Texas

HOUSTON — HFF has secured the sale of a 13-property, 1 million-square-foot industrial portfolio located in the Greater Houston area. The portfolio is 98 percent occupied by 46 tenants. The properties include 12603 and 12613 Executive in Stafford; 505 and 525 Julie Rivers Road and 12505 Reed Road in Sugar Land; 4000 Greenbriar, 1240-1270 Silber, 7215 Wynnwood, 7240 Wynnpark, 8280 and 8270 Willow Place North, 13161-13175 Misty Willow Drive and 9305-9323 Millsview Road in Houston. Rusty Tamlyn and Trent Agnew of HFF represented the seller, DCT Industrial Trust, in the transaction. The buyer was Mayfield Properties.

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Currently, the Houston multifamily market is in the best shape that we’ve seen in a long time. For example, rents are increasing across the board, particularly in Class A properties. In addition, occupancy is at its highest point in years. We’re still trying to backfill supply into a market that has seen historically low deliveries over the last three years, and Houston is creating serious demand for new units. We use the rule of thumb that for every six or seven new jobs created, there is demand for one new apartment. Thus, Houston has added more than 90,000 jobs in the last 12 months, which tells us that we need to add 12-15,000 units annually just to keep up with current demand. So, all in all, Houston’s multifamily market is healthy right now. There are a variety of trends impacting the multifamily market in Houston. For example, tightening occupancy and low supply are driving concessions out of both urban and suburban markets. We will see increased supply in the next 18 months, but we will be lucky to build enough product to meet demand during that time. Development capital is available for quality infill sites, but investors are still being …

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HOUSTON — Construction is under way on The Sovereign, a 21-story, 290-unit multifamily development located on the old Allen House Apartments site off Allen Parkway in Houston. The development is the first phase of Regent Square, a mixed-use development. Ziegler Cooper Architects designed The Sovereign to achieve LEED Silver certification with an efficient HVAC system, pedestrian-oriented street design, bicycle parking, usage of condenser water for irrigation, green and reflective roofs, low-energy glass, electric car charging stations, trash chutes and a cardboard bundler. Amenities will include a clubhouse, fitness center, yoga room, demonstration kitchen, private dining rooms, screening room, game lounge, bar/sports lounge, resident herb and vegetable garden, Zen garden, pet spa, massage room, library, cyber lounge and a business center. The development will be reimbursed for improvements to the public infrastructure through a development agreement from the City of Houston and Tax Increment Zone 5. The Sovereign is slated for a March 2014 completion.

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GRAND PRAIRIE — Colliers International North Texas has brokered the sale of the six-story, 98,928-square-foot National Health Building, located at 1901 N. State Highway 360 in Grand Prairie. Tenants of the property include the National Transportation Security Administration, National Health Corp. and FYI Television. Creighton Stark and Ben Lurie of Colliers International represented the seller, AIC Ventures, in the transaction. The buyer was Capital Commercial Investments.

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HARRAH, SHAWNEE AND OKLAHOMA CITY, OKLA. — Boston Capital has invested in the construction of three affordable housing developments in Oklahoma. The properties include the 29-unit Cedar Hollow in Harrah, the 32-unit Cottage Park-Shawnee in Shawnee and the 44-unit Cross Creek Landing in Oklahoma City. The developments will be built with tax credit equity from the Low Income Housing Tax Credit program. Oklahoma City-based The Carland Group partnered with Boston Capital on the construction investment, which is expected to generate $10.2 million in local income and create approximately 155 jobs.

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