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RECON for January 20, 2017RECON for January 20, 2017Bryan PopePope
2017-01-20T06:00:00Z
Just in time for Inauguration Day, Center Research Economist Dr. Luis Torres blogs about the economic issues facing the incoming administration. Click here to read. (Photo from Center files.)
January 20, 2017

LyondellBasell completes ethylene expansion

CORPUS CHRISTI (Corpus Christi Caller-Times) – LyondellBasell has wrapped up its ethylene expansion project, increasing ethylene capacity at its local facility by 50 percent to 2.5 billion pounds per year from 1.7 billion.

The expansion required about 1,700 tons of structural steel, 36 miles of pipe, 620 truckloads of concrete, and more than one million linear feet of cable. It also took roughly 800,000 engineering work hours and more than eight million construction work hours to complete.​ 

​Ethylene is a basic chemical buildi​ng block used in consumer products such as housewares, construction materials, automotive parts, food packaging, and personal care products.

Global demand for ethylene has consistently grown at a rate of 4 percent annually, according to IHS Markit, a global information and analytics company.​

Central Texas home sales up 3.9 percent last year

AUSTIN (Austin Board of Realtors) – The December & Year-End 2016 Central Texas Housing Market Report released by the Austin Board of Realtors reported 2016 as another record-breaking year for Central Texas home sales, while also showing signs that the housing market could begin to normalize in 2017.

Last year, 29,569 single-family homes were sold in the five-county MSA, a 3.9 percent increase from 2015 and an all-time high for annual home sales volume. Median price for single-family homes rose 7.2 percent to $284,000, while home sales dollar volume jumped 9.1 percent to nearly $10.5 billion.

Homes spent an average of 50 days on the market in 2016, an increase of two days from 2015.

Housing inventory levels remained unchanged from year-end 2015 to year-end 2016, ending December 2016 at two months of inventory.

In December, single-family home sales rose 1.9 percent year-over-year to 2,373 home sales, while median price rose 6.9 percent to $290,000.

The full report can be found at www.abor.com/statsdec16/​​.

Here's the 'Skinny' on IT firm's Frisco expansion

FRISCO (Dallas Morning News) – Locally based Skinny IT is relocating to the 216-acre Frisco​​​ Park 25 project on Preston Rd. and Rockhill Pkwy., south of US 380.

The information technology firm has a nine-acre site under contract for a new 130,00​​​0-sf facility. Skinny IT plans to start construction on the building this summer, with completion expected in mid-2019.

With the new facility, Skinny IT will expand its operation to 150 employees.

The new headquarters complex will include a full-service restaurant, gym, and warehouse space that will be used as its North Texas distribution center. 

Sunridge industrial building changes hands

​​​​​WILMER (Colliers International) – ​Makita U.S.A. Inc. has purchased a 227​​,230-sf industrial building​ at 910 E.​ Pleasant Run Rd. within Sunridge Business Park.

The buyer will use the building for its regional distribution center.

Colliers International Group Inc. represented both the building developer, Scannell Properties, and Makita in the transaction.​

CapRocq acquires office building in $13.6 million deal

PLANO (REBusiness) – CapRocq has acquired Parkway Commons, a three-story office building at 5068 W. Plano Pkwy., for $13.6 million.

​​At the time of sale, ​the 101,289-sf property was 89 percent leased to a variety of tenants, including Farmers Insurance, Qualitest, and Kenny's Restaurant​ Group.

Colliers International arranged the sale. 
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.

Avistone takes five with North Texas industrial buy

DALLAS (Colliers International) – ​​Avistone LLC has acquired Northgate III, a 155,494-sf industrial portfolio.

The sale consisted of five buildings at 11805-11829, 11845-11895 Forestgate Dr. and 12021, 11999, and 11969 Plano Rd.

Colliers International Group Inc. represented the buyer.

244 San Antonio units sold

​SAN ANTONIO (REBusiness) – The PPA Group ​​has sold Kenton Place, a 244-unit multifamily property on 20 acres at ​14650 Nacogdoches Rd.​, to a private buyer.

PPA purchased the property in 2008. The company renovated and updated the property, increasing​​ its net operating income​​ by 22 percent during its ownership period.​​

JV starts on Crestview-Wooten apartments

AUSTIN (Costar) – ​​High Street Residential and Principal Real Estate Investors have begun construction on Crestview Commons, a 353-unit apartment complex near the Crestview MetroRail.

The four-story complex is being constructed at 7200 Easy Wind Dr. in the Crestview-Wooten Multifamily submarket.

Designed by JHP Architecture​ to LEED specifications, the community will consist of one- to three-bedroom floor plans ranging from 642 to 1,405 sf.

Andres Construction is serving as general contractor, and Comerica Bank and Southside Bank are providing construction financing for the project.

Preleasing will begin in January 2018 with construction completion slated for the second half of 2018.​ 
In the market for Texas real estate data? Look no further. We're your one-stop shop for housing, rural land, building permit, employment, and population data.

Luxury apartment planned near Lake Houston

HUMBLE (Houston Business Journal) – ​​Martin Fein Interests Ltd. closed on 17.9 acres off W. Lake Houston Pkwy. and plans to build luxury apartments.

The three-story garden-style apartment​ complex will include about 300 units.

Work will start on the project later this year. 

Foundry development to get two multifamily communities

FORT WORTH (Dallas Business Journal) – ​​Fort Capital will soon begin construction on The Townhomes at The Foundry and Fort201.

The Townhomes at the Foundry will feature two-bedroom, two-and-a-half bathroom floor plans of 2,135 sf. The three-story townhomes will start at $430,000.

Fort201 will bring 72 high-end rental homes to The Foundry with monthly rents starting at $1,075.

​Completion is slated for late 2017.​​

Howard Hughes developing 292 units

​THE WOODLANDS (REBusiness) – The Howard Hughes Corp. and its subsidiary The Woodlands Development Co. are developing Creekside Park Apartments, a multifamily property within Creekside Park Village Center.

The property, located on Kuykendahl Rd., will have ten two-story buildings totaling 100 units and two four-story buildings totaling 192 units​​. 

Designed by Humphreys & Partners Architects, Creekside Park is slated for completion in mid-2018.​
Copyright © 2017, 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 Bryan Pope. 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=42
RECON for January 17, 2017RECON for January 17, 2017Bryan PopePope
2017-01-17T06:00:00Z
NTT Data International LLC will be the lead tenant in Gaedeke Group's soon-to-deliver One Legacy West. The global IT services giant has signed a five-floor lease for 41 percent of the LEED Gold project. Details in today's RECON. (Rendering courtesy of Gaedeke Group.)
January 17, 2017

Work starts on Northwest El Paso power center

​EL PASO (El Paso Inc.) – River Oaks Properties is building a large shopping center called West Towne Marketplace on 63 acres at the intersection of Artcraft Rd. and I-10.

West Towne Marketplace will include 500,000 sf of retail and restaurant space. River Oaks purchased the land a few years ago from local businessman Paul Foster and his partners.​

​Tenants will include Cabela's, T.J. Maxx, HomeGoods, PetSmart, and Rack Room Shoes.

The center will be anchored by a 190,000-sf big-box store. 

Michigan investor buys Beltway 8 Industrial Park

​​​​HOUSTON (McDaniel & Co.) – Gupta Partners, a private investor based in Michigan, has purchased the 276,000-sf, nine-building Beltway 8 Industrial Park.

Sitting on 9.3 acres at 5829 W. Sam Houston Pkwy. N., the property was 88 percent occupied at the time of sale.

Moody Rambin represented the seller, a California investment group​​, as well as Gupta​ Partners. Moody Rambin will also lease and manage the property. 

IT giant leasing 41 percent of new One Legacy West

​​​​PLANO (Gaedeke Group) – Gaedeke Group LLC has landed NTT Data International LLC as the lead tenant in its soon-to-deliver One Legacy West.

The global IT services giant has signed a five-floor lease for 41 percent of the LEED Gold project.

The 126,715-sf lease runs well over a decade. NTT Data, which recently acquired the former Dell Services, expects to open its new North American headquarters there in early summer.

On track to deliver this month, the 307,824-sf, 14-story One Legacy West at 7950 Legacy Dr. is on 11 acres at the northwest entrance to the 240-acre Legacy West, a $3 billion mixed-use urban development in West Plano.

One Legacy West and an attached six-level parking structure were designed by Dallas-based Morrison Dilworth + Walls.

Hurst apartment community trades hands

HURST (Marcus & Millichap) – A Dallas-based private investor has purchased Valencia Park, a 112-unit apartment property at 300 N. Booth Calloway Rd.

Built in 1968, Valencia Park has an average unit size of about 1,000 sf. Around 75 percent of the units are two- or three-bedroom floor plans.

Marcus & Millichap secured the buyer and marketed the property on behalf of the seller, a local private investor.
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. 

Crow Holdings acquires Phoenix Midtown apartments

DALLAS (Dallas Morning News) – A Crow Holdings investment fund acquired the 449-unit Phoenix Midtown apartments at 5555 E. ​Mockingbird Ln. next to DART's Mockingbird light rail station.

Built in 1998, the art deco-style rental community is on the site of the old Dr Pepper headquarters, just east of SMU and US 75.

Rents average almost $1,200 a month. The Phoenix apartments were almost fully leased at the time of sale.

Holliday Fenoglio Fowler marketed the property.

Class A condo project gets funding

AUSTIN (GlobeSt) –​​​ Sackman Enterprises Inc. and its partner, Starryland USA Corp., ​are developing 70 Rainey, a 34-story, Class A condominium project downtown.

HFF arranged​ $106 million in financing for the development. The construction loan is with ACORE Capital LP.

Due for completion in 2018, the LEED Gold-registered project will include 173 homes averaging 1,393 sf. 

The property will also have an amenity deck with 10,000 sf of indoor space and 20,000 sf of outdoor space.
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. 

New Fairview regional center owner plans $50 million redo

FAIRVIEW ​(Dallas Morning News) – Lincoln Property Co. has purchased one of North Texas' largest shopping centers with plans to ​​renovate​ the property.

The one million-sf Village at Fairview on Stacy Rd. at US 75 is anchored by Dillard's, Macy's, and JCPenney.

The seller was Prudential Insurance. 

As part of its $50 million renovation plan, Lincoln Property will tear down nearly 50,000 sf of the shopping center to open it up more for traffic and create a central green space.

The 200-acre project will be renamed Fairview Town Center. O'Brien Architects was hired to handle the makeover.
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.

Local sales tax allocations up 4.9 percent

​AUSTIN (Texas Comptroller of Public Accounts) – The Texas Comptroller's Office will send cities, counties, transit systems, and special purpose taxing districts $647.4 million in local sales tax allocations for January.

​​That is 4.9 percent more than in January 2016.

"The cities of Dallas, Fort Worth, Austin, and San Antonio continue to see significant increases in sales tax allocations," Hegar said. "The cities of Houston and Sugar Land saw noticeable decreases in sales tax allocations."​

See the Comptroller's Monthly Sales Tax Allocation Comparison Summary Reports for more details. 
Copyright © 2017, 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 Bryan Pope. 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=41
RECON for January 13, 2017RECON for January 13, 2017Bryan PopePope
2017-01-13T06:00:00Z
January 13, 2017

Texas builder elected chairman of NAHB

ORLANDO, Fla. (National Association of Home Builders)​ – Granger MacDonald, a Kerrville-based builder and developer, was elected as the 2017 chairman of the National Association of Home Builders (NAHB) during the association’s International Builders’ Show.

MacDonald is chairman and CEO of the MacDonald Companies, a development, construction, and property management enterprise with nearly 50 neighborhoods completed and managed throughout Texas.

MacDonald has served on the NAHB ​Board of Directors for more than 30 years and is a member of the NAHB Executive Board.

MacDonald was elected president of the Texas Association of Builders in 2010 and is a member of the Hill Country Builders Association, the Greater San Antonio Builders Association, and the Home Builders Association of San Angelo.

He has served on the Kerrville/Kerr County Airport Board and the City of Austin Planning Commission. He was also chairman of the City of Austin Environmental Board and president of the Upper Guadalupe River Authority.​​​​

Real Estate Center chief economist to speak at North Texas Realty Symposium

ADDISON (Appraisal Institute) – Real Estate Center Chief Economist Dr. James Gaines will be the featured presenter at the Appraisal Institute-North Texas Chapter’s 8th Annual North Texas Realty Symposium.

The one-day event will be Friday, Jan. 20, at The Crowne Plaza Dallas Hotel, 14315 Midway Rd. in Addison. It will include expert insights into the North Texas real estate market and the regional and national economies.

Topics will include construction costs of new development, trends in new residential development and subdivision construction, redevelopment of Panther Island, regional and national economic outlook and real estate market trends, the health care real estate market, and the art of the deal from an investor’s perspective.

The cost is $225 per person and includes lunch. Detailed information and online registration is at Real Es​​tate Symposium Registration.

Copy that! HP building campus in Springwoods Village

​​​SPRING (Houston Chronicle) – HP, a successor of Hewlett Packard, has signed a lease for a new campus on 12 acres in Springwoods Village near I-45 and the Grand Pkwy. 

The company will occupy 378,000 sf in two buildings that will house around 2,400 employees. 

Construction will begin early this year with completion planned in third quarter 2018.

The development group consists of Patrinely Group, USAA Real Estate Co., and CDC Houston.

Austin builder named 2016 NAHB Custom Home Builder of the Year

ORLANDO, Fla. (National Association of Home Builders) – Luis Jauregui, owner of Jauregui Inc. in Austin, has been named Custom Home Builder of the Year by the National Association of Home Builders (NAHB) Custom Home Builders Committee.

Sponsored by Sherwin-Williams, the award was presented at the NAHB International Builders’ Show. ​

Over the past three decades, Jauregui has built more than 300 luxury custom homes and 45 speculative homes, including 15 showcase homes open to the public.​ 

Jauregui is active with national and local home builders associations (HBAs), currently serving on NAHB’s Design Committee. In 2007, he was awarded the Custom Builder of the Year by the HBA of Greater Austin.​
Wednesday was National Milk Day, so we raised our glasses to North Texas dairy farmers. We also took listeners to a former ghost town that's on the market, filled them in on an Asian supermarket's expansion into Austin, and talked Texas relocation. We even took a moment to ponder classic TV westerns from the '50s and '60s. All this and much more on the latest Red Zone podcast. (17 min. 09 sec.) 

Atlanta developer enters southern Dallas County market

​HUTCHINS (Dallas Morning News) – Atlanta-based Core 5 Industrial Partners ​​is developing a 754,897-sf distribution and manufacturing building on 41.5 acres at 1200 Wintergreen Rd. near I-45.

​NAI Robert Lynn Industrial and Wicker and Associates worked on logistics.

The facility is set to open in June. The city provided tax incentives.

Uptown units sold to Florida investor

​​DALLAS (Dallas Morning News) – Florida-based Kislak Organization has purchased Routh Street Flats, a 208-unit rental project at 3033 Routh St​.

The six-story apartment community was developed by Alamo Manhattan​ and is Kislak's second Uptown purchase.

Moran and Company Southwest brokered the sale. Financing was provided by Connecticut General Life Insurance Co.​
We get plenty of questions here at the Real Estate Center. But some recent questions stood out to us. Read about how we help Texans make better real estate decisions on our Mixed-Use blog. Click here for more.

The Shops at Tech Ridge trading hands

AUSTIN (Costar) – RD Management of New York City is acquiring The Shops at Tech Ridge.

Completed in 2003, The Shops at Tech Ridge is a 504,153-sf regional shopping center located at 12901 I-35 S. near Parmer Ln. 

RD Management will serve as on-site property manager and will handle leasing in-house. The firm has signed Floor & Decor to a 77,958-sf lease, adding the hard-surface flooring retailer to an anchor line-up that includes Ross, PetSmart, Toys 'R' Us, and Conn's HomePlus.​

The acquisition marks the second Lone Star State investment for RD Management.

Tire company inflates North Texas facility

GRAND PRAIRIE (Dallas Business Journal) – ​​Continental Tires, one of the largest tire manufacturers in the world, is expanding its North Texas distribution facility.

The developer, Duke Realty Corp., will add 282,507 sf to Grand Lakes 4003, bringing the building's total footprint to over one million sf.

Continental Tires will occupy 58 percent of the new space, or about 164,500 sf. That leaves​ 118,007 sf available for lease. 

The additional space will give Duke Realty leasing room in its 4.2 million-sf portfolio.
The latest editions of our Outlook for the Texas Economy and Texas Housing Insight are now online.

9.2 acres sold for Penske rental and maintenance facility

​HOUSTON (RealtyNewsReport) – Molto Properties has sold 9.2 acres at Airtex Commerce Center–Phase II at 431 E. Airtex Dr.

The buyer, Fleet Management Co., will build a Penske rental and equipment maintenance​ facility on the site. 

Colliers International represented Molto, and CBRE represented the buyer.

90-year-old Main St. tower sold

​​​​DALLAS (Dallas Morning News) – A company set up by Tim Headington—one of Main St.'s biggest property owners—has purchased the Davis Building.

Originally built as the Republic National Bank building at 1309 Main St., the 90-year-old property​ was redeveloped in 2003 into a loft apartment complex. A California apartment firm bought the property in 2011.

The Davis Building has 183 apartments and more than 50,000 sf of retail space. The sale also includes the attached 12-story, 587-space parking garage. 

Dallas building sold in 17-property deal

DALLAS (CBRE) – New York City-based Gramercy Property Trust has purchased the North American Logistics Portfolio, a 17-property national industrial portfolio that includes one Texas facility.

The 10.2 million-sf portfolio consists of 17 Class A distribution facilities and is 97 percent occupied. The only facility in Texas is the 527,100-sf Trade Ave. building in Dallas.

The seller was San Antonio-based USAA Real Estate Company. ​
Copyright © 2017, 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 Bryan Pope. 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=40
RECON for January 10, 2017RECON for January 10, 2017Bryan PopePope
2017-01-10T06:00:00Z
Sneak peak at this month's issue of Tierra Grande magazine, hot off the press and hitting mailboxes soon. (Photo by REC Art Director Bob Beals.)
January 10, 2017

Columbia Property Trust exits Houston market

​HOUSTON (Houston Chronicle) – Columbia Property Trust Inc. has sold its entire local​ portfolio to a California investment firm for $272 million.

​​​San Francisco-based Spear Street Capital purchased the 1.2 million-sf, three-building office portfolio. The bundle includes:
  • ​5 Houston Center, 1401 McKinney St. Columbia had owned the 27-story, 581,000-sf office tower since 2005.
  • Energy Center I, 585 N. Dairy Ashford Rd. Columbia purchased the 332,000-sf building along I-10 in 2010.
  • 515 Post​ Oak Blvd. Columbia purchased the 12-story, 274,000-sf building in 2004 and renovated it in 2013.

Texas residential realty summit Feb. 10 in Austin

COLLEGE STATION (Real Estate Center) – Registration is open for the 1st Annual Texas Residential Realty Summit: Inside the Residential Transaction with Industry Partners.

The half-day event will begin at 1 p.m. Friday, Feb. 10, 2017, at the Hyatt Regency Hotel at 208 Barton Springs Rd. in Austin.

It will feature interactive panels of experienced industry and regulatory professionals discussing current issues and trends affecting the successful closing of single family residential transactions. Topics will include contracts, mortgage lending, valuation, title issues, escrow documentation, and more.

Cost is $30. Real estate and appraisal license holders will earn three hours of continuing education credit.

The conference is sponsored by the Texas Real Estate Commission, Texas Appraiser Licensing & Certification Board, Real Estate Center at Texas A&M University, and Texas Association of Realtors (TAR).

TAR members should register through TAR's registration site. All others please click here to register.

Online winter oil, gas lease sale ends Jan. 17

AUSTIN (Texas General Land Office) – The last Texas General Land Office (GLO) Winter Oil & Gas Lease Sale is Jan. 17.

During the lease sale participants bid for the right to explore for oil and gas on Permanent School Fund property owned by the state. Tract information is available on the EnergyNet website.

Bids will be accepted until 10 a.m.

This will be the fourth GLO lease sale to be held online. The third online lease sale, he​​ld last July, earned public education more than $98 million.

Making New Year's resolutions is a time-honored tradition. Do you have any real estate-related resolutions for 2017? Click here to share them with us. They might turn up in an upcoming blog post.

FHA reducing insurance premiums on most new mortgages

WASHINGTON, D.C. (U.S. Department of Housing and Urban Development) – ​​​​The Federal Housing Administration (FHA) announced plans to reduce the annual premiums most borrowers pay by a quarter of a percent.

FHA is reducing its annual mortgage insurance premium (MIP) by 25 basis points for most new mortgages with a closing/disbursement date on or after Jan. 27, 2017​. The new premium rates are projected to save new FHA-insured homeowners an average of $500 ​this year.

This reflects the fourth straight year of improved economic health of FHA’s Mutual Mortgage Insurance Fund (MMIF), which gained $44 billion in value since 2012. Last year alone, an independent actuarial analysis found the MMIF’s capital ratio grew by $3.8 billion and now stands at 2.32 percent of all insurance in force—the second consecutive year since 2008 that FHA’s reserve ratio exceeded the statutorily required two percent threshold.​

JV developing 25-story Residences at Legacy

PLANO (REBusiness) – A joint venture between High Street Residential and Principal Real Estate Investors is developing a 25-story, 372,734-sf residential tower within Legacy Tower Center.

The Residences at Legacy will feature 300 units in one-, two-, and three-bedroom layouts ranging from 661 ​to 3,000 sf. The tower will also offer over 14,500 sf of indoor amenity space. 

Project team members include:
  • Good Fulton & Farrell, architect;
  • Waldrop + Nichols Studio, interior designer;
  • The Office of James Burnett, landscape architect; and
  • Andres Construction, general contractor.
Wells Fargo Bank provided construction financing. Construction is slated to begin this month.
The 85th Texas Legislative session begins this month. In his latest publication, Center Research Attorney Rusty Adams covers the bills pertaining to the real estate industry. You can also hear him talk about some of the bills on last week's Real Estate Red Zone podcast.

Apartments, retail to replace vacant shopping center

DALLAS (Dallas Morning News) – StreetLights Residential is developing an over 400-unit apartment and shopping center development across the street from the Inwood/Love Field DART rail station off Maple Ave.

The development will occupy more than four acres at ​Denton and Hudnall Drives just east of Maple.

Plans filed with the Dallas Plan Commission show ​a complex of three- to six-story buildings that house rental units and a grocery-anchored trail center.​

The property is now occupied by a vacant strip shopping center. Older apartments on the south end of the block were previously demolished.​​​

Looney Ricks Kiss Architects designed the project.

Lakeside Harbor development sold

ROCKWALL (Dallas Morning News) – Dallas-based PegasusAblon ​​has bought The Harbor development on Lake Ray Hubbard with plans to upgrade the property.

The purchase includes the 130,000-sf retail and restaurant portion as well as land for future ​construction.

The retail development at 2125 Summer Lee Dr., which includes a Cinemark Theater, is about 80 percent leased. ​
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.

Innovative Multi-Family Investments acquires 183 units

​​SAN ANTONIO (Innovative Multi-Family Investments LLC​) – ​​Innovative Multi-Family Investments LLC has acquired a two-property portfolio.​

The 153-unit Crestwood Apartments was built in 1965 at 5009 Royalgate Dr.

The 130-unit Whitewood Oaks Apartments was built at 200 Whitewood St. in 1967.

IMFI will manage the 205,587-sf portfolio​.

Berkadia brokered the transaction.

Shadow Bay Apartments trades hands

​​BAY CITY (Innovative Multi-Family Investments LLC​) ​​​– Innovative Multi-Family Investments LLC has purchased Shadow​ Bay Apartments, a 232-unit community at 1700 Baywood Dr.

Built in 1978, the 167,773-sf property was fully renovated in 2015.

The buyer will manage the property. Houston Income Properties brokered the transaction.
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.

Converse to annex 5.2 square miles

CONVERSE (San Antonio Business Journal) – Under a proposed deal, the city will annex three square miles of unincorporated acreage along I-10 over a multiyear period. It will also get a 2.2-square-mile piece of San Antonio as part of a boundary adjustment.

The annexation will allow the city to provide services such as police and fire to residents and make infrastructure improvements in the area.

San Antonio Mayor Ivy Taylor said the agreement is the result of both municipalities taking a “regional planning approach” to the challenges created by continued growth in the Greater San Antonio area.​

One of the two areas Converse is gaining is near the intersection of I-10 and Loop 1604. The other is north of Gibbs Sprawl Rd. The annexation process will take around seven years to complete.

Both cities must adopt an interlocal agreement that will formally set the annexation plan in motion. San Antonio is expected to sign off on the agreement later this month, while Converse officials will address the issue in February.​​​

DFW office market 'robust,' but new development slowing

DALLAS (CBRE) – CBRE describes the DFW office market as "robust" in its fourth quarter 2016 report. However, the brisk pace of new development does appear to be levelling as 2016 ends with less than 6.7 million sf underway.

Fewer than five buildings delivered in the fourth quarter, totaling just over 350,000 sf. This marks the lowest square footage of deliveries in three years. Meanwhile, the preleased rate remained strong at more than 80 percent.

Of the more than 6.7 million sf of new construction underway, 44.6 percent is preleased, up 6 percent in the past 90 days with 24 of the 28 buildings underway being speculative.

Construction activity is focused in Far North Dallas (mainly the Upper Tollway and Frisco), Uptown, and Las Colinas. These submarkets accounted for 76.5 percent of the local market’s construction as of year-end.​

Bascom buys 280 Class A units

​​​SAN ANTONIO (REBusiness) – ​The Bascom Group has purchased Redlands Apartments, a Class A apartment community in the Stone Oak submarket​.

The property consists of 15 residential buildings and a standalone leasing center. Redlands Apartments has 280 one-, two-, or three-bedroom units. 

HFF arranged debt financing for the transaction.
Copyright © 2017, 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 Bryan Pope. 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=39
RECON for January 6, 2017RECON for January 6, 2017Bryan PopePope
2017-01-06T06:00:00Z
A Texas A&M institute is asking for help from Texas landowners in determining the location of wintering bats and their roosts. Details in today's RECON. (Photo of bat flight at Austin's Congress Avenue Bridge from Center files.)
January 6, 2017

'Robust demand' spurs Austin industrial development

​AUSTIN (CBRE) – Two words defined the city's industrial market in 2016: absorption and construction. That's according to CBRE's fourth quarter 2016 market report. Some highlights:
  • Citywide industrial vacancy reached 7.3 percent for the year, a low not seen since the late '90s, with four submarkets having vacancy under 3 percent. Citywide warehouse vacancy was at 6 percent, and flex warehouse was 9.4 percent.
  • Triple-net asking rents increased $0.05 per sf during the year, finishing at $0.85 per sf on an annual basis.
  • The city posted just over 1 million sf of positive net absorption throughout 2016, with 436,261 sf of that consisting of warehouse product, and 613,278 sf consisting of flex product.
  • Twenty-three projects totaling around 1.6 million sf broke ground during the year.
  • Area unemployment registered at 3.2 percent at year end, well below the state and national average.​

Port expanding to handle anticipated growth

CORPUS CHRISTI (Corpus Christi Caller-Times) – ​​Port officials are working to deepen and widen the Corpus Christi Ship Channel to ensure that the port is able to accommodate​ new growth.

​The port has twice gotten approval from Congress to widen the ship channel from Port Aransas to the Harbor Bridge, and to deepen it from 45 feet to 52 feet. However, they've not been awarded the estimated $350 million needed for the improvements.​

Current infrastructure changes at the port include:
  • New oil docks along the ship channel that will directly benefit two port tenants—M&G Resins USA and NuStar Energy. Oil Dock 14 is being built for $24.8 million on land where M&G is constructing a 412-acre PET plant for plastics. NuStar Energy recently announced plans to expand its storage capacity near Oil Dock 15 to more than 3.6 million barrels.
  • Expanding storage capacity to the Port's 43-mile rail network. The first phase, an $18 million project, created eight-unit train sidings and provided rail storage for nearly 1,300 rail cars. Phase II called for more rail car spots and storage for $28 million. That will be finished this quarter.​​
A record 103.5 million tons of cargo, most of it petroleum, sailed through the port on more than 7,500 vessels in 2015. Port financial records show 85.9 million tons made their way through the port between January and November, down from 95 million during the same period a year earlier​.
The 85th Texas Legislative session begins this month, and Center Research Attorney Rusty Adams is about to publish an article that covers the bills pertaining to the real estate industry. He visits the Red Zone this week to talk about some of those bills. (20 min. 49 sec.) 

On the move . . . to Texas

AUSTIN (Texas Association of Realtors) – Texas ranked second in the nation for relocation activity in 2015, according to the recently released Texas Relocation Report ​from the Texas Association of R​ealtors.

The Lone Star State had a net gain of out-of-state residents in 2015, with 107,689 more people moving here than moving away. This is a 4 percent increase in the net gain of Texas residents from 2014 (103,465 residents).

The total number of residents moving here increased 2.8 percent year-over-year to 553,032. Most came from California (65,546), Florida (33,670), Louisiana (31,044), New York (26,287), and Oklahoma (25,555).

Texas once again ranked third in the nation for the number of residents moving out of state (445,343). The most popular out-of-state relocation destinations for Texans were California (41,713), Florida (29,706), Oklahoma (28,642), Colorado (25,268), and Louisiana (19,863).​​

At the county level, Harris County led the state with a net gain of 18,945 residents relocating there from out of state. However, four of the top ten counties were in North Texas (Dallas, Tarrant, Collin, and Denton counties).​​​
Last month, we asked folks what they found most useful about the Real Estate Center website. They told us. In a nod to GEICO insurance, one respondent said the navigation was so easy that even a caveman could find what he was looking for. Another user, less enamored, liked the "exit button." Find out what else users had to say in this week's Mixed-Use blog post.

CBRE: El Paso industrial net absorption stays positive

EL PASO (CBRE) – CBRE has released its Q4 2016 Industrial MarketView for the city. Among the highlights:​
  • ​​Leasing activity remained healthy in the fourth quarter, and total 2016 market net absorption finished in positive territory. Overall industrial vacancy hovered steadily at 8.8 percent, the tightest annual vacancy in the curre​nt cycle.
  • The average asking industrial lease rate increased by $0.01 to $4.16 per sf in the fourth quarter. This pushed average rents up by $0.12 per sf, or 3 percent compared with ​​​a year ago.
  • ​Two build-to-suit projects were started in the fourth quarter—a warehouse in the Lower Valley and a cold storage facility in the west submarket. The projects are expected to be completed mid-2017 and will deliver roughly 300,000 sf.

Texas A&M institute puts out 'bat signal' for help from landowners

COLLEGE STATION (Texas A&M Institute of Renewable Natural Resources) – The Texas A&M Institute of Renewable Natural Resources' Bat and Hibernacula Surveys team is conducting surveys statewide to determine the location of wintering bats and their roosts. They're asking for help.

"We are trying to get baseline numbers in anticipation of white-nose syndrome, a deadly, cold-adapted, fungal disease that could affect hibernating bats throughout the st​ate," said Melissa Meierhofer, a research associate at the institute.

Meierhofer said the disease has already caused catastrophic bat losses in the eastern U.S. and is projected to come to Texas within the next few years. Maintaining healthy bat populations is critical, particularly for the agriculture industry, because certain bat species eat insects that can harm crops.

While the survey team is constantly traveling to different parts of the state, it cannot cover all locations, so they need landowners to help them identify overwintering and roosting locations.

The form is available at http://bit.ly/2i6bq31. Completed forms should be sent to Meierhofer by email at mbm030@tamu.edu or by mail to Texas A&M Institute of Renewable Natural Resources, 1500 Research Parkway, Suite A110, College Station, Texas, 77843-2260.

Team members are asking any landowners who have caves on their property to contact the team directly and let them know if they would be willing to allow the team to survey the caves.

For more information, go to https://www.facebook.com/texaswinterbats/.
"If the [U.S.] economy grows a little faster, we're going to benefit from that. A lot of that growth is going to find its way coming to Texas. We have become sort of a bellwether state for growth and development. Our housing market is going to do well. We're anticipating a slight increase in overall volume in the market in 2017, but probably not as dramatic an increase as we saw two or three years ago." Click here to listen to Real Estate Center Chief Economist Dr. Jim Gaines' 2017 economic forecast.

R+L Carriers adding 11th Lone Star facility

TEMPLE (Choose Temple) – R+L Carriers Inc. is constructing a $5 million freight terminal on 14.8 acres in the Temple Industrial Park on Lucius McCelvey Dr. ​​​

The facility will be the company's 113th location in the nation and its 11th in Texas. It will include a 70-door terminal, office space, and fueling station. R+L will add​ 30 jobs with an average salary of $40,000 plus benefits.

An economic development agreement, which includes a land grant, was approved by the Temple Economic Development Corp. in October.

Construction will begin soon and wrap up this spring.

Retail center slated for Kingwood

HOUSTON (RealtyNewsReport) – NewQuest Crosswell is developing a 150,000-sf retail center northeast of Houston.

The project is planned for 35 acres near Kingwood Parc Dr. between Loop 494 and U.S. 59. The center is expected to have restaurants and a 100,000-sf grocery anchor. 
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.

GID acquires 340 units in Zilker submarket

AUSTIN (Costar) – Boston-based General Investment & Development Cos. (GID) has acquired the 340-unit Hanover South Lamar apartment complex.

The seller, The Hanover Co., completed construction in late 2014 on the mid-rise community at 809 S. Lamar Blvd. in the Zilker multifamily submarket.​

The property was 95 percent occupied at the time of sale. Hanover South Lamar has one- and two-bedroom floor plans.

ARA Newmark handled the transaction on behalf of Hanover.

Austin apartment community sold for $44.5 million

AUSTIN (REBusiness) – Steadfast Apartment REIT III has purchased Canyon Resort at Great Hills for $44.5 million.

Built in 1997 at 8701 Bluffstone Cove​, the property features 256 apartments over 12 three-story buildings. The one-, two-, and three-bedroom units average 983 sf. 

At the time of sale, the property was 94.5 percent occupied with in-place rents averaging $1,335 ​per month. ​
Copyright © 2017, 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 Bryan Pope. 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=38

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