Steady Increase in Houston Population Keeps Housing Hopping
Two multifamily acquisitions raise American Landmark’s portfolio of properties in Texas to 38, with 14 properties in Houston and approximately 31,000 apartments throughout the Southeast and Texas.
HOUSTON—Multifamily operator American Landmark Apartments recently acquired the 234-unit Newport on the Lake and 250-unit Harbor View Apartments. The properties will undergo a combined $5.9 million capital improvements program and be renamed Lakefront Villas and The JaXon, respectively.
The acquisitions raise American Landmark’s portfolio of properties in Texas to 38, with 14 properties in Houston. The company currently owns and manages approximately 31,000 apartments throughout the Southeast and Texas, and continues to approach its goal of adding $2 billion in assets to its multifamily portfolio this year.
“Houston continues to offer long-term opportunities as in-migration maintains strong demand throughout the MSA, naturally elevating asking rents in the process,” said Christine DeFilippis, chief investment officer of American Landmark. “With a steady increase in population, housing will remain a priority for residents settling in, with current online stock providing immediate options as developers seek to bring units to market as quickly as possible.”
Houston is popular among young adults aged 25 to 34, with an increase of almost 15,000 new residents from 2012 to 2017, according to Brookings Institute. Simultaneously, that same age group migrated out of major metro areas including Chicago, New York and Los Angeles. Additionally, much of the in-migration in Texas derives mostly from Californians moving to the Lone Star State, with more than 63,000 of them relocating here, according to Texas Realtors Association. Individuals from Illinois and New York round out the top five states with residents moving to Texas.
“Houston’s strong labor market and high quality of life have made it one of the most popular places in Texas for new out-of-state residents, consistently shoring up demand and creating income upside for multifamily housing in the process,” Joe Lubeck, CEO of American Landmark Apartments, tells GlobeSt.com.
Built in 2008, Newport on the Lake is located at 1895 Barker Cypress Rd. One-, two- and three-bedroom units include granite countertops and kitchen islands. Community amenities include pool with heated spa, outdoor fire pit, poolside gas grill and resident clubhouse with Wi-Fi.
Built in 2010, Harbor View is situated at 4855 Magnolia Cove Dr. in the Houston suburb of Kingwood. One-, two- and three-bedroom units offer granite countertops, crown molding, walk-in closets and washer/dryer. Community amenities include package service, a fitness center, game room, walking/biking trails, courtyard and business center.