| RECON for October 16, 2018 | RECON for October 16, 2018 | | | 2018-10-16T05:00:00Z | 2018-10-16T05:00:00Z |
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| What's the tea? Texas' crude oil production is projected to grow by 68,000 barrels a day next month, said the Department of Energy. Get the details on this story and more in today's RECON. (Photo from Center files.) |
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REC: Texas-Mexico border economy healthy |
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COLLEGE STATION (Real Estate Center) – Low unemployment levels and steady nonresidential construction in August indicated a healthy border economy, according to the Real Estate Center.
The lack of wage growth, however, revealed additional slack in the labor market.
Despite stagnant wages and slower job growth, housing demand was strong, albeit in the lower price ranges.
Border housing sales dipped 2 percent in August after reaching record levels in July but maintained an upward trend. El Paso sales through Multiple Listing Services (MLS) held at an all-time high of 732, accounting for more than half of total border activity. Sales flattened in Laredo and contracted 6.8 percent year to date in McAllen. In Brownsville, sales dropped 7.6 percent in August but have trended upward since the start of the year as activity strengthened in the $300,000-$400,000 range.
Trade values balanced around record highs, and the outlook improved following the announcement of the U.S.-Mexico-Canada Trade Agreement. The unofficial pact calms concerns of supply-chain disruptions and overall operating uncertainty.
For more, read the latest Texas Border Economy report by Center Chief Economist Dr. Jim Gaines, Research Economist Dr. Luis Torres, Research Associate Wesley Miller, and Research Intern Paige Woodson.
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| New Real Estate Center research shows Texans pay less than the national average for goods and services, although price differences vary among Texas' 25 Metropolitan Statistical Areas. Rising housing rents are eroding the price differential between Texas and the rest of the country. For more, check out "A Fistful of Texas Dollars," a Tierra Grande digital first by Center Research Economist Dr. Ali Anari. |
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Get your kettle ready: 'Texas tea' production predicted to grow |
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HOUSTON (Houston Chronicle) – Texas' crude oil production is projected to grow by 68,000 barrels a day next month, said the Department of Energy.
That growth will be led by the Permian Basin, which increased production faster than expected this month. It is projected to grow by nearly 40,000 barrels more than previously estimated.
By the end of the month, the Permian is expected to produce nearly 3.5 million barrels a day. The Energy Department expects the shale's production to grow by an additional 53,000 barrels a day in November.
Three major projects with a total crude capacity of more than two million barrels a day are under construction from West Texas to the Gulf Coast markets and export hubs. Completion is expected by early 2020.
Estimates of oil production in South Texas' Eagle Ford Shale for October were revised down by more than 25,000 barrels a day to 1.42 million. Oil production is expected to grow by 15,000 barrels a day in November.
Drilled but uncompleted wells continue to increase across Texas. The Permian added 194 such wells from August to September, increasing the total number to 3,722. The Eagle Ford added 18 to its inventory, which totals 1,584 wells.
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Three Texas metros among best places to retire |
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WASHINGTON (U.S. News and World Report) – Three major Texas metros have landed on U.S. News and World Report's list of the best places to retire in America.
Austin ranked fourth with a 5.6 healthcare score, 6.0 housing affordability score, and a 7.2 overall score.
San Antonio (5.4 healthcare, 7.0 housing affordability, 7.0 overall) and Dallas-Fort Worth (6.4 healthcare, 6.4 housing affordability, 7.0 overall) ranked eighth and ninth, respectively.
The rest of the top ten rankings are:
- No. 1 Lancaster, Penn.;
- No. 3 Fort Myers, Fla.;
- No. 3 Sarasota, Fla;
- No. 5 Pittsburgh;
- No. 6 Grand Rapids, Mich.;
- No. 7 Nashville, Tenn.; and
- No. 10 Lakeland, Fla.
El Paso followed closely behind, ranking 11th with a 7.0 overall score, 7.9 housing affordability score, and 4.7 in healthcare.
To identify the best places to retire, U.S. News analyzed data for the 100 largest metropolitan areas. Top criteria include the happiness of local residents, housing affordability, tax rates, and healthcare quality.
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 Hungry for more Texas real estate news? Then feast your eyes on NewsTalk Texas, our online news database. Here are a few of the stories you'll find there this week:
NewsTalk Texas is updated each weekday, throughout the day.
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Marcus & Millichap: Houston industrial 2018 second half forecast |
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HOUSTON (Marcus & Millichap) – Following the creation of 53,000 jobs in 2017, local industrial employment is up 3.9 percent, and 120,000 jobs are forecast to be created this year.
Construction was headlined by a one million-sf Amazon distribution center. Deliveries will reach their highest level of the current cycle this year, surpassing last year’s total by more than five million sf.
Marcus & Millichap expects the vacancy rate will rise to 5.3 percent this year as the net absorption of nearly 12 million sf trails deliveries, erasing the 20-basis-point decline posted in 2017.
Rent growth will return to positive territory after registering a 1.9 percent reduction last year, climbing to $6.74 per sf, a 1.5 percent increase.
On the investment side, the Southeast Corridor submarket has outperformed other areas in terms of rent growth, posting a double-digit increase over the past year, and boosting investor interest this year.
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 Obtaining a Texas Real Estate License is the most complete guide found anywhere to obtaining a Texas real estate salesperson's license. Everything from what activities require a license to actual application forms. This report has been reviewed by the Texas Real Estate Commission.
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Frisco Station ramps up construction |
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FRISCO (Dallas Morning News) – Hillwood and VanTrust have started construction on the second office building in the $1.5 billion Frisco Station development.
The seven-story facility is part of a five-building office complex that will eventually total more than five million sf. Construction is expected to take 12 months.
Construction is also underway on two apartment projects and two hotels in Frisco Station. The 242-acre mixed-use project is part of the city's $5 billion mile and wraps around the Dallas Cowboys' new headquarters complex.
The Rudman Family Partnership owns the land along Warren Pkwy. just west of the Dallas North Tollway. Three years ago, the fields were known for producing some of the finest hay in the area.
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| Did you know you can get notified every time one of our new economic reports is released? Check out our email notification feature to get the latest economic data sent directly to your email inbox for free. |
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300K-sf Enclave Place struck oil provider as tenant |
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HOUSTON (Houston Business Journal) – A major oil field services provider has signed a 17-year lease at the 300,000-sf Enclave Place building at 1414 Enclave Pkwy.
The 11-story, Class A office building is on 4.7 acres in the Enclave Business Park within the Energy Corridor.
Atlanta-based Piedmont Office Realty Trust Inc. is the owner.
Enclave Place broke ground in spring 2014 and was completed in 2015. The oil provider is its first tenant.
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Arrimus acquires 472-bed student apartment complex |
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SAN ANTONIO (Connect Media) – California-based Arrimus Capital has acquired the Prado student-housing complex.
The 472-bed apartment at 7114 UTSA Blvd. is adjacent to the University of Texas at San Antonio and features an on-site coffee house.
The property was sold by Fountain Residential Partners.
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Regional center coasts into Pearland's Lower Kirby District |
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PEARLAND (Pearland Economic Development Corp.) – Endress+Hauser has chosen a site in the Lower Kirby District for its 100,000-sf Gulf Coast Regional Center.
The facility will be on 17 acres at the southeast corner of Beltway 8 and Kirby Dr. It includes an area for calibration and repair and office and training space. Approximately 110 employees will work there.
The Lower Kirby District is a 1,200-acre mixed-use development on S. Beltway 8 and SH 288. It is home to office, retail, commercial, and industrial projects.
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 In a series of four videos, the Real Estate Center at Texas A&M University explores what it takes to be an effective communicator. The presenter is Mays Business School Executive Professor John Krajicek.
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Coppell office project in the works |
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COPPELL (Cawley Partners) – Cawley Partners is planning The Braun on Belt Line, a three-phase office park on the northeast corner of South Belt Line and Hackberry Roads, just north of I-635.
The first phase will be a four-story, 168,000-sf office building.
Designed by Gensler, the property will also have a fitness center, a conference center, and a ground-floor exterior patio lounge.
Delivery is set for third quarter 2020.
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Z Mod. gives nod, 250 jobs to Killeen |
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KILLEEN (KWTX TV) – Z Modular has purchased a 230,000-sf building at 710 Swanner Loop in the Killeen Industrial Park.
The company, which manufactures steel-framed building modules, expects to hire 250 highly skilled workers at the facility within three years.
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| https://www.recenter.tamu.edu/news/recon/?Item=217 |
| RECON for October 12, 2018 | RECON for October 12, 2018 | Bryan Pope | Pope
| 2018-10-12T05:00:00Z | 2018-10-12T05:00:00Z |
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| Students from Instructional Assistant Professor Hannele Rubin's (far right) special topics in journalism class at Texas A&M University's college of liberal arts visited with the Real Estate Center for a tour and to learn about Hurricane Harvey's impact on Houston real estate. (Photo by Center Photographer JP Beato.) |
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Real Estate Center releases new Texas Home Price Index |
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COLLEGE STATION (Real Estate Center) – Texans have a reliable way to track home price appreciation with the Real Estate Center at Texas A&M University’s new Texas Home Price Index (THPI).
Made possible through a research agreement with the Texas Association of Realtors, the free index tracks real home price appreciation in the state’s four big metros and a handful of mid-sized ones. In addition, it provides indexes by price tier for some of the larger Texas markets.
The THPI uses repeats sales analysis, which measures the change in sales price from multiple sales of the same house. It uses real sales data collected from an improved and expanded database.
“Repeat sales analysis takes another step to isolate true home price appreciation,” said Center Senior Data Analyst Joshua Roberson. “Ideally, the analysis includes only homes that have had no or minimal physical changes to focus on market-driven price appreciation.”
This method has a number of advantages over other types of analysis. First, home sales are screened to identify properties that have sold at least twice, helping with the issue of changing market mix from period to period.
Second, looking at properties that have sold multiple times shifts the focus to the change in price since the last sale of a specific property. This helps capture appreciation.
While a handful of other repeat sales analyses are available, the Center’s index is unique because it not limited by mortgage data or public housing records.
Coverage includes quarterly indexes for Austin-Round Rock, Dallas-Fort Worth-Arlington, Houston-The Woodlands-Sugar Land, and San Antonio-New Braunfels as well as Amarillo and El Paso. Variations of DFW include Dallas-Plano-Irving and Fort Worth-Arlington metropolitan divisions.
The index is available for free on our website.
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Keep your eye on DFW next year |
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DALLAS (Dallas Business Journal) – With a relatively low cost of living and population growth projections double those of other U.S. cities, Dallas-Fort Worth has been named the top real estate market to watch in 2019.
The Emerging Trends in Real Estate for 2019 report from PricewaterhouseCoopers and the Urban Land Institute ranked the Metroplex as the number one market out of 78 cities for overall real estate prospects in 2019.
The low cost of living, low cost of doing business, and tax efficiency continue to draw people to North Texas. The area’s population growth rate is projected to be more than two times the national average in 2019. That growth is skewed toward people aged 40 and younger.
But as the Metroplex's population grows, affordable housing is becoming more of an issue. Although affordable single-family homes are a contributor to DFW’s success, there aren’t enough of them, according to the report.
The report says focus group respondents in the Dallas area pointed to an increasingly prevalent “not in my backyard” mentality as the reason for the slowdown in available workforce housing. Developers are often met with a “you’re not building that thing near me” attitude, which tends to add hurdles like cost and time, he said. This contributes to supply-demand inequality.
However, North Texas has a diverse and stable employment base thanks to the wide spectrum of industries represented in the area. The report indicates that the market is expected to have high growth and low volatility when it comes to employment in 2019.
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| What are six things to watch for in Texas real estate this week? Get an inside look at the Center research team's latest roundtable meeting in our latest Mixed-Use blog. |
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The 312-acre Titan of industrial parks |
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SCHERTZ (San Antonio Business Journal) – Albuquerque-based Titan Development has announced plans for 312-acre industrial park, Titan Industrial Park: North.
The park just west of Doerr Ln. will accommodate seven Class A buildings of more than 1 million sf with space for up to 4.5 million sf.
The site will undergo infrastructure improvements, starting with a $4 million phase one improvement. The improvements will make the site shovel-ready within the next few months.
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885K-sf retail portfolio sold in Dallas, Houston |
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McKINNEY, MISSOURI CITY, AND LEAGUE CITY (REBusiness Online) – CBRE has negotiated the sale of a three-property retail portfolio located on the outskirts of Dallas and Houston.
Combined, McKinney Towne Crossing in metro Dallas, and Riverstone Shopping Center and Victory Lakes Town Center in metro Houston, feature more than 885,000 sf of Class A retail space.
CBRE represented the seller, Chicago-based InvenTrust Properties, in the transaction
The portfolio was 94 percent leased at the time of sale
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In this week's Red Zone podcast, we discuss some points taken from the Center research staff's latest roundtable meeting. Plus, we head to Conroe, Kaufman County, and Smith County for some real estate news. Take a listen. (11 min. 30 sec.) |
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DFW sees largest annual home sales drop since 2011 |
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DALLAS (Dallas Morning News) – Local preowned home sales fell 7 percent last month from September 2017.
That was the biggest year-over-year sales decline since early 2011, according to data from the Real Estate Center at Texas A&M University and North Texas Real Estate Information Systems.
Home sales have been down in three of the last four months, in part due to higher mortgage costs and years of rising home prices.
Mortgage rates on average are currently about 4.7 percent—the highest level in seven years—and are expected to go higher in 2019.
"If they go up to 5.5 percent by the end of next year, is that going to be the end of the world? No," said Real Estate Center Chief Economist Dr. Jim Gaines. "But it is affecting buyer psychology."
With September's sales decline, preowned home sales year to date are even with the same period of 2017.
"We think things are going to be flat," Gaines said.
A record of more than 106,000 homes sold in the area last year.
The DFW housing market has cooled significantly since early in the year when sales were still up by double-digit percentage rates from 2017 levels.
Home price growth has also slowed, rising by 4 percent over the year to $251,000. For the first nine months of 2018, prices are up 5 percent from the same period last year.
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Looking for more real estate news? Our NewsTalk Texas feed has all the latest headlines. Here's a sample:
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McAllen industrial vacancy rate hits historic low |
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McALLEN (CBRE) – Following a soft previous quarter, third quarter 2018 returned to positive absorption territory with 246,642 sf of net absorption in the industrial market.
The market-wide vacancy rate declined to 2.8 percent, a new record low. Class A and B vacancy rates also hit record lows, falling to 2.4 percent and 2.8 percent, respectively.
Average asking rates dipped compared with last quarter as Class C has continued to make up a larger portion of market availability. At the close of the third quarter, 50 percent of all available space in the market was Class C.
The quarter closed with users seeking 1.3 million sf of space. This is only 546,000 sf less than total available sf and almost double the total vacant sf in the market.
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CPS Energy to capture everything under the sun |
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SAN ANTONIO (Energy Manager Today) – CPS Energy recently broke ground on a solar energy and battery storage project at 9800 W. Commerce St.
Southwest Research Institute is providing nearly 50 acres for the $16.3 million project.
The site will consist of a five-megawatt (MW) solar power facility and a ten-MW battery storage system. An existing building will be developed into an educational facility for students and the public to tour.
Delivery is set for summer 2019.
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 Market Research is your gateway to data on all 25 Texas metropolitan statistical areas, from Abilene to Wichita Falls. Whether you're looking for information on an area's demographics, top employers, or housing and commercial markets, chances are you'll find it here.
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Vacant Houston office gets new owner |
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HOUSTON (REBusiness Online) – Fort Worth-based 111 Realty OPO LLC has sold a vacant 151,000-sf office property at 6001 Rogerdale Rd.
The two-story building has served as a single-tenant corporate campus since it was built in 2008. Amenities include a café and break rooms.
JLL represented the seller. St. Louis-based Axiom Advisory Group represented the buyer.
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Lake Austin won't break the Camelback |
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LAKE AUSTIN (Austin Business Journal) – The Austin Zoning and Platting Commission approved the rezoning of 144 acres west of Pennybacker Bridge for a mixed-use development.
Plans for the new Camelback development include 25 single-family homes, 40 condos, a 19,400-sf restaurant, a private clubhouse, and 300,000 sf of office space.
Private developer Jonathan Coon will develop the project.
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| If not, click here to head to our website, where you can fill out this simple form for free. Once you do, the biggest headlines in Texas real estate will come straight to your inbox twice a week. Oh, and did we mention it's free? |
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On the shopping list: 99 percent leased retail center |
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SAN ANTONIO (REBusiness Online) – Los Angeles-based RPD Catalyst LLC has sold Pavilions North Shopping Center, a 165,993-sf retail property at 25 NE I-410 Loop.
Anchored by Conn’s Home Plus, Jo-Ann Fabrics, Sam Ash, and K&G Fashion, the center was 99 percent leased at the time of sale.
The buyer was an out-of-state private investor.
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Temple sale complete at the Retreat |
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TEMPLE (REBusiness Online) – San Diego-based CEG Multifamily LLC has sold Retreat at Western Hills, a 224-unit multifamily community at 601 Twin Oaks Dr.
The property offers one, two-, and three-bedroom units and features a pool, fitness center, clothing care center, and clubhouse.
Prasiti Asset Manager bought the asset.
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| https://www.recenter.tamu.edu/news/recon/?Item=216 |
| RECON for October 9, 2018 | RECON for October 9, 2018 | | | 2018-10-09T05:00:00Z | 2018-10-09T05:00:00Z |
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| Go Bearkats! Sam Houston State University's proposed College of Osteopathic Medicine now has a home in Conroe. Keep reading today's RECON for this and more. (Rendering from Grand Central Park.) |
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DFW home sales see largest drop since 2011 |
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DALLAS (Dallas Morning News) – North Texas home sales dropped 7 percent in September, the biggest year-over-year sales decline since early 2011, according to data from the Real Estate Center at Texas A&M University and North Texas Real Estate Information Systems.
Area home sales have been down in three of the last four months. In September, local agents sold 8,260 homes.
Higher mortgage costs and years of rising home prices have caused some buyers to hesitate, reports the Dallas Morning News.
The median price rose 4 percent to $251,000. Average mortgage rates are currently at 4.7 percent, the highest level in seven years. There are no signs of the growth stopping.
"If it goes up to 5.5 percent by the end of next year, is that going to be the end of the world? No," said Center Chief Economist Dr. James Gaines. "But it is affecting buyer psychology."
With September's sales decline, preowned home sales in North Texas are now flat with the same period of 2017. A record of over 106,000 homes were sold last year.
"We think things are going to be flat," said Gaines.
It took an average of 44 days for a home to sell, up 5 percent over the year. Pending sales are down 6 percent to 8,347.
With sales declining, the number of preowned homes on the market in DFW is 25,895, up 16 percent over the year.
There is currently a three-month supply of homes available for purchase. The Real Estate Center considers a six- to 6.5-month supply a balanced market.
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| The Real Estate Center’s research staff held its monthly roundtable meeting yesterday, focusing largely on employment and housing. Here are six takeaways. - The job growth rate is rapidly increasing in Texas’ micropolitan cities (those with populations between 10,000 and 50,000 and that are outside a Metropolitan Statistical Area). In August, 8.6 percent of total Texas jobs were in micropolitans.
- Texas’ nonfarm job growth currently derives largely from mining and logging, construction, professional and business services, and other services.
- Our economists project a 4.1 percent growth rate for the state’s GDP for 2018, assuming oil prices don’t drop significantly.
- Home prices in Texas are still lower than those in many markets outside the state. However, relative to itself, Texas has gotten more expensive.
- On the other hand, home-price growth in the state’s major metros is slowing down.
- According to the Center’s research of Texas home prices, low-tier homes are generally appreciating at a higher rate than mid-tier and high-tier homes in Houston, Dallas-Fort Worth, and Austin.
For more on the state’s housing market, visit the "Housing Activity" page of our website. |
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Poultry processor spreads its wings near Tyler |
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LINDALE (Connect Media) – Poultry processor Sanderson Farms has opened shop on 17.5 acres in the Lindale Business Park in Smith County.
The company invested $18 million to build administrative offices and a hatchery.
The $200 million complex will employ 1,700, require 80 contract growers, and will be equipped to process and sell approximately 275 million pounds of dressed poultry meat annually. Full buildout is slated for first quarter 2019.
According to the company's website, Sanderson Farms has operations in Smith, Wood, Brazos, Robertson, McLennan, and Anderson Counties.
The 137-acre Lindale Business Park is at I-20 and Harvey Rd., just west of Tyler. It is owned and operated by the Lindale Economic Development Corp.
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Obtaining a Texas Real Estate License is the most complete guide found anywhere to obtaining a Texas real estate salesperson's license. Everything from what activities require a license to actual application forms. This report has been reviewed by the Texas Real Estate Commission.
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Warehousing mega-deals draw attention to DFW |
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DALLAS (Dallas Morning News) – With more than 14 million sf of net leasing so far in 2018, North Texas is one of the fastest growing industrial building markets in the country.
It's also one of the regions seeing the most mega warehouse deals.
In the first half of the year, DFW warehouse tenants completed eight of the country's largest industrial and logistics deals.
That ranks the area fifth nationally for such transactions at 5.2 million sf, according to CBRE.
Some of the largest recent DFW warehouse leases have been made by candy maker Mars, Vistaprint, Better Home Products, Quest Window Systems, and Amazon.
About 20 million sf of warehouse space was under construction in North Texas at the end of September.
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SOCFM tames Wildcat Ranch |
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CRANDALL (Dallas Business Journal) – SOCFM Developer has purchased Wildcat Ranch from Dallas-based James Mabrey.
The 903-acre master-planned residential community is on US 175 in Kaufman County. It will have 3,100 homes priced from the $200,000s.
Builders KB Homes, Beazer Homes, and D.R. Horton Homes are constructing houses in the development. The first homes are set to deliver late next year.
The project also includes an elementary school slated to open for the 2019-20 school year.
PMB Capital Investments is partnering with the new owner to oversee day-to-day operations.
Trez Capital provided acquisition funding.
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| Did you know you can get notified every time one of our new economic reports is released? Check out our brand-new email notification feature to get the latest economic data sent directly to your email inbox for free. |
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SHSU's College of Osteopathic Medicine to Conroe |
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CONROE (Connect Media) – Sam Houston State University’s proposed College of Osteopathic Medicine now has an official location.
The five-story, 216,000-sf facility will be on 7.3 acres in Johnson Development Corp.’s Grand Central Park.
SHSU has been working on the proposed college to serve the needs of the medically underserved rural East Texas population.
The 2,000-acre Grand Central Park is on Loop 366 S. and includes residences and commercial real estate. Construction is expected to be completed by the end of 2018.
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Small town, big development |
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PRINCETON (Dallas Morning News) – A new mixed-use development on the way in this small Collin County town east of McKinney will bring both housing and commercial space.
Called Princeton Crossroads, the $575 million, 297-acre project will be anchored by a new 40,000-sf city hall on the north side of US 380.
Groundbreaking is set for October 25, 2018.
The development will also include an apartment project, 333 single-family homes, 166 townhomes, and a city park.
LGI Homes will build the single-family homes while another builder will handle the townhomes.
Phoenix-based Brown Group will develop the commercial and retail center called Fireside Square.
Princeton Crossroads is a project of IC-SB Princeton Land Partners.
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$894M Grand Parkway expansion underway |
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HOUSTON (Houston Chronicle) – Members from the Grand Parkway Infrastructure met this month to discuss the continued expansion of the $1.28 billion toll road project.
The next phase, an $894 million project, will be the largest highway loop in the United States when it is completed, according to the Texas Department of Transportation.
When completed in 2022, the highway will enable drivers to travel from Baytown to League City in a loop that passes through New Caney, Spring, Tomball, Cypress, and Sugar Land.
The construction will help the region prepare for continued population growth. This phase of the project will be broken into three segments.
The Grand Parkway spans more than 50 miles around the Greater Houston area and falls within Chambers, Harris, Liberty, and Montgomery Counties.
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Urbanists set their sights on Richardson |
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RICHARDSON (Dallas Morning News) – A new urban village is in the works at the entrance to the city’s historic downtown district.
The mixed-use project, called Town Central, will be on 14.5 acres along Main St. between the Chase Bank building and the DART rail line.
It will include 430 apartments and townhomes, more than 20,000 sf of retail and commercial space, parking garages, and open space.
The largest part of the development will be a 302,672-sf mixed-use building on the north side of Main St. with retail on the ground floor and five levels of apartments above that.
The north side of the project includes a neighborhood of townhomes and planned restaurants and retail.
Developer Catalyst Urban Development also plans to work with the city and DART to create park areas adjacent to and under the elevated commuter rail line.
The city's planning and zoning commission has approved the project.
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In a series of four videos, the Real Estate Center at Texas A&M University explores what it takes to be an effective communicator. The presenter is Mays Business School Executive Professor John Krajicek.
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Movie theater chain's Iconic purchase |
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SAN ANTONIO (San Antonio Business Journal) – New Mexico-based Icon Cinema has purchased 15.7 acres at the northeast corner of SW Loop 410 and Old Pearsall Rd.
The seller was San Francisco-based Pearsall Road LLC.
The land was last assessed at $1.49 million by the Bexar County Appraisal District.
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Riverside apartments trade hands in Fort Worth |
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FORT WORTH (Fort Worth Business Press) – St. Regis Properties has purchased the 375-unit RiverVue Apartments on five acres at 5828 Arborlawn Dr.
Constructed in 2017, the community is on the Trinity River in Waterside, a 63-acre mixed-use development anchored by the Whole Foods and REI.
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| https://www.recenter.tamu.edu/news/recon/?Item=215 |
| RECON for October 5, 2018 | RECON for October 5, 2018 | | | 2018-10-05T05:00:00Z | 2018-10-05T05:00:00Z |
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| Attention, passengers: a new terminal is making its initial descent into Austin-Bergstrom International Airport. Get the details on this story and more in today's RECON. (Photo from Gensler.) |
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Everything—including housing—is bigger in Texas |
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CHARLOTTE, N.C. (Dallas Morning News) – Three Lone Star State cities have some of the largest homes in the nation, according to a new report from LendingTree.com.
Houston has the biggest houses in the country—averaging 1,952 sf. Dallas ranked fourth with an average size 1,862 sf, and Austin ranked fifth with 1,861 sf.
Home construction during the last decade has trended toward larger houses, and since Texas is the leader in U.S. home production, its median home sizes tend to be larger.
LendingTree looked at home sizes in 45 major U.S. markets for the comparison.
The rest of the top ten are: No. 3 Washington; No. 6 Las Vegas; No. 7 Phoenix; No. 8 Raleigh, N.C.; No. 9 Boston; and No. 10 Orlando, Fla.
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Houston office vacancy drops first time in three years |
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HOUSTON (Houston Chronicle) – Office vacancy dipped in third quarter 2018, ending a 14-quarter streak of rising vacancies in a market still struggling to recover from the energy slump.
Total office vacancy was 24.2 percent at the end of September 2018, down from 24.5 percent in the previous quarter, according to JLL.
Leasing activity improved in downtown buildings and those along the western stretch of the Katy Freeway, two areas with high sublease inventories.
The energy slump, which began in 2014, caused office vacancy to nearly double from 13.4 percent in late 2014 to 24.5 percent earlier this year.
The drop in vacancy in the third quarter stemmed from an energy tenant, ConocoPhillips, moving into its new 600,000-sf headquarters located at Energy Center 4.
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| In this week's Red Zone podcast, we talk about the state of Texas' economy and housing market. Plus, we report on news from Houston, Dallas, and New Braunfels. Tune in for all this and more. (12 min. 57 sec.) |
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Airport's final phase prepares for landing |
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AUSTIN (Austin Business Journal) – The new $350 million terminal at Austin-Bergstrom International Airport is entering its final phase of construction.
The 175,000-sf terminal will add nine gates east of the existing Barbara Jordan Terminal and boost the airport's capacity from 11 million passengers a year to 15 million.
The new terminal will also have 29,000 sf of retail space and amenities such as an outdoor, shaded terrace.
Delivery is set for spring 2019.
This expansion is part of the Airport 2040 Master Plan, which includes 32 new gates, 11,100 on-site parking spaces, and two million sf of terminal/remote concourse space.
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CBRE: SA's industrial construction expansion continues |
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SAN ANTONIO (CBRE) – CBRE has recently released their "3Q 2018 San Antonio Industrial MarketView" report. Here are the highlights:
Marketwide absorption accounted for 276,491 sf of space absorbed.
There was a slight uptick in vacancy, increasing from 9 percent to 9.7 percent over the quarter.
Weighted average asking NNN rents for industrial (warehouse) space decreased slightly quarter over quarter, shifting from $5.79 to $5.62 per sf.
The construction pipeline continued to expand with 16 projects amounting to over two million sf.
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Looking for more real estate news? Our NewsTalk Texas feed has all the latest headlines. Here's a sample:
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Clay Development to start on 385K-sf distribution center |
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HOUSTON (McDaniel & Co.) – Clay Development & Construction is building a 214,300-sf cross-dock distribution center on 11.2 acres in Sheldon Business Park.
Located at the intersection of N. Lake Houston Pkwy. and E. Sam Houston Pkwy. N., the site allows for expansion to 385,000 sf.
Sheldon Distribution Center I will feature:
- 32-ft clear-height ceilings,
- 48- by 52-ft column spacing with 60-ft speed bays,
- 44 nine-ft by ten-ft dock-high doors,
- four drive-in ramps with 14-ft by 16-ft overhead doors,
- a 135-ft truck court, and
- 104 employee parking spots.
Groundbreaking is set for December with delivery slated for second quarter 2019.
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It's almost hunting season! But before you head out, be sure to check out our Texas Deer Lease guide. It offers hunters and landowners suggestions for avoiding misunderstandings common in lease agreements. Read it for free on our website.
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Plano's tallest tower tops out |
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PLANO (Dallas Morning News) – The tallest tower in the city has topped out.
The $100 million, 29-story LVL29 apartment high-rise started construction in early 2017.
The 328-unit luxury apartment tower is being built just west of the Dallas Tollway and south of SH 121. It is within the $3 billion Legacy West development, next door to Liberty Mutual Insurance and JPMorgan Chase's new office campuses.
It is expected to open in 2019.
LVL29 is one of two high-rise residential buildings under construction in Legacy West. Right next door, work is underway on the 24-story, 88-unit luxury Windrose condo tower.
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| Visitors from the Kelley A. Bergstrom Real Estate Center at the University of Florida check out the upcoming issue of Tierra Grande at the Real Estate Center's office in College Station, Texas. (Pictured, from left to right: David Jones, REC; Kelley Bergstrom, UF; Timothy Becker, UF; Jim Gaines, REC; Gerald Klassen, REC; and Gary Maler, REC.) |
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First building to $1.2B mixed-use project |
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PFLUGERVILLE (Community Impact Newspaper) – The first building in the $1.2 billion Pecan District mixed-use development is set to break ground Oct. 26.
The 272-unit apartment complex will be called The Elliott. It will offer one- and two- bedroom apartment floor plans averaging 855 sf.
Completion is expected by 2020.
Pecan District is on 45 acres at the southwest corner of W. Pecan St. and Heatherwilde Blvd. It will eventually feature spaces for office, retail, restaurant, and civic uses.
Presidium and Cid Galindo are developing the project.
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54 acres cleared for H-E-B-anchored Kingwood Place |
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KINGWOOD (Houston Chronicle) – Developers are clearing 54 acres at the corner of Northpark Dr. and US 59 to make way for a new mixed-use development called Kingwood Place.
The project will include about 41,000 sf of commercial space, six retail pads, and 11 acres of residential space with 300 multifamily units. The development’s centerpiece is a 103,000-sf H-E-B.
Stratus Properties announced the development in August, estimating a total project investment of about $50 million.
Construction is expected to start at the beginning of November 2018, with a projected completion date of August 2019.
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Market Research is your gateway to data on all 25 Texas metropolitan statistical areas, from Abilene to Wichita Falls. Whether you're looking for information on an area's demographics, top employers, or housing and commercial markets, chances are you'll find it here.
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Sherman ISD breaks ground on new high school |
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SHERMAN (Herald Democrat) – Sherman ISD has officially begun construction on a new high school.
The 450,000-sf campus at the northwest corner of O.B. Groner Rd. and West Moore St. is set to open for classes in August 2020.
The facility will include classrooms, career and technology education spaces, athletic and art facilities, and a large outdoor courtyard.
The new high school is designed for 2,300 students but will allow for a maximum of 2,600.
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Houston medical office sells for $19.7M |
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HOUSTON (Houston Business Journal) – Transwestern Investment Group and Austin-based Virtus Real Estate Capital have purchased a medical office building at 2051 S. Greenhouse Rd.
The 114,414-sf building, now named the Greenhouse Medical Plaza, was sold for nearly $19.7 million.
The new owners plan to develop a surgical center, construct a covered carport drop-off, and equip the property with redundant power.
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| If not, click here to head to our website, where you can fill out this simple form for free. Once you do, the biggest headlines in Texas real estate will come straight to your inbox twice a week. Oh, and did we mention it's free? |
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Alamo City apartments under new ownership |
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SAN ANTONIO (Multifamily Press) – Benimax has purchased the 336-unit Avocet Apartments from Stone River for $51.7 million.
The complex at 11340 Alamo Ranch Pkwy. offers one-, two-, and three-bedroom units.
Built in 2017, the community includes a pool, business center, dog park, and covered parking.
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Pflugerville apartments find new owner |
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PFLUGERVILLE (REBusiness Online) – Dallas-based Lantower Residential has acquired the 328-unit Edgewater apartment community.
The complex is on 12.7 acres at 14201 N. I-35 in the Tech Ridge area.
Amenities include pools, walking trails, and fitness center.
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| https://www.recenter.tamu.edu/news/recon/?Item=214 |
| RECON for October 2, 2018 | RECON for October 2, 2018 | Bryan Pope | Pope
| 2018-10-02T05:00:00Z | 2018-10-02T05:00:00Z |
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| Which four Texas cities landed on WalletHub's list of the fastest-growing cities in the nation? Keep reading today's RECON to find out. (Photo from Center files.) |
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Four Texas cities among nation's fastest-growing |
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WASHINGTON (WalletHub) – Four Texas cities have snagged spots on WalletHub's list of 2018's fastest-growing cities in America.
Midland and Pearland ranked second and third, respectively. McKinney came in fifth, and College Station followed in sixth.
The four cities were also the top fastest-growing midsize cities on the list. Frisco and Round Rock were the ninth and tenth.
Austin was the fastest-growing large city.
Frisco, McKinney, and Pearland tied for first in the highest population growth category. Other cities tying for first were Enterprise, Nev.; Lehigh Acres, Fla.; and Meridian, Idaho.
Frisco and McKinney were also first in highest job growth, tying with Meridian, Idaho; Lake Charles, La.; Fort Myers, Fla.; and St. George, Utah.
Pharr had the highest poverty rate decrease in Texas. It tied with Lake Charles, La.; Fort Myers, Fla.; Compton, Calif.; Port St. Lucie, Fla.; and Victorville, Calf.
WalletHub asked Real Estate Center Chief Economist Dr. Jim Gaines to chime in on the biggest challenges for rapidly growing cities.
"Local government(s) generally cannot keep pace with fast population growth in providing necessary public goods and services," said Dr. Gaines. "Everything from water/sewer capacity, roads and transportation infrastructure, police/fire/EMS services, schools, and virtually every other service typically lag behind the increased demand for facilities and services. The faster growth occurs, the harder it is for local government to keep pace. It also may not help that current residents may not really want the growth, not want to foster the growth, and especially may not want to pay for the growth.
"The result is that not only are fiscal problems revealed – unwillingness to support higher tax rates or increased bonded indebtedness – but also local philosophical and political attitudes either for or against the growth."
The rest of the top ten fastest-growing cities rankings are: No. 1 Fort Myers, Fla.; No. 4 Bend, Ore.; No. 7 Lehigh Acres, Fla.; No. 8 Mount Pleasant, S.C.; No. 9 Enterprise, Nev.; and No. 10 Irvine, Calif.
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Cold front hits Dallas' housing market |
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DALLAS-FORT WORTH (Dallas Morning News) – Area home prices rose 5 percent in the new Standard & Poor's/Case-Shiller Home Price Index, a full percentage point below the nationwide 6 percent increase from July 2017.
North Texas home-price growth has been declining in the index for more than a year. Nationally, home prices are also cooling.
After several years of significant sales gains, North Texas home sales are up only 1 percent this year, and median sales prices of pre-owned house are growing at about half the rate they did in 2017.
Local prices are now almost 50 percent higher than they were before the economic downturn and housing crash of a decade ago.
A dozen of the 20 U.S. cities Case-Shiller tracks each month now have higher prices than before the Great Recession.
Case-Shiller's index tracks over time the prices of specific single-family homes located in each metropolitan area. The index survey does not include condominiums and townhouses, and only covers pre-owned properties, not new construction.
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Obtaining a Texas Real Estate License is the most complete guide found anywhere to obtaining a Texas real estate salesperson's license. Everything from what activities require a license to actual application forms. This report has been reviewed by the Texas Real Estate Commission.
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New Braunfels' newest master-planned community |
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NEW BRAUNFELS (San Antonio Business Journal) – A single-family housing development called Meyers Ranch will bring nearly 1,600 homes at buildout.
The 691-acre project will be at SH 46 and S. Cranes Mill Rd.
Phase one homes will start in the $200,000s.
The community will also feature 113 condos, a clubhouse, community pool, trail system, and more than 200 acres of green space.
Austin-based Randolph Todd Development and Illinois-based Crown Community Development will develop the community.
Model homes will open by spring 2019.
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Hungry for more Texas real estate news? Then feast your eyes on NewsTalk Texas, our online news database. Here are a few of the stories you'll find there this week:
NewsTalk Texas is updated each weekday, throughout the day.
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1M-sf distribution and fulfillment center to Fort Worth |
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FORT WORTH (Dallas Morning News) – Dallas-based Hunt Southwest Real Estate is building a massive industrial building near I-820 and I-35W.
The one million-sf speculative distribution and fulfillment center will sit on 77 acres at 1511 N.E. Loop 820 Service Rd.
It will include a 40-ft clearing height, 196 dock doors, and additional land to be used for seasonal employee parking or extra trailer parking.
Work will start this month and wrap up in late third quarter 2019.
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Houston office vacancy drops 40 basis points |
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HOUSTON (NAI Partners) – Local office vacancy dropped 40 basis points to 21.7 percent in September 2018, according to a report from NAI Partners.
Year to date, 374,204 sf of office space was delivered with 26.4 percent of that available for lease.
Leasing activity was at 10.2 million sf as of September. Net absorption decreased to 1.4 million sf.
Gross average asking rent increased to $28.87 per sf. About 2.7 million sf is currently under construction.
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| Did you know you can get notified every time one of our new economic reports is released? Check out our brand-new email notification feature to get the latest economic data sent directly to your email inbox for free. |
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Pinnacle Park buildings change hands |
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DALLAS (Dallas Business Journal) – Cohen Asset Management has purchased two Class A buildings at Pinnacle Industrial Park.
Both properties were built in 2001 and are 100 percent leased.
Pinnacle Park I is a one million-sf industrial distrubution building on 47.5 acres at 3700 Pinnacle Point Dr.
The 327,600-sf Pinnacle Park II is on 13.4 acres at 3801 Pinnacle Point Dr.
The property is south of I-30 and west of downtown in what Transwestern called "one of the region’s most successful warehouse and distribution markets."
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New owner for Midland apartments |
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MIDLAND (REBusiness Online) – Fort Worth-based Olympus Propery has purchased Anatole on Briarwood, a 250-unit apartment community at 5200 Briarwood Ave.
Built in 2014, the property has one-, two-, and three-bedroom units and amenities such as a pool, fitness center, business center, and coffee bar.
Berkadia provided a $21.7 million acquisition loan.
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In a series of four videos, the Real Estate Center at Texas A&M University explores what it takes to be an effective communicator. The presenter is Mays Business School Executive Professor John Krajicek.
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Schneider powers up in 112K-sf plant |
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EL PASO (CBRE) – Illinois-based Schneider Electric USA has signed a three-year lease for a 112,721-sf manufacturing and distribution facility at 1701 Northwestern Dr.
The company manufactures industrial control and electrical distribution products and systems for both residential and industrial users.
CBRE represented the landlord, Stag Industrial.
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292-unit complex breaks ground in Mo-City |
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MISSOURI CITY (Houston Chronicle) – Houston-based Stanmore Partners has started construction on the 292-unit Ravella at Sienna Plantation Apartment Homes.
The three-story complex is on 16 acres at 5330 Sienna Pkwy. near Fort Bend Pkwy. It will contain two- and three-bedroom units, some with attached garages, ranging from 609 to 1,517 sf.
Amenities include a clubhouse with a 24-hour fitness center, conference room, business center, and a resort-style pool with cabanas.
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| https://www.recenter.tamu.edu/news/recon/?Item=213 |
