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RECON for August 11, 2020RECON for August 11, 20202020-08-11T05:00:00Z2020-08-11T05:00:00Z
RECON Real Estate Center
Rendering of South Fort Worth Logistics Center
Looking for the biggest headlines in Texas real estate? We've got you covered. In today's RECON, we feature stories on a new Fort Worth industrial project, a 175-home project in Salado, a master-planned community in Denton County, and more. Keep reading for the details. (Rendering of the South Fort Worth Logistics Center from JLL.)
Aug 11, 2020

Master-planned community blooming in Denton County

​​​DENTON COUNTY (Realty News Report) – Houston-based Hines has started construction on a 1,100-acre master-planned community just north of Fort Worth.

The project, called Wildflower Ranch, will be along SH 114 by I-35W. It will have 3,300 single-family homes, a resort-inspired lazy river, trails, recreational spaces, and Northwest Independent School District ​school site. ​​

The initial phase will include 400 single-family residences built by Beazer Homes, Bloomfield Homes, Gehan Homes, Highland Homes, and Lennar Homes. 

Phase one is slated for delivery in early 2021.

Goodwin & Marshall is the civil engineer, and Cody John Studios is the landscaping and amenity designer. Conatser Construction and RPM X Construction are handling the construction​.
COVID-19 Virus and bar graphsInterest rates provide important clues about the nation's economic outlook, even during times of crisis. An analysis of interest rate movement as of June 1 suggests the U.S. economy may be recovering from COVID-19's impact in second quarter 2020. Read "Matters of Interest: Detecting Economic Recovery After a Crisis" for more. 

Cold storage centers occupied by Dollar General sold

​​SAN ANTONIO (Connect Media) – Provender​​​ Partners has sold two cold​ storage distribution centers totaling over 500,000 sf for a combined $64 million.

The first facility totals 267,702 sf at 5505 Kaepa Ct.

The second is a 232,556-sf facility in Berkeley, Mo.

Both properties have ten-year leases to Dollar General.

CBRE and Food Properties Group represented the seller. 
Structural Trends of Regional Texas Rural Land Markets
When it comes to Texas land market prices and sales activity, size matters. A Real Estate Center report analyzes land markets segmented by size for six of Texas' seven land regions. Read "Structural Trends of Regional Texas Rural Land Markets" for the details.

Warehouse project kicking off in south Fort Worth

​​FORT WORTH (Dallas Morning News) – Invesco Real Estate and Bandera Ventures are building the South Fort Worth Logistics Center, a​ 956,020-sf speculative industrial development south of I-20.

The $30 million project is being built on 47 acres at the northwest corner of Oak Grove Rd. and Everman Pkwy.

JLL Capital Markets arranged construction financing with Veritex Bank.

Completion is set for next year.
NewsTalk Texas logoHungry 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. 

Cedar Port Industrial Park welcomes Houston buyer

​​​​​​​​BAYTOWN (Connect Media) – Houston-based Welcome Group has acquired 23 acres on Cedar Blvd. at Trans-Global Solutions' Cedar Port Industrial Park. 

The 15,000-acre industrial park is home to IKEA, Home Depot, and Walmart, among others. 

NAI Partners represented the seller. Welcome Group was self-represented. 
Unemployment initial claims and COVID-19 new cases
The Real Estate Center estimates that Texas nonfarm employment could increase 1 percent in July. If so, the state could gain around 121,000 jobs, reaching 12.2 million jobs. However, further waves of COVID-19 infections could hinder economic activity. Our latest weekly economic indicator has the details. 

Former Pier 1 distribution center in Mansfield sold

​​MANSFIELD (REBusiness Online) – Lonejack II LLC has purchased Heritage Park, a 460,000-sf distribution center that was once home to Pier 1 Imports. ​

The property is near US 287 adjacent to the Union Pacific Railroad. It has 10,200 sf of office space. 

LanCarte Commercial is marketing the property for lease.
missed the livestream?
Missed Dr. Gilliland's Texas land markets update livestream? You can view his full presentation on Facebook and YouTube. You can also download his PowerPoint slides for free

175-home Eagle Heights soaring to Salado

​​SALADO (Temple Daily Telegram) – The loc​al Board of Aldermen has approved Eagle Heights, a 86.7-acre mixed-use development. 

The project will bring 175 new homes and retail to the intersection of Williams and Village Roads.
Enter out 2020 photo contestReal Estate Center publications are known for their stunning photography. While many shots are taken by our professional photographers, we can't be everywhere in Texas year-round. That's where you come in. Send us your best Texas photograph for a chance to be featured in TG or our 2021 wall calendar. Entries will be accepted until Sept. 1, 2020, at 5:00 p.m. CST. Enter now before time runs out! 

169K-sf industrial property sells to private investor

​​​CARROLLTON (Marcus & Millichap) – Packaging Corporation of America's 168,725-sf industrial property at 1015 ​Hayden Dr. has been sold.

The asset was built in 1979 on 6.87 acres.

Marcus & Millichap brokered the sale.
Helping Texans make the best real estate decisions since 1971

Work starts on Houston health care project

​​HOUSTON (REBusiness Online) – Locally based E.E. Reed Construction has broken ground on the Women's​ Hospital medical office building.

The five-story, 122,000-sf property is within the city's Medical Center.

Completion is set for late 2021.

Earl Swensson Associates designed the project. Healthpeak Properties is the developer.​​
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Copyright © 2020, All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source. To send news items for consideration, e-mail Hayley Rieder. The Real Estate Center is part of Mays Business School at Texas A&M University in College Station - the heart of the Research Valley.

https://www.recenter.tamu.edu/news/recon/?Item=399
RECON for August 7, 2020RECON for August 7, 20202020-08-07T05:00:00Z2020-08-07T05:00:00Z
RECON Real Estate Center
Black Bolivar Point Lighthouse
Today is National Light House Day. Pictured is the Bolivar Point Lighthouse in Port Bolivar on Galveston Bay. Built in 1872, the lighthouse turned entirely black due to over 150 years of corrosion. It was retired in 1933. (Photo from Center files.)
August 7, 2020

Texas employment recovery continues

COLLEGE STATION (Real Estate Center) – ​Initial unemployment insurance claims in Texas decreased to around 66,600 last week, marking the fourth consecutive week of declines.

From March 21 to Aug. 1, around 3.15 million claims were filed in Texas, according to data from the U.S. Department of Labor (DOL). 

Continuing unemployment claims decreased the week of July 25 to 1.17 million. 

"The drop in both Texas' jobless initial claims and continuing claims suggests the jobs recovery continues," said Real Estate Center Research Economist Dr. Luis Torres. "Going forward, better health outcomes are needed to achieve a sustained and continued ​recovery."

All of Texas' major and border metros enjoyed a drop in both new and continuing unemployment claims. 

Using data from the DOL and the Employment and Training Administration, the Center estimates that from March 21 to July 25, nearly 705,300 seasonally adjusted claims were filed in Houston-The Woodlands-Sugar Land. The metro continues to lead the state in total number of claims.

In the past 19 weeks, an estimated 677,300 claims were filed in Dallas-Fort Worth-Arlington, 215,800 in San Antonio-Braunfels, and 186,700 in Austin-Round Rock. 

Along the border, an estimated 82,100 claims were filed in McAllen, 71,000 in El Paso, 36,200 in Brownsville, and 21,800 in Laredo.

A​​ccommodation and food services, administrative/support/waste management/remediation services, healthcare/social assistance and retail trade r​emained the sectors with the biggest unemployment claims through the week ending July 25.

​​Almost 55.3 million Americans have filed initial unemployment claims in the past 20 weeks. New claims declined last week after registering two consecutive​ weeks of increases.
Missed the livestream?
Missed Dr. Gilliland's Texas land markets update livestream? You can view his full presentation on Facebook and YouTube. You can also download his PowerPoint slides for free

Houston developer buys land on Galveston Seawall

​​​GALVESTON (Houston Business Journal) – ​Houston-based Satya Inc. has purchased 2.86 acres at 10327 Termini-San Luis Pass Rd. on the West End of the city's seawall. 

The property is adjacent to the Diamond Beach Resort.​​​ The zoning makes it possible for the property to be developed as a hotel or condominiums.

Satya is a primary investor in several local condominium developments.​

IBC Bank provided the financing.  
Enter our 2020 photo contest!Real Estate Center publications are known for their stunning photography. While many shots are taken by our professional photographers, we can't be everywhere in Texas year-round. That's where you come in. Send us your best Texas photograph for a chance to be featured in TG or our 2021 wall calendar. Entries will be accepted until Sept. 1, 2020, at 5:00 p.m. CST. Enter now before time runs out! 

Phase one of Pflugerville mixed-use community wraps up

​​PFLUGERVILLE (Connect Media) – Presidium has completed the first phase of The Pecan District, a ten-phase mixed-use development at the corner of Old Austin Pflugerville Rd. and S. Heatherwilde Blvd. 

Included in phase one is Presidium The Pecan District, a 272-unit apartment community. The property offers one- and two-bedroom units. 

Amenities include a pool, fitness studio, game lounge, outdoor kitchen area, green spaces, and coworking spaces. 

The next phase will bring additional apartments, modern office space, and ground-level dining and retail. 
Helping Texans make the best real estate decisions since 1971.

European-inspired master-planned community slated for Salado

​​​SALADO (Connect Media) – Novak Commercial Construction has started phase one of Sanctuary, a 300-acre mixed-use, master-planned community near FM 2268 and I-35. 

The first phase will bring 185 residential lots and four miles of surface streets. Construction will take 40 weeks. 

When complete, the community will include an entertainment complex, hotel, commercial retail and office space, single-family homes, and multifamily rental units.
Looking for more real estate news? Our NewsTalk Texas feed has all the latest headlines. Here's a sample:

Montrose-area retail plaza sells to Skanska

​​HOUSTON (Houston Business Journal) – ​Sweden-based Skanska has purchased a 124,000-sf retail plaza in the Montrose area for​​ $27 million.

The 2.86-acre site at the corner of Westheimer Rd. and Montrose Blvd. is home to Half-Price Books, Mattress Firm, Spec's Wine and Spirits, and Mattress Pro. 

An entity affiliated with locally based PM Realty Group had owned the property since June 2012.
market viewer screen shotTexas Realtors' MarketViewer tool helps members and their clients quickly understand the market statistics in their area. This powerful tool is a member benefit available exclusively to Texas Realtors and local Realtor associations in Texas. Data are compiled and analyzed through a research agreement between Texas Realtors, the Real Estate Center, and all MLSs across the state. 

274-unit Park at Rialto trades hands 

​​​SAN ANTONIO (REBusiness Online) – Nashville, Tenn.-based Covenant Capital Group has purchased Park at Rialto, a 274-unit apartment community at 25051 W. I-10. 

Built in 2016, the property has studio and one-, two-, and three-bedroom units. Rents range from $969 to $1,839 per month. 

Amenities include a pool, fitness center, business center, and clubhouse. 

JLL represented the seller, GenCap Partners Inc., and arranged financing.  
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Mars Petcare leasing 611K-sf warehouse in Lancaster

​LANCASTER (Dallas Business Journal) – Mars Petcare leased an entire 610,806-sf warehouse at 2801 N. Houston School Rd.

Built in 2018, the property offers proximity to I-35, I-20, and I-45.

Transwestern brokered the deal.​
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Copyright © 2020, All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source. To send news items for consideration, e-mail Hayley Rieder. The Real Estate Center is part of Mays Business School at Texas A&M University in College Station - the heart of the Research Valley.

https://www.recenter.tamu.edu/news/recon/?Item=398
RECON for August 4, 2020RECON for August 4, 20202020-08-04T05:00:00Z2020-08-04T05:00:00Z
RECON Real Estate Center
Cloudy day in rural Texas
"There's a lot of country for sale, and oil patch buyers have vanished" says Real Estate Center Research Economist Dr. Charles Gilliland. Despite COVID-19-induced shutdowns and plummeting oil prices, the overall Texas land market did post some encouraging results. Tune in Tuesday, Aug. 4, on Facebook Live as Dr. Gilliland gives a region-by-region update of sales, prices, transactions, and his assessment of what lies ahead for rural lands of Texas in the remainder of 2020. (Photo from Center files.)
August 4, 2020

Weak performances highlight second quarter Texas land markets

COLLEGE STATION (Real Estate Center) –  Second quarter numbers released today by the Real Estate Center at Texas A&M University show a Texas land market hit hard by plummeting oil prices and the pandemic. 

Research Economist Dr. Charles Gilliland issued the state’s land report card: 
  • Price: + 1.7% 
  • Sales volume: - 8.7% 
  • Average acreage sold: - 9.1% 
  • Total acres sold: - 23.5% 
  • Total dollar volume: - 22.2% 
"The average $2,929-per-acre sales price inched up 1.7 percent, well short of the 6.5 percent increase in the first quarter and falling short of that quarter’s $2,986-per-acre price,” Gilliland said. “Closed land sales dropped 8.7 percent, more than double the decline posted in the first quarter." 

Dr. Charles Gilliland Typical transaction size fell 9.1 percent to 1,217 acres. Gilliland said this points to an increase in the sales of smaller properties. 

The drop in activity resulted in a 23.5 percent decline in the number of acres sold compared with a first-quarter dip of 4.3 percent. That decline caused the total dollar volume to fall 22.2 percent to $1.1 billion, down from a first-quarter increase of 6.1 percent.  

"Overall, Texas land market results are encouraging considering the negative forces impacting the state and world economies," said Gilliland, who has tracked Texas land markets for decades. "Regional results varied." 

Panhandle-South Plains’ prices retreated, and Far West Texas had a profound drop in activity along with lower prices.  

West Texas and Northeast Texas markets had increasing prices but contracting numbers of transactions and total acres sold. 

"The Gulf Coast-Brazos Bottom and South Texas regions posted modest price increases accompanied by falling sales and lower dollar volumes," said Gilliland. "Austin-Waco-Hill Country saw little price change while the number of sales remained steady and dollar volume modestly declined. 

"These results suggest land markets have weathered the storm well. Reports from the field suggest brokers are seeing interest in rural land increase, which may point to a stronger market in the future."

Statistics represent transactions reported by land market professionals. The reported sample of sales does not include all Texas sales. However, Gilliland said the large sample effectively represents market developments. 

Dr. Gilliland will dive deeper into Texas' region land markets on Facebook Live on Tuesday, Aug. 4, 2020, at 3:00 p.m. CST. Click here for more information and to tune in.

For Texas land markets data, head to the Center's website. 
Notice of Commission Meeting The Commission Will Meet August 10  The Commission will provide a link to the live stream on the front page of its website the morning of August 10, 2020. To participate by providing public comment during the meeting, contact Vanessa Burgess, General Counsel, at general.counsel@trec.texas.gov before 9:00 a.m. on August 10, 2020, along with the item number you wish to speak on. Anyone wishing to provide public comment will need to have internet access and a computer or device with a microphone. Get the agenda and materials for the meetings

Texas Supreme Court issues order on eviction proceedings 

​COLLEGE STATION (Real Estate Center) – On July 21, 2020, the Texas Supreme Court issued its Twentieth Emergency Order in connection with COVID-19. Under the order, which remains in effect until Aug. 24, 2020, all sworn petitions for eviction must include the following statements:
  • that the premises are not subject to the moratorium on evictions imposed by Section 4024 of the CARES Act; 
  • whether or not the premises is a "covered dwelling" subject to Section 4024 of the CARES Act; 
  • whether or not the plaintiff is a “multifamily borrower” under forbearance subject to Section 4023 of the CARES Act; and 
  • whether or not the plaintiff has provided the defendant with 30 days’ notice to vacate under Sections 4024(c) and 4023(e) of the CARES Act. 
The CARES Act is a federal law passed in response to the COVID-19 pandemic. Section 4024 of the CARES Act places a tem​porary moratorium on evictions with respect to certain dwelling units assisted by federal loan programs, including Community Development Block Grant loans (CDBG) (including Section 108 guaranteed loans), Neighborhood Stabilization Program loans (NSP), and CDBG-Disaster Recovery loans (CDBG-DR). Section 4023 provides protection for owners and tenants of certain multifamily properties with federally backed loans. 
Real Estate Center publications are known for their stunning photography. While many shots are taken by our professional photographers, we can't be everywhere in Texas year-round. That's where you come in. Send us your best Texas photograph for a chance to be featured in TG or our 2021 wall calendar. Enter now before time runs out! 

Piece of the Mediterranean coming to McKinney

​​McKINNEY (Dallas Morning News) – Everest Development has begun work on Florence, an 18-acre, Mediterranean-inspired mixed-use development.

The project along Custer Rd. will have 200 apartments and between 40,000 and 50,000 sf of commercial space. It will have a gym, pool, conference rooms, walking trails, and dog park. 

Designed by Humphreys & Partners Architects, the project is being built by Novel Builders. NAI Robert Lynn is leasing the space.

Delivery is set for March 2022.
Weekly IndicatorThe Texas Weekly Leading Index took a step backward during the week ending July 25, indicating a slowdown in economic activity. It declined primarily due to a decrease in the number of business applications. The good news is that the state’s number of daily new COVID-19 cases has started to trend downward. However, better health outcomes are needed to achieve a sustained and continued recovery. Read the latest COVID-19 Impact Projections on Texas' Economy report for more. 

30-story Horizon Tower will start in 2020

​​​HOUSTON (Realty News Report) – Medistar Corp. will break ground this year on Horizon Tower, a 30-story, 485,000-sf building in the Texas Medical Center.

The tower at 6929 Main St. will include 17 levels of life sciences​ space suited for biom​edical, technology, clinical, medical, and office uses above a 13-story parking structure. 

It will be part of the $550 million Texas A&M Innovation Plaza.

Completion is set for January 2024.​​

JLL is handling leasing.​​
Sketchy drawing of commercial buildingsThe Real Estate Center's Texas Quarterly Commercial Report looks at past, present, and future commercial real estate activity in the state's four major metropolitan areas. It covers the office, retail, and warehouse sectors. Read and download the report for free, and subscribe to know when the next issue is published. 

Whole Foods expanding in downtown Austin

​​AUSTIN (Austin Business Journal) – Whole Foods Market Inc. is developing a five-story, 143,800-sf building at 835 W. 6th St., just south of the Shoal Creek Walk office tower. 

The project, designed by Gensler, will have a parking garage.

Construction begins Aug. 31. 

Whole Foods opened its latest Austin store in June. 
NewsTalk Texas logoHungry 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. 

Vantrust planning 1M-sf warehouse south of I-20

​DALLAS (Dallas Morning News) – VanTrust Real Estate has started construction on a one million-sf speculative industrial building in its DalParc Logistics Center on Telephone Rd.

The $34 million project will​ be ready by next summer.

Richardson-based Alliance Architects designed the building. The general contractor is MYCON General Contractors.

CBRE is leasing the project. 
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Houston apartment community trades for $51M

HOUSTON (Talk Business) – Little Rock, Ark.​-based BSR Real Estate Investment Trust has acquired Broadstone Park West from Starlight Investments for $51 million.

Built in 2014, the 370-unit, garden-style community is at 2219 Greenhouse Rd​. Amenities include a clubhouse, fitness center, resort-style swimming pool with sun deck, garages, and dog park. 

The purchase brings BSR's Houston-area multifamily​ portfolio to 2,332 units.
Communication Matters video seriesThe Real Estate Center's Texas Home Price Index measures price appreciation changes for residential single-family homes. It provides data for eight different Texas metros across three different price ranges.

700K-sf distribution center, warehouse headed for Waco

​​WACO (Waco Tribune-Herald) – BL Companies is building a 700,281-sf distribution center and warehouse in​ the city's industrial district.

Heavy equipment has arrived to ins​tall water lines on the 93-acre site at 2000 Exchange Pkwy. 
Helping Texans make the best real estate decisions since 1971

Missouri investor picks up 175K-sf Frisco Square office building

​FRISCO (Dallas Morning News) – A company set up by Missouri-based Maxus Properties has purchased The Tower at Frisco Square, a five-story office building at 5757 Main St.

Designed by O'Brien & Associates, the 175,000-sf building was built in 2015. It was developed by Encore Enterprises and Frisco Square Developers LLC.

It is home to such companies as Gearbox Software.

Colliers International brokered the sale.
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Copyright © 2020, All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source. To send news items for consideration, e-mail Hayley Rieder. The Real Estate Center is part of Mays Business School at Texas A&M University in College Station - the heart of the Research Valley.

https://www.recenter.tamu.edu/news/recon/?Item=397
RECON for July 31, 2020RECON for July 31, 20202020-07-31T05:00:00Z2020-07-31T05:00:00Z
RECON Real Estate Center
Manufactured home community
Consumer demand for Texas manufactured housing rose in July, but COVID-19-related disruptions hindered the industry’s ability to meet orders and created a backlog. Keep reading today's RECON for the details on this story and more. (Photo by Center Research Economist Dr. Harold Hunt.)
July 31, 2020

COVID-19 creates new headwinds for Texas’ new-home market

COLLEGE STATION (Real Estate Center) – COVID-19’s impact on the economy can be summed up in one word: disruption. Disruption in the single-family construction market in many ways mirrors that in the overall housing market, with shocks on both the supply and demand sides.

New single-family home sales through Multiple Listing Services (MLS) suffered in April and May, months when sales normally begin to ramp up. Similarly, MetroStudy data show new-home sales growth fell almost 100 basis points in one quarter but remained positive. The sudden drop in sales resulted in dire builder sentiment, according to the National Association of Home Builders Home Market Index.

Sales decreases vary considerably by construction stage. At the national level, the biggest pullback in new-home sales was for homes that hadn’t begun construction yet, according to U.S. Census Bureau data. New homes either currently under construction or recently completed also retreated but at a much smaller magnitude.

Disruption in the single-family construction market isn’t limited to sales, said Real Estate Center Senior Data Analyst Joshua Roberson.

"The supply side is showing signs of chaos as well," he said. "A precipitous drop in new-home listings through the MLS followed poor new-home sales. This squeezed statewide inventories to less than four months, the lowest level over the past ten years."

Texas Single-Family Permit Counts

Construction input costs also fell dramatically in April but gradually recovered in the following months, according to data from the Bureau of Labor Statistics (BLS). This shock is in large part due to similar turmoil in energy costs, specifically the oil industry, BLS data show. 

Nationally, construction labor also had a knee-jerk moment with a wave of layoffs in April, knocking total construction employment back to 2018 levels.

"There has been some recovery in this sector, but how much and for how long isn’t for certain right now," Roberson said.

Nationally, job openings and rehires had a strong comeback in May that nearly matched the total separations from April, according to the BLS. Texas construction employment made a recovery, but it was comparably modest, falling significantly short of April’s job loss. 

"Like many post-COVID industries, Texas’ new-home market may be stuck in a game of red light/green light with the virus calling the shots," Roberson said. "National builder sentiment improved considerably once the lockdowns began to relax and foot-traffic improved. Unfortunately for Texas, building permit counts for single-family homes haven’t recovered and are currently low when they should be high due to summer seasonality. This likely means bad news for future new-home sales, which means builder sentiment could recoil."

Texas land expert: "There's a lot of country for sale, and oil patch buyers have vanished," says Center Research Economist Dr. Charles Gilliland. Despite COVID-19-induced shutdowns and plummeting oil prices, the overall Texas land market did post some encouraging results.
Tune in Tuesday, Aug. 4, on Facebook Live as Dr. Gilliland gives a region-by-region update of sales, prices, and transactions, and his assessment of what lies ahead for rural lands of Texas in the remainder of 2020. Check out our event page for more.

Texas unemployment claims fall for second straight week

COLLEGE STATION (Real Estate Center) – In the week ending July 25, Texas' initial unemployment claims decreased to a little over 81,300. That brings the total since March 21 to 3.08 million, according to data from the U.S. Department of Labor (DOL).

This marks the third consecutive week of declines as the number of daily new COVID-19 cases trended downward. 

Despite the decrease in new claims, the number of Texans who continue to claim unemployment insurance increased the week of July 18 to 1.2 million.

"This increase is worrisome, indicating that people continue to find themselves unemployed," said Real Estate Center Research Economist Dr. Luis Torres.​

According to data from the DOL and the Employment and Training Administration, the number of initial unemployment claims decreased the week of July 18 in Texas' major and border metros. This marks the second consecutive week of declines.

With almost 688,300 claims, Houston has the largest ​cumulative number of unemployment claims of any Texas metro.

Here are Center estimates for the other three major and the four border metros from March 21 to July 18:
  • Dallas-Fort Worth-Arlington, 661,800 claims;
  • San Antonio-New Braunfels, 210,300 claims;
  • Austin-Round Rock, 183,100 claims;
  • McAllen-Edinburg-Mission, 79,300 claims;​
  • El Paso, 69,300 claims;
  • Brownsville-Harlingen, 35,100 claims; and
  • Laredo, 21,300 claims.
​Although McAllen saw decline in new unemployment claims, its overall coronavirus cases and deaths have increased at a significant rate, negatively impacting the local economy's recovery.

Accommodation and food services, healthcare and social assistance, retail trade, and administrative/support/waste management/remediation services represented the sectors with the biggest unemployment claims.

Nearly 54.1 million Americans have filed unemployment claims in the past 19 weeks, and new claims increased the week ending July 25. This is the second consecutive week of increases, raising concerns that the recovery could be stalling nationally.
Podcast 446: COVID-19's impact on Texas housing
After Texas’ stay-at-home restrictions began expiring in May, many were eager to see the economy begin to bounce back from the pandemic. How did the Texas housing market fare during the outbreak? Center Chief Economist Dr. Jim Gaines shares his thoughts on our latest Red Zone podcast.

Pandemic creates Texas manufactured housing backlog

COLLEGE STATION (Real Estate Center) – Consumer demand for Texas manufactured housing rose in July, but COVID-19-related disruptions hindered the industry’s ability to meet orders and created a backlog.

"As coronavirus cases rose through the first half of July, the state's manufactured housing plants had to operate with a reduced workforce," said Rob Ripperda, vice president of operations at the Texas Manufactured Housing Association (TMHA). "Employees with fevers or symptoms had to remain home and out of the factory until they cleared the return-to-work guidelines. These guidelines are set at the corporate level, and follow the recommendations posted by the Centers for Disease Control and Prevention."

In addition to labor-supply constraints, the price of raw materials elevated. Lumber and steel account for the largest input share for manufactured housing. Rising material costs, however, were offset by higher sale prices.

The Real Estate Center at Texas A&M University and the TMHA have partnered to produce a monthly survey of business conditions and expectations surrounding the manufactured housing industry.

Overall, the manufacturers noted favorable levels of business activity and remained optimistic for the second half of 2020. Production is projected to increase in sync with sale prices, despite rising uncertainty and ongoing supply-chain disruptions.

For more on manufactured housing, read "The Next Generation: Mainstreaming Manufactured Housing" by Center Research Economist Dr. Harold Hunt.
Enter Out 2020 Photo Contest
Real Estate Center publications are known for their stunning photography. While many shots are taken by our professional photographers, we can't be everywhere in Texas year-round. That's where you come in. Send us your best Texas photograph for a chance to be featured in TG or our 2021 wall calendar. Enter now before time runs out! 

Lockheed Martin taking 220K sf outside Texarkana

​​​NEW BOSTON (REBusiness Online) – Lockheed Martin has signed a 220,000-sf industrial lease at the TexAmericas Ce​nter outside of Texarkana.

The firm will take floor space in Building 333 at 107 Chapel Ln. The building is currently leased to Red River Army Depot until 2024.

It will undergo improvements requested and paid for by Lockheed Martin as part of its public/private partnership with Red River. 
Helping Texans make the best real estate decisions since 1971.

BCS housing market recovering from COVID-19 dip 

​COLLEGE STATION (The Eagle) – The local hou​sing market showed strength in June after falling for the first months of the pandemic. 

Listings increased 14.1 percent from June 2019 to 446 listings closed, according to the Bryan-College Station Regional Association of Realtors. 

The median home sale price rose 2.5 percent to $226,500. 

Homes spent an average of 106 days on the market, nine days longer than last year. 

Inventory fell to a record low of 2.7 months. The Real Estate Center considers six to 6.5 months of inventory a balanced market.
Looking for more real estate news? Our NewsTalk Texas feed has all the latest headlines. Here's a sample:

First phase of Lower Heights MXU project nearing completion

​​​HOUSTON (REBusiness Online) – Gulf Coast Commercial Group is wrapping up the first phase of the 24-acre Lower Heights mixed-use development along I-10.

The most recent addition to the project is a 35,000-sf office building with street-level retail space leased to Central Bank and SheSpace.

There is also a 375-unit apartment community called Alexan Lower Heights. The five-story, Class A complex offers studio and one- and two-bedroom units.​

The project's 37,000-sf retail block is home to Total Wine and Ulta Beauty.

Future phases call for additional retail, office, and multifamily space. ​
market viewer screen shotTexas Realtors' MarketViewer tool helps members and their clients quickly understand the market statistics in their area. This powerful tool is a member benefit available exclusively to Texas Realtors and local Realtor associations in Texas. Data are compiled and analyzed through a research agreement between Texas Realtors, the Real Estate Center, and all MLSs across the state. 

Mid-rise office building coming to East Austin 

​​AUSTIN (Austin Business Journal) – 11E5 LLC and Endeavor Real Estate Group are developing a six-story office building at 1100 E. 5th St. 

The building will have ground-floor restaurant and retail space and five levels of underground parking.      

Construction will be complete in 2023. 

Kimley-Horn & Associates Inc. is the civil engineer. Thoughtbarn and Delineate Studios are designing the project.
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First phase of Fort Worth industrial park underway

​​FORT WORTH (Dallas Morning News) – Jackson-Shaw has filed construction permits for the first three buildings in its new 46 Ranch Logistics Park.

Located at Altame​sa Blvd. and Campus Dr., the $15 million project will eventually include two million sf of industrial space across 170 acres.

The 560,000-sf first phase will be ready in early 2021.

Stream Realty Partners is handling leasing.

53-story high-rise coming to Rainey Street 

​​​AUSTIN (Austin Business Journal) – Urbanspace is developing a 53-story hotel and residential tower at 90 and 92 Rainey St.

The tower will include 290 apartm​ents and a 293-room hotel. 

Kimley-Horn and Associates Inc. is the engineer. 

Construction will begin in 2021. 
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Copyright © 2020, All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source. To send news items for consideration, e-mail Hayley Rieder. The Real Estate Center is part of Mays Business School at Texas A&M University in College Station - the heart of the Research Valley.

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RECON for July 28, 2020RECON for July 28, 20202020-07-28T05:00:00Z2020-07-28T05:00:00Z

RECON Real Estate Center
A female real estate sales agent wearing a patterned face mask holds an orange file folder
According to an Inman study, the overall number of broker and sales licensees in Texas was up in June despite the economic downturn caused by the COVID-19 pandemic. Additionally, the National Association of Realtors reports a rebound in U.S. existing-home sales in June. Keep reading today's RECON for the details. (Photo from Center files.)
July 28, 2020

Texas real estate licensee numbers up despite pandemic 

​​​​​​​NEW YORK CITY (Inman) – Despite the COVID-19 outbreak, new real estate license applications increased nationally in late spring and early summer, according to an Inman study. 

Most of the 32 states surveyed saw a drop in applications in the first months of the outbreak before rebounding once many stay-at-home orders expired. 

Texas Real Estate Commission data show a drop in number of license applications in March and April. However, that drop had already began in February, making the pandemic's role in shaping the numbers unclear.

Either way, Texas' new application numbers saw a rebound in late spring.

The overall number of broker and sales licensees in Texas was up nearly 10,000 last month compared with June 2019. 

Membership numbers for the National Association of Realtors (NAR) are also growing, at least for now. 

"We’re seeing an increase in membership, and 2020 could set an all-time high, surpassing 1.4 million members," said NAR Chief Economist Lawrence Yun. "In June 2020, NAR had 1.397 million members, up 1.7 percent from one year ago."

The increase in members may be due to people losing their jobs in other industries and opting to give real estate a shot. 

"There’s always a strong influx of real estate agents when there are higher levels of unemployment," said Victor Lund of WAV Group. "The income opportunity is great and the commitment is low."
A couple talking to a mortgage lenderThe Federal Home Loan Mortgage Corporation's 30-year fixed rate is widely considered the national benchmark for home-purchase mortgage interest rates. However, this rate doesn't apply to all Texas borrows. Building on the national benchmark, Real Estate Center researchers calculated two separate Texas mortgage rates to fill the information gap. Read our latest report for the details.

U.S. existing-home sales rebound at record pace in June

WASHINGTON​ (National Association of Realtors) – ​​Existing-home sales rebounded at a record pace in June, showing strong signs of a market turnaround after three straight months of sales declines caused by the pandemic.

According to the National Association of Realtors (NAR), total existing-home sales jumped 20.7 percent from May to a seasonally-adjusted annual rate of 4.72 million in June. 

Sales overall, however, dipped year over year, down 11.3 percent from a year ago (5.32 million in June 2019).

"The sales recovery is strong as buyers were eager to purchase homes and properties that they had been eyeing during the shutdown," said NAR Chief Economist Lawrence Yun. "This revitalization looks to be sustainable for many months ahead as long as mortgage rates remain low and job gains continue."

The median existing-home price for all housing types was $295,300, up 3.5 percent from last year. June’s national price increase marks 100 straight months of year-over-year gains.

Total housing inventory totaled 1.57 million units, up 1.3 percent from May but still down 18.2 percent from one year ago (1.92 million). 

Inventory sits at a four-month supply, down from June 2019. The Real Estate Center considers six to 6.5 months of inventory a balanced market. 

Properties typically remained on the market for 24 days, down from 27 days in June 2019. 

​Existing-home sales in the South—the region that includes Texas—jumped 26 percent to an annual rate of 2.18 million in June. The median price was $258,500, a 4.4 percent increase from a year ago.

Looking for Texas housing information? Read our latest Texas Housing Insight report.
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Real Estate Center publications are known for their stunning photography. While many shots are taken by our professional photographers, we can't be everywhere in Texas year-round. That's where you come in. Send us your best Texas photograph for a chance to be featured in TG or our 2021 wall calendar. Enter now before time runs out! 

Redevelopment giving Dallasites another place to Work/Shop 

​​DALLAS (Dallas Morning News) – Triten Real Estate Partners and Catlyn Capital are redeveloping a property at 5494 Belt Line Rd. into a combination of office and retail space.

The 200,000-sf project, called Work/Shop, will​ include two office buildings, 81,500 sf of retail space, and 30,000 sf of outdoor plaza and green space.

The site currently includes several retail buildings and two three-story office buildings.

O’Brien Architects, SMR Landscape Architects, and Studio DWG are handling the redo.

Venture Commercial Real Estate will handle retail leasing, and Holt Lunsford Commercial will oversee the office buildings.
texas weekly leading indicator

The Texas weekly leading index increased for the second straight week indicating an uptick in economic activity through the week ending on July 18. The strength and pace of the recovery is being hindered by the rise in the number of Texas COVID-19 cases; they have prevented the re-opening of the state's economy. The increment in the weekly leading index was due to an increase in business applications, fewer people filing for unemployment insurance, small gains in the real price of West Texas Intermediate oil, and a lower real rate for the ten-year Treasury bill. Read COVID-10 Impact Projects on Texas' Economy for more.

SAHA, Mission DG break ground on 200-unit Tampico Lofts 

​​​SAN ANTONIO (San Antonio Business Journal) – The San Antonio Housing Authority (SAHA) and Mission DG have broken ground on Tampico Lofts, a 200-unit affordable apartment complex at 2​00 Tampico St. 

The complex will reserve 107 units for residents making 60 percent or less of the area’s median income. 

SAHA is demolishing a vacant warehouse on the 3.76-acre property to make way for the complex. 

Construction will be complete in August 2022. 
NewsTalk Texas logoHungry 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. 

405-bed student housing project delivers near UH

​​​HOUSTON (REBusiness Online) – WGC Partners, GRC Capital, and Principal Real Estate Investors have completed Tower 5040, a student housing project near the University of Houston.

The 147-unit property at 5040 Calhoun​ Rd. has 405 beds across one-, two-, and four-bedroom floor plans. Amenities include a game room, business center, fitness center, pool, and pet park.

Dallas-based Humphreys & Partners designed the project. Locally based Arch-Con Construction was the general contractor. 
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North Side mixed-use project gets green light

​​​SAN ANTONIO (San Antonio Business Journal) – The local zoning commission has approved the development of a two-acre mixed-use project.

The development at 12400 S. Hausman Rd. ​​will feature 169 residential units and ground-level retail space.

Athena Domain is the developer. 
Communication Matters video seriesThe Real Estate Center's Texas Home Price Index measures price appreciation changes for residential single-family homes. It provides data for eight different Texas metros across three different price ranges.

Michaels taking 124K sf near DFW airport

​​​IRVING (Dallas Morning News) – Michaels is leasing the entire 123,740-sf Royal Ridge III office building at 3939 W. John W. Carpenter Fwy. 

Florida-based Accesso owns the three-story building near the Dallas-Fort Worth International Airport.​
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$14M facility coming to SW Round Rock

​​ROUND ROCK (Community Impact Newspaper) – Investex II LLC has broken ground on a 125,000-sf facility at 16400 Bratton Ln. 

In exchange for $375,000 in economic incentive payments, the facility will create 60 jobs over the next five years. 

Construction will be complete by August 2021.​​​
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Copyright © 2020, All rights reserved.
Material herein is published according to the fair-use doctrine of U.S. copyright laws related to non-profit, educational institutions. Items attributed to sources other than the Real Estate Center at Texas A&M University should not be reprinted without permission of the original source. To send news items for consideration, e-mail Hayley Rieder. The Real Estate Center is part of Mays Business School at Texas A&M University in College Station - the heart of the Research Valley.

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