(globest.com) – Riverstone Residential Group is assuming management duties on two Texas apartment complexes totaling 654 units.
The 379-unit Alexan Parkway is at 6653 McKinney Ranch Pkwy. in McKinney, and the 275-unit Northcastle Apartments is at 8100 N. Mopac Expwy. in Austin.
They are among 14 multifamily complexes in eight states that Riverstone will begin managing.
Friday, July 11, 2008
Wednesday, June 11, 2008
Wednesday, January 9, 2008
Apartment rents on the rise
Average price up about $100 a month since 2005.
Prices for apartment rentals in Austin are on the rise as occupancy rates increase, according to Capitol Market Research.
One-bedroom apartments have increased to an average of $714 a month, about $100 more than they cost two years ago. Two-bedroom, two-bath units are up to $938, also about $100 more than two years ago, according to the Austin-based real estate consulting firm that tracks the market. The occupancy rate for 2007 rose to 96.6 percent, up from 94.4 percent two years ago.
"Everyone is upping their rents like crazy," said Susan Albertson, a broker with Austin City Locators.
Albertson said the market is seeing a mix of newcomers and renters who are shopping around after their rents were raised. Also, more people have moved into the apartment market because of tighter credit standards for getting mortgages.
"There are people who are not able to pay their mortgage, and we're starting to see a lot of people who aren't buying a home," Albertson said.
Charles Heimsath, president of Capitol Market Research, agreed that the credit crunch has been a plus for landlords.
"To the extent to which first-time buyers are on the sidelines because of the difficulty in qualifying for home mortgages, I think that's going to tend to keep people in apartments longer and will serve to maintain occupancy," Heimsath said.
He predicted that occupancy rates will hold at 96 percent this year.
Strong job growth in the past 12 to 18 months has also kept the apartment market healthy.
"It's still very positive," Heimsath said of job growth, although it has slowed in recent months. Employers in the five-county Central Texas region added 22,500 jobs from November 2006 to November 2007, an annual growth rate of 3 percent. "The main driver is always job growth."
Rents have lagged occupancy for nearly three years, Heimsath said, but the market has strengthened to the point that landlords are comfortable raising rents.
"After almost three years of average occupancy being above 92 percent, finally rents are beginning to move upward," he said.
Landlords and leasing agents previously had been hesitant to raise rents, he said, because it had been a tenants' market after the technology bust in 2001.
However, landlords now can afford to be pickier and are becoming stricter in looking at renters' credit histories, apartment locators said. Some homeowners who are nearing foreclosure are finding difficulty renting because of their tainted credit.
Another indicator that the market has shifted in landlords' favor is that some are passing along the costs of utilities, trash service and pest control, helping push rents up.
Heimsath predicts Austin-area rents will rise 5 percent to 6 percent this year, with ample demand to fill the estimated 6,000 units that are expected to open. Last year, the market absorbed 5,600 units.
"We should remain very high occupancy and continue to be able to push rents throughout 2008 and into 2009," Heimsath said.
Albertson also expects rents to climb this year, with fewer incentives.
"It's going to be a tough summer if it's already like this in January," she said.
Prices for apartment rentals in Austin are on the rise as occupancy rates increase, according to Capitol Market Research.
One-bedroom apartments have increased to an average of $714 a month, about $100 more than they cost two years ago. Two-bedroom, two-bath units are up to $938, also about $100 more than two years ago, according to the Austin-based real estate consulting firm that tracks the market. The occupancy rate for 2007 rose to 96.6 percent, up from 94.4 percent two years ago.
"Everyone is upping their rents like crazy," said Susan Albertson, a broker with Austin City Locators.
Albertson said the market is seeing a mix of newcomers and renters who are shopping around after their rents were raised. Also, more people have moved into the apartment market because of tighter credit standards for getting mortgages.
"There are people who are not able to pay their mortgage, and we're starting to see a lot of people who aren't buying a home," Albertson said.
Charles Heimsath, president of Capitol Market Research, agreed that the credit crunch has been a plus for landlords.
"To the extent to which first-time buyers are on the sidelines because of the difficulty in qualifying for home mortgages, I think that's going to tend to keep people in apartments longer and will serve to maintain occupancy," Heimsath said.
He predicted that occupancy rates will hold at 96 percent this year.
Strong job growth in the past 12 to 18 months has also kept the apartment market healthy.
"It's still very positive," Heimsath said of job growth, although it has slowed in recent months. Employers in the five-county Central Texas region added 22,500 jobs from November 2006 to November 2007, an annual growth rate of 3 percent. "The main driver is always job growth."
Rents have lagged occupancy for nearly three years, Heimsath said, but the market has strengthened to the point that landlords are comfortable raising rents.
"After almost three years of average occupancy being above 92 percent, finally rents are beginning to move upward," he said.
Landlords and leasing agents previously had been hesitant to raise rents, he said, because it had been a tenants' market after the technology bust in 2001.
However, landlords now can afford to be pickier and are becoming stricter in looking at renters' credit histories, apartment locators said. Some homeowners who are nearing foreclosure are finding difficulty renting because of their tainted credit.
Another indicator that the market has shifted in landlords' favor is that some are passing along the costs of utilities, trash service and pest control, helping push rents up.
Heimsath predicts Austin-area rents will rise 5 percent to 6 percent this year, with ample demand to fill the estimated 6,000 units that are expected to open. Last year, the market absorbed 5,600 units.
"We should remain very high occupancy and continue to be able to push rents throughout 2008 and into 2009," Heimsath said.
Albertson also expects rents to climb this year, with fewer incentives.
"It's going to be a tough summer if it's already like this in January," she said.
Friday, December 21, 2007
EMPTY COURTYARD REPURCHASED
FORT WORTH (globest.com) – Local investor Paul Carpenter has repurchased the Courtyard on Calmont, an empty 50-unit apartment complex on roughly one acre, from Bayview Financial Holdings LP of Miami.
According to Tarrant County tax records, Bayview had foreclosed on the property owner, Multi-Flex Corp. of California.
Carpenter originally paid $600,000. Two years ago, he sold it for $1.2 million. He spent $700,000 to repurchase the apartment complex. About $300,000 of upgrades are estimated.
Carpenter will manage the complex at 6760 Calmont Ave., which consists of one- and two-bedroom units ranging from 600 to 910 sf. Rents had been $525 to $675 per month.
Hendricks & Partners in Dallas assisted in the transaction.
The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
According to Tarrant County tax records, Bayview had foreclosed on the property owner, Multi-Flex Corp. of California.
Carpenter originally paid $600,000. Two years ago, he sold it for $1.2 million. He spent $700,000 to repurchase the apartment complex. About $300,000 of upgrades are estimated.
Carpenter will manage the complex at 6760 Calmont Ave., which consists of one- and two-bedroom units ranging from 600 to 910 sf. Rents had been $525 to $675 per month.
Hendricks & Partners in Dallas assisted in the transaction.
The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
NOVEMBER APARTMENT DATA
CARROLLTON (ALNsystems.com) – ALN has released apartment market data for large Texas metro areas. For the year ending last month:
Occupancy in Austin apartments increased from 93.6 percent in November 2006 to 93.7 percent in November 2007. Average monthly rent increased from $776 to $831, a 7.1 percent jump.
Occupancy in Dallas apartments increased from 90 to 90.8 percent. Rent increased 5.4 percent, going from $753 to $794.
Occupancy in Fort Worth apartments dropped from 89.9 to 88.8 percent. Rent rose from $667 to $702, a 5.2 percent increase.
Occupancy in Houston apartments decreased from 90.4 to 89.3 percent. Rent increased by 3.1 percent, going from $713 to $735.
Occupancy in San Antonio apartments held steady at 90.6 percent. Rent increased 3.8 percent, going from $679 to $705.
The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
Occupancy in Austin apartments increased from 93.6 percent in November 2006 to 93.7 percent in November 2007. Average monthly rent increased from $776 to $831, a 7.1 percent jump.
Occupancy in Dallas apartments increased from 90 to 90.8 percent. Rent increased 5.4 percent, going from $753 to $794.
Occupancy in Fort Worth apartments dropped from 89.9 to 88.8 percent. Rent rose from $667 to $702, a 5.2 percent increase.
Occupancy in Houston apartments decreased from 90.4 to 89.3 percent. Rent increased by 3.1 percent, going from $713 to $735.
Occupancy in San Antonio apartments held steady at 90.6 percent. Rent increased 3.8 percent, going from $679 to $705.
The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
Tuesday, December 11, 2007
PRIVATE INVESTOR SADDLES UP
(Austin Business Journal) – A private California investor has purchased the Class-A Saddle Creek apartments from Chicago-based Orix Real Estate Capital.The 17-building, 224-unit apartment community at 10801 Old Manchaca Rd. was completed in 2001.Valued at $16.9 million according to the Travis Central Appraisal District, the complex is 95 percent occupied.Apartment Realty Advisors represented Orix.
RECON-The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
RECON-The Real Estate Center is part of the Mays Business School at Texas A&M University in College Station
Friday, November 30, 2007
PARKWAY APARTMENTS SOLD
COLLEGE STATION (Apartment Realty Advisors) – California-based FSC Realty LLC has sold the 166-unit Parkway Apartments, which are roughly one mile from the Texas A&M University campus.
Built in 1972 at 1600 Southwest Pkwy., the complex has a mix of one-, two- and three-bedroom apartments averaging 946 square feet.
Apartment Realty Advisors represented the seller. The buyer was self-represented
Built in 1972 at 1600 Southwest Pkwy., the complex has a mix of one-, two- and three-bedroom apartments averaging 946 square feet.
Apartment Realty Advisors represented the seller. The buyer was self-represented
Subscribe to:
Posts (Atom)
