Victoria rental market remains tight

VICTORIA – A tight Victoria rental market has some renters facing obstacles. One oil-field worker said it’s all related to the ongoing boom.

Harold Hunt, a research economist with The Real Estate Center at Texas A&M University, associated Victoria’s rental demand with the living standards of those in oil and gas.

 "From my perspective, what Victoria’s selling is quality of life compared to the smaller towns," he said, noting the latter don’t offer the restaurants, parks, retail options and more that Victoria has.

Hunt looked up April numbers put out by Apartment Market Data Research Services and said it was the price discrepancies between Victoria’s existing apartments and newer ones that caught his eye.

While one-bedroom units built in the 1970s average 78 cents per sf and those from the 1980s average 86 cents, for instance, those built in the 2010s ring in at much more — $1.38.

Lynn Oliver, president of the Victoria Apartment Association, said that the rate discrepancy is due to heftier costs newer complexes face during construction, cost of land and development, code requirements and the like.

Victoria’s market sat at a near frenzy last year explaining that, at this point in 2012, many landlords were still upping their street rates, according to Nancy Garner, president of Woolson Real Estate. Prices have stabilized, however, and even if renters are seeing increases, their rates might not be anywhere near market price.

While The Reserve is going in off Zac Lentz Parkway, two others — Latigo Crossing and The Colony Apartments — are going in off John Stockbauer Drive. Combined, the three projects will bring an added 456 units to Victoria.