Austin Jobs Roar to Top 10, Attracting Investors
Two multifamily properties fit Rastegar’s acquisition criteria of being located in high-growth regions with the potential to flourish following strategic renovations.
AUSTIN, TX—Austin’s significant population and job growth will continue, which presents a unique investment opportunity in the metro. Seizing on that opportunity, Rastegar Property recently acquired two Austin-area multifamily complexes totaling 38 residential units and more than 33,000 square feet with value-add potential.
“As an Austin-headquartered real estate company, we are acutely aware of the current real estate investment opportunity stemming from explosive economic and population growth as more prominent employers make this city their corporate home. The city of Austin is undergoing sustained population, employment and rent growth, and Rastegar looks to capitalize on this opportunistic environment by identifying and acquiring small and large multifamily properties that we can add value to,” said Ari Rastegar, CEO of Rastegar Property.
The Zilker Place Apartments at 2017 Bluebonnet Lane are in South Austin’s Zilker Park neighborhood with 23 units and more than 14,000 square feet. The property is near Zilker Metropolitan Park, home to Barton Springs Pool and the Austin City Limits music festival. It provides residents with access to additional employment and entertainment options in the South Lamar, South Congress, South 1st and downtown Austin districts. It is also near several higher education campuses, including the University of Texas at Austin, St. Edward’s University and several Austin Community College campuses. The property’s interiors are currently being fully renovated.
In the Austin Suburb of West Lake Hills, the Redbud Bungalows at 1430 Redbud Cove consist of 15 townhomes and 19,000 rentable square feet on 5.4 acres. This property offers access to West Lake Hills’ employers, restaurants, shopping and an excellent public school system. A full renovation of the property is underway, with the potential for redevelopment to meet the increasing demand for city and suburban residential space for the growing young professional population.
“These two particular properties, best categorized as vintage and unrenovated multifamily housing, fit our acquisition criteria of being located in high-growth regions with the potential to flourish following strategic renovation,” Rastegar says.
Austin experienced top 10 job growth from 2013 to 2018, increasing its total jobs by more than 177,000 or 18.4%.The city added more than 440,000 residents between 2010 and 2018, increasing its population by 25.5% and making it America’s fourth-fastest growing city. In addition, Austin’s expanding job market and influx of residents resulted in the highest rent growth in Texas from 2018 to 2019, as well as the fifth highest in the nation.
“With our headquarters in Austin, Rastegar Property has as good a view as any of Austin’s nation-leading job, population and rent growth. That growth is attracting national attention but it’s only the first phase, as many of the city’s incoming young professionals will have families of their own and increase the demand for modern residences even more,” Rastegar tells GlobeSt.com. “By acquiring multifamily properties to be renovated in both downtown and suburban settings, we are not only anticipating continued population growth and more high-profile employers bringing jobs to Austin, but also providing our investors with diversification and exposure to different types of residential real estate.”
Rastegar Property is a real estate investment firm focused on value-add and development in all asset classes across the United States.