimism for 2026 https://rebusinessonline.com/survey-texas-fundamentals-bolster-optimism-for-2026/ Tue, 10 Feb 2026 12:47:00 +0000 https://rebusinessonline.com/?p=450005 By Taylor Williams The results of Texas Real Estate Business’ annual reader forecast survey are in, and they paint a somewhat surprising picture of an optimistic business outlook for the new year.  Why surprising? Well, geopolitically speaking, 2026 has already picked up right where 2025 left off. The Trump administration’s capture of Venezuelan president Nicolas Maduro and his wife in early January touched off a fresh source of geopolitical angst. The administration then subsequently ratcheted up its preexisting talk about Greenland becoming part of the United States, including issuing a threat to impose more tariffs on European countries that opposed that plan.  Editor’s note: In mid-November, Texas Real Estate Business sent email invitations to participate in the annual online survey to three separate groups — brokers; developers, owners and managers; and lenders and financial intermediaries. The survey was held open through mid-December. Invitations to participate were also included in the Texas Real Estate Business e-newsletter, as well as through ReBusinessOnline.com. The tariff threat has since been walked back, but it’s hardly an understatement to say that the first month of 2026 has been rocky in terms of geopolitics. And when that happens, it’s anyone’s guess as to just how rattled markets…

The post Survey: Texas Fundamentals Bolster Optimism for 2026 appeared first on REBusinessOnline.

]]>
Texas Retail Owners Lack Incentives To Sell https://rebusinessonline.com/texas-retail-owners-lack-incentives-to-sell/ Tue, 20 Jan 2026 12:50:00 +0000 https://rebusinessonline.com/?p=448618 Editor’s note: (As of the publication of this article, Adam Gottschalk is no longer affiliated with STRIVE) By Taylor Williams The industry adage that “every deal is different” has never been an exaggeration or cop-out excuse for explaining trends and transactions — or lack thereof — in commercial real estate. It’s a simple fact that actually speaks to the nuanced, innovative and challenging structures and processes that permeate dealmaking in this business. The expression is especially applicable to investment sales and particularly convenient to invoke in times of rapidly shifting market and economic conditions. Therefore, a quasi-blanket statement that, all other factors behind held equal, Texas retail owners have minimal reason to sell right now must be evaluated in that context.  As with any large sample size, there will always be multiple exceptions to the rule, and there will always be deals being brought to market as a function of an owner’s unique personal or capital situation(s). But by and large, outside of those scenarios, sources say that Texas retail owners don’t need to force things.  “Unless there’s a life or a capital event — debt coming due or not wanting to add fresh equity to a deal — that…

The post Texas Retail Owners Lack Incentives To Sell appeared first on REBusinessOnline.

]]>
Texas Economic Development Professionals Focus on Quality of Life https://rebusinessonline.com/texas-economic-development-professionals-focus-on-quality-of-life/ Tue, 16 Dec 2025 12:43:00 +0000 https://rebusinessonline.com/?p=445858 By Taylor Williams “Economic development is the process of improving the economic well-being and quality of life for a community or nation through strategies like job creation, infrastructure development and advancements in education and health.” That’s the first sentence of the AI-driven overview that results from a simple Google search of the term “economic development.” And admittedly, that’s a very good start.  Economic development is rooted in economics, a field that embodies the study of business, industry, jobs and wealth. The Google definition also pays tribute to the behind-the-scenes infrastructural work that is required to jumpstart and sustain most business endeavors, particularly regarding commercial real estate. And lastly, it covers what which may be the most important, end-all goal of economic development work: elevated quality of life for the people who live in, work at and patronize those commercial establishments.  It’s that last part of the definition that appears to represent a growing niche and focal point within the spectrum of economic development work in Texas. Quality-of-life initiatives can be manifested in an array ofcommercial settings: housing, entertainment, food-and-beverage, hospitality. And as economic development professionals embrace many different roles — ambassadors of their communities, liaisons with developers and business owners,…

The post Texas Economic Development Professionals Focus on Quality of Life appeared first on REBusinessOnline.

]]>
Dallas-Fort Worth’s Financial Market Drives Office Usage, Design Innovation https://rebusinessonline.com/dallas-fort-worths-financial-market-drives-office-usage-design-innovation/ Tue, 09 Dec 2025 12:48:00 +0000 https://rebusinessonline.com/?p=446512 By Joshua Metzger, studio director, principal, Gensler The Emerging Trends in Real Estate 2026 publication jointly released by PwC and the Urban Land Institute (ULI) found that North Texas benefitted from more than 100 corporate headquarters relocations between 2018 and 2024, drawn by a business-friendly climate, robust infrastructure and a growing talent pool. The launch of the Texas Stock Exchange (TXSE), Nasdaq Texas and the reincorporation of the New York Stock Exchange’s regional office from Chicago to Dallas as NYSE Texas are further cementing the area’s status as a financial powerhouse. JPMorgan Chase, Citigroup, Charles Schwab and Fidelity are among the top employers in North Texas, while Wells Fargo recently opened a new $455 million campus in Las Colinas. All this momentum and more has made Y’all Street — the moniker used to contrast Texas’ growing market to Wall Street — the second-largest financial services market in the country, trailing only New York City. The sublease availability of office space in Dallas has dropped to 3.6 percent of total inventory, signaling strong demand and confidence in the market. The Dallas neighborhoods of Uptown and Turtle Creek are bracing for a surge in development, while suburban mixed-use projects continue to thrive.…

The post Dallas-Fort Worth’s Financial Market Drives Office Usage, Design Innovation appeared first on REBusinessOnline.

]]>
InterFace Panel: Manufacturing Represents Bright Spot in Overbuilt DFW Industrial Market https://rebusinessonline.com/interface-panel-manufacturing-represents-bright-spot-in-overbuilt-dfw-industrial-market/ Tue, 18 Nov 2025 12:49:00 +0000 https://rebusinessonline.com/?p=444439 By Taylor Williams Although the Dallas-Fort Worth (DFW) industrial market is, objectively speaking, currently overbuilt, the recovery and return to healthy dynamics is already taking shape. As that unfolds, manufacturing facilities are having a moment. According to CBRE’s research, between 2021 and 2023 — the height of the post-COVID e-commerce craze that coincided with the last days of historically low interest rates — developers in DFW added nearly 130 million square feet of new industrial product. The supply boom mostly involved warehouse and distribution facilities, and absorption of new deliveries was coming along until this spring, when Liberation Day injected a staggering dose of economic uncertainty into the market. In recent weeks, leasing activity has begun to pick back up. But investors looking to deploy capital into industrial assets see more upside on deals for manufacturing facilities at the moment, whether that means buying existing plants with heavy built-in power sources or targeting distribution buildings that can support manufacturing through light conversions. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. At the annual DFW/North Central Texas Industrial conference that…

The post InterFace Panel: Manufacturing Represents Bright Spot in Overbuilt DFW Industrial Market appeared first on REBusinessOnline.

]]>
How New Texas Laws Aim to Tackle Housing Shortage, Affordability Crisis Through Public-Private Partnerships https://rebusinessonline.com/how-new-texas-laws-aim-to-tackle-housing-shortage-a%ef%ac%80ordability-crisis-through-public-private-partnerships/ Tue, 11 Nov 2025 12:52:00 +0000 https://rebusinessonline.com/?p=443781 By Jamee Jolly, president and CEO, The Real Estate Council With record population growth and a $2.7 trillion economy, Texas faces mounting pressure to expand its housing supply and affordability. New legislation from the 89th legislative session gives developers, cities and investors new tools to build sustainable communities through stronger collaboration between the public and private sectors. From established patterns of corporate relocations, job creation and direct foreign investment to fostering emerging industries like renewable energy, semiconductor manufacturing, aerospace and financial services, Texas has a long history of economic strength, industry diversification and innovation. That track record makes it one of the nation’s premier destinations for both businesses and residents. Last year, according to U.S. Census Bureau data, Texas led the nation in population growth for the 14th consecutive year, adding more than 560,000 people to reach over 31 million statewide. In North Texas, the population in Dallas-Fort Worth (DFW) alone is expected to grow from 8 million to 12 million residents by 2050. While this growth fuels one of the world’s largest economies, it has also created a shortage of more than 320,000 homes and a rising challenge of housing affordability statewide, particularly at the entry-level price point, where…

The post How New Texas Laws Aim to Tackle Housing Shortage, Affordability Crisis Through Public-Private Partnerships appeared first on REBusinessOnline.

]]>
Industrial Design Requirements Shift Following Supply Boom in Major Texas Markets https://rebusinessonline.com/industrial-design-requirements-shift-following-supply-boom-in-major-texas-markets/ Tue, 04 Nov 2025 12:44:00 +0000 https://rebusinessonline.com/?p=443533 Once upon a time, not so long ago, an industrial developer in Texas could pick an appropriately zoned spot on the map, throw up four walls and a roof, slap a few utilities in place and reasonably expect multiple tenants to quickly reach out and express a willingness to pay healthy rent for that space.  That’s a colorful and simplified view of the pinnacle of the post-COVID Texas industrial market, but it’s not a farcical take. Between roughly early 2021 and mid-2023, phrases like “record-breaking,” “gangbusters” and “never seen anything like it,” were routinely used by brokers and owners alike to describe the state of industrial tenant demand.  Combined with cheap debt and available equity, the ferocious need for warehouse, distribution and manufacturing space sparked absorption of older buildings and fresh capitalizations of new projects across all major markets. Tenants needed space yesterday, and supply chain disruptions — for developers and tenants — were simply a cost of doing business. And business was very, very good. Business is still good today. But the development landscape has undoubtedly shifted while the capital markets that govern said landscape have invariably cooled. New development, particularly in terms of equity, is significantly harder to…

The post Industrial Design Requirements Shift Following Supply Boom in Major Texas Markets appeared first on REBusinessOnline.

]]>
InterFace Panel: Rent Growth Opportunities Should Bolster Future Investment Sales in DFW Retail Market https://rebusinessonline.com/interface-panel-rent-growth-opportunities-should-bolster-future-investment-sales-in-dfw-retail-market/ Wed, 29 Oct 2025 11:55:00 +0000 https://rebusinessonline.com/?p=442607 By Taylor Williams DALLAS — As a metroplex, Dallas-Fort Worth (DFW) has the physical sprawl, population density, pace of job growth and volume of housing development to fairly be labeled as one of the biggest consumer markets in the country, on par with New York City and Los Angeles. It’s the extent to which affordability has matured in New York City and Los Angeles that marks the key difference between DFW and the coastal behemoths. Aside from rental housing, no asset class within commercial real estate captures a given market’s affordability better than retail. Retail rents in the most sought-after corridors and districts of New York City and Los Angeles seemingly have no ceiling, and that is reflected in the prices of the products and services that are dispensed from those spaces. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. It’s fair to assume that for most households that have relocated from the coasts to DFW, housing and jobs have been the most decisive factors. Yet retail spending does account for a good chunk of the average family’s disposable…

The post InterFace Panel: Rent Growth Opportunities Should Bolster Future Investment Sales in DFW Retail Market appeared first on REBusinessOnline.

]]>
Untangling Hotel Valuation for Texas Property Taxes https://rebusinessonline.com/untangling-hotel-valuation-for-texas-property-taxes/ Tue, 21 Oct 2025 11:56:00 +0000 https://rebusinessonline.com/?p=441603 By Oliver Gray, Esq., of Gray Winston & Hart Valuing hotels for property taxation is one of the most complex and contested areas in real estate appraisal. And unfortunately for hotel owners, improper assessment is common and costly. Unlike office buildings or warehouses, hotels are not just physical assets — they are operating businesses. This distinction requires appraisers to carefully separate the taxable real estate, which is land and improvements, from the nontaxable business enterprise and intangible assets. Failing to do so risks unlawfully taxing the business itself, a critical concern for Texas hotel owners and property tax professionals. Texas law mandates that assessors appraise property at its fee-simple market value, excluding exempt intangibles and business value. For hotels, this means appraisers cannot simply capitalize the income of the operating business. Rather, they must make adjustments to remove components tied to franchise affiliation, management expertise, brand recognition and other intangibles. The challenge is clear: How can assessors, taxpayers and their appraisers correctly isolate the real property value from the going concern? What follows are several common approaches and their inherent weaknesses, which can skew an assessor’s conclusions or provide bases to challenge inflated assessments. Management Fee Method One widely used —…

The post Untangling Hotel Valuation for Texas Property Taxes appeared first on REBusinessOnline.

]]>
DFW Multifamily Investment Sales Market Turns the Corner https://rebusinessonline.com/dfw-multifamily-investment-sales-market-turns-the-corner/ Tue, 14 Oct 2025 11:44:00 +0000 https://rebusinessonline.com/?p=440948 By Taylor Williams Dallas-Fort Worth (DFW) is a multifamily powerhouse, and after nearly three years of elevated interest rates, massive volumes of new deliveries and stagnated trading activity, the metroplex’s investment sales market may soon be showcasing that alpha status once again.  Of course, that sentiment was prevalent at the very beginning of the year too. Optimism for lower interest rates and pro-growth policies understandably accompanied the arrival of the second Trump administration. Local factors, such as the peaking of the wave of new supply and the ever-steady flow of jobs and people into the metroplex, augmented that sentiment such that many multifamily lenders and investors entered 2025 with considerably more ebullience following a couple of rough years in 2023 and 2024.  “Coming out of the gates, things felt pretty good, but a lot of this year’s volatility was based on [interest] rate movement, which was primarily based on geopolitical issues,” says Drew Kile, executive managing director of investments at Institutional Property Advisors (IPA), a division of Marcus & Millichap. “Had rates come down methodically more like the last two months, there would have been less of an impact. It’s hard for buyers to make decisions when rates are whipsawing…

The post DFW Multifamily Investment Sales Market Turns the Corner appeared first on REBusinessOnline.

]]>
InterFace Panel: Austin Multifamily Architects, Builders Respond to Development Cost Pressures, Sluggish Leasing https://rebusinessonline.com/interface-panel-austin-multifamily-architects-builders-respond-to-development-cost-pressures-sluggish-leasing/ Thu, 09 Oct 2025 11:44:00 +0000 https://rebusinessonline.com/?p=441239 By Taylor Williams It’s a tough time in the Austin multifamily market, and architects and general contractors (GCs) are being asked to do their part to minimize the financial distresses of their developer clients and to facilitate the work of the agencies that lease the buildings they design and build. The state capital is on the back nine — it’s tough to say which hole precisely — of an apartment building frenzy that materialized in the immediate post-COVID era. Times were starkly different then in terms of costs of capital and trended rent projections, and developers and their capital partners made hay while there was light. Project partners on developments that were delivered in the past 12 to 18 months as part of the building boom may not have felt as acutely pressured to design for efficiency. But those working on new projects today do not have that luxury and are being asked to think and design with cost savings in mind. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. One could argue that developing multifamily product with financial…

The post InterFace Panel: Austin Multifamily Architects, Builders Respond to Development Cost Pressures, Sluggish Leasing appeared first on REBusinessOnline.

]]>
Multifamily at a Crossroads: Why Now May Be the Time to Invest in Texas https://rebusinessonline.com/multifamily-at-a-crossroads-why-now-may-be-the-time-to-invest-in-texas/ Tue, 07 Oct 2025 11:49:00 +0000 https://rebusinessonline.com/?p=440921 By Mitch Faccio, senior vice president, MLG Capital Texas’ multifamily market is at a unique inflection point. After several years of historic levels of new construction and softening fundamentals, conditions are shifting in ways that may benefit current owners and new investors. Slowing development, sustained population growth and the widening affordability gap between renting and owning are creating conditions that seem to favor existing assets. A Market Reset After Record Construction Over the last several years, multifamily development surged in Texas. Dallas-Fort Worth, Houston, San Antonio and other metros all experienced a wave of new supply that outpaced demand. By 2023 and 2024, this boom in development had led to softer occupancies, higher concessions and flat or even declining rents. Net operating income (NOI) growth slowed as the market absorbed this record wave of deliveries, according to data from CoStar Group and RealPage. Now, that dynamic seems to be shifting. Construction costs have risen faster than achievable rents, making new developments financially difficult to justify, according to data from RealPage and the 2024 Turner Construction Index. In fact, multifamily starts in many Texas metros are down significantly from recent peaks. As a result, many planned projects have stalled, and the supply…

The post Multifamily at a Crossroads: Why Now May Be the Time to Invest in Texas appeared first on REBusinessOnline.

]]>
InterFace Panel: Houston Retail, Mixed-Use Developers Face All Manner of Barriers to Supply Growth https://rebusinessonline.com/interface-panel-houston-retail-mixed-use-developers-face-all-manner-of-barriers-to-supply-growth/ Tue, 30 Sep 2025 11:50:00 +0000 https://rebusinessonline.com/?p=440415 Executing ground-up development for pure-play retail space — or retail product in mixed-use settings — in Houston is immensely challenging these days for a variety of reasons. This is in spite of the fact that the city has the underlying job and housing growth needed to justify a greater inventory of retail product. While all retail developers in Houston face similar headwinds in terms of costs of capital and construction materials/labor, as well as elevated tenant improvement (TI) costs and hefty required return thresholds from investors, it’s difficult to single out any one of those factors as most responsible for the dearth of new retail development. Some issues will be felt more acutely in some submarkets than others. Certain companies may have better connections and capital situations such that they can circumvent some of the uncontrollables. But no matter the combination of barrier-to-entry factors, the net result is the same: a market that cannot adequately supply retail product to meet demand. Editor’s note: InterFace Conference Group, a division of France Media Inc., produces networking and educational conferences for commercial real estate executives. To sign up for email announcements about specific events, visit www.interfaceconferencegroup.com/subscribe. At the annual InterFace Houston Retail & Mixed-Use conference that…

The post InterFace Panel: Houston Retail, Mixed-Use Developers Face All Manner of Barriers to Supply Growth appeared first on REBusinessOnline.

]]>